23 July, 2007

Southern California grocery workers overwhelmingly voted to ratify the contract agreement with Ralphs, Vons and Albertsons last weekend. The contract was ratified by an overwhelming margin that exceeded 87% with extremely high membership attendance at the meetings throughout Southern California. All seven United Food and Commercial Workers Unions recommended that grocery workers ratify the contract.

“We are not surprised by the overwhelming response from grocery workers to ratify the contract,” said Sandra Lloyd-Jones, a spokesperson for the United Food and Commercial Workers Union. “This is an excellent contract that will improve the lives of 70,000 grocery workers throughout Southern California.”

The contract ratified by grocery workers last weekend is a four-year contract that will be valid through March 6, 2011.

“This contract is a huge victory for grocery workers,” continued Lloyd-Jones. “From the beginning we set very clear goals that we wanted to eliminate the unfair two-tier wage structure. We wanted wage increases for grocery workers who haven’t had a wage increase in five years. And, we wanted to improve the eligibility and benefits of the health care coverage that grocery workers receive. We met all of these goals and more.”

Thousands of grocery workers voted to ratify the contract at 25 locations across Southern California. The atmosphere at voting locations was one of celebration and relief.

“When we learned the terms of the contract, I just can’t describe the feeling of excitement and relief,” said Chris Zazueta, a Ralphs employee. “From the beginning everyone described our fight as a David and Goliath story, and yesterday David won! We stood up to the employers and demanded a fair contract, and we got one. “

Over the past seven months of negotiations, grocery workers received an outpouring of support from community leaders and customers. Over 50,000 people signed a pledge that they would not shop at Ralphs, Albertsons or Vons if there was a lockout or strike. This support was instrumental in helping the grocery workers get a fair contract.

"This is an important victory not only for grocery workers and their families, but for communities throughout Southern California that depend on good jobs," said Rev. Anna Olson, Deputy director of Clergy and Laity United for Economic Justice. "The community stood with these workers because it was the right thing to do, and because we know that restoring quality jobs in the grocery industry is critical to the future of our region's middle class."

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United Food and Commercial Workers Union

Highlights of Contract Agreement with Ralphs, Vons and Albertsons

Eliminates Two-Tier Wage Structure effective 3/5/07

All employees will be on the same wage progression schedule for their classification and will be eligible to reach the same top pay scale in their classification.

Provides Retroactive Wage Increases. Immediate wage increases for employees retroactive back to March 5, 2007

Wage increases annually. Over the 4 year term of contract, as an example, experienced food clerks and meat cutters will receive $1.65.

Shortens Waiting Period for Health Care Eligibility to 6-months for new hires and dependent children. Shortens waiting period for spouses to 24 Months. All current employees who have worked for six months will be eligible for health care coverage.

Provides Adequate Funding to Pay for Health Coverage for Term of the Contract. Union agrees to supplement employers’ contributions with $3,000 per employee from the health care trust fund to pay for health care coverage, which translates to 48% ($240 million) of the fund. A six-month reserve from the health care trust fund will be preserved at the end of the term of the contract.

Preventative Health Care Included for All Employees.

This includes routine physical exams, well baby care and childhood immunizations.

Provides Graduation to Plan A Health Care Coverage for employees hired after March 2004.

Pension contributions stabilized. Provides funding that allows current retirement levels to continue and preserves Golden Rule of 85.