SOUTHERN CALIFORNIA – As negotiations continue between the United Food and Commercial Workers (UFCW) over labor rights for grocery workers in the southern regions of the state, analysts say that the rumored strike could affect retailers as soon as next month.
According to Bloomberg BNA, analysts predict that if an agreement can’t be reached and workers do go on strike as the unions previously stated, the strike could hinder both sides from making a full recovery.
Greg Conger, President of UFCW Local 324 in Buena Park, CA, told Bloomberg BNA that workers are eying early August as a tentative strike date should negotiations continue to stall. The retailers currently in negotiations are the banners of Ralphs Grocery Co., Albertsons Inc., and Vons.
“It's been such a topsy-turvy, highly competitive market in San Diego, so for the unions it's a different negotiating environment,” said Miro Copic, a marketing lecturer and branding authority at San Diego State University who monitors retail trade developments, in a statement to Bloomberg BNA.
So what is prolonging the negotiations, and which issues could push the talks into an impending strike?
“We are focused on fair scheduling practices, living wages, and maintaining our pension and health-care benefits,” Ricardo Icaza, President of the Los Angeles-based UFCW Local 770, told Bloomberg BNA. Icaza continued to state that another focus for workers is to receive more work hours, with more advance notice on their schedules.
According to David Livingston, a supermarket analyst based in Wisconsin, health-care is a big negotiation issue as costs are “nearly impossible” to predict, and one of the least-controllable expenses for a company. Livingston told Bloomberg BNA that contract negotiations will most likely resolve in a great deal of haggling over health care, and how much each side should pay.
“We remain committed to negotiating a contract that is fair to all parties, including our employees, and will continue to work to achieve that,” Carlos Illingworth, a spokesman for Albertsons and Vons, said July 7 in an e-mail message to Bloomberg BNA.
Analysts have also stated that aiding in the agreement’s delay is the loss of union members which are employed in the private sector, reducing the unions bargaining power. In addition, retailers have also been experiencing bargaining issues as the competitive retail market is kept at the forefront.
Livingston stated that a crucial issue in the negotiations between the retail banners and UFCW will be getting union members “to understand that their employers are not charities that should share all the profits with the employees.”
“We look forward to reaching an agreement at the only place we can—the bargaining table,” stated Kendra Doyel, a spokeswoman for Ralphs, said July 7. “Ralphs remains committed to working out the details for a contract that rewards our associates and enables us to keep our stores competitive.”
As negotiations over these multiple issues continue, and August comes ever closer, stay with AndNowUKnow for the latest.
