Business

UPDATE: Coalition of UFCW Locals’ Opposition to Proposed Merger Gains Momentum

California – In an update, Feb. 26, California Attorney General Rob Bonta, along with the Federal Trade Commission or FTC and a bipartisan coalition of states, announced the filing of a lawsuit that challenges the proposed merger of Kroger and Albertsons.

In a statement, Attorney General Bonta said, “This merger will leave Californians with limited choices over where to shop – and for workers in this industry, where to work. As many families continue to feel the burden of inflation, fighting corporate consolidation that threatens to increase prices and reduce service is more important than ever.”

In earlier news: 

A coalition of local UFCW unions, collectively representing over 100,000 Kroger and Albertsons workers in over a dozen states, welcomed the actions by Colorado attorney general in February, joining others in moves to block the proposed merger of Kroger and Albertsons.

The coalition has been outspoken in its opposition to the proposed mega merger of Kroger and Albertsons since it was first announced by those companies in October of 2022. Over the last 16 months the coalition’s opposition has both deepened and broadened.

In a news release the coalition said the revelations contained in the lawsuits filed by the attorney general of Washington last month and the attorney general of Colorado last week, have only increased the coalition’s opposition to the proposed merger and further exposed the damage it would inflict on consumers, workers, and communities if it were allowed to proceed.

“The addition of the companies’ deeply flawed divestiture plan has likewise increased our opposition as we believe it would result in the closure of grocery stores in hundreds of communities,” it continued. “Again, we oppose this merger in the strongest terms possible, and remain hopeful for federal enforcement action to block it and protect consumers, workers and the public.

Background: In addition to the coalition’s actions and press statements over the past 16 months and actions by others in the NoGroceryMerger.com coalition, the below are statements from the two International Unions representing most unionized grocery store and grocery warehouse workers:

Statement from UFCW International after a unanimous vote at the UFCW Convention to oppose the proposed merger: 

https://www.ufcw.org/press-releases/americas-largest-union-of-essential-grocery-workers-announces-opposition-to-kroger-and-albertsons-merger/)

Statement from the Teamsters International in opposing the proposed divestiture (https://teamster.org/2023/12/teamsters-call-on-ftc-to-reject-kroger-albertsons-proposed-asset-sales-to-cs/)

 

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