Teamsters Local 710 Statement Regarding Albertsons/Kroger Merger
October 14, 2022
To: Teamsters Local 710 Members at Jewel-Osco
Re: Albertsons & Kroger Merger
Brothers & Sisters,
This morning I received notice from Jewel’s attorney that its parent company, Albertsons will be merging with the company that owns the Kroger grocery chain. As part of that deal Kroger will purchase all of the stock of Albertsons and its subsidiaries, including Jewel-Osco. According to the press release issued by the Companies, this deal is expected to be finalized in early 2024.
Although the deal will likely not be final for more than a year, many of you have reached out to the Local to express your concerns about the effect of this merger on your rights under the collective bargaining agreement. I have consulted with the Local’s attorneys, and they have assured me that under the deal that was announced today, Kroger will have to honor your collective-bargaining agreement. It is possible that the Jewel stores could be re-branded as part of this deal, but that would not happen until after the deal is finalized in 2024, and that would not affect your rights under your contract. They can change the name on your building or your truck, but they can’t change your wages, benefits, or other terms and conditions of employment during the life of your contract without the Local’s consent, and even after that they would have to bargain over any changes before they could be made.
Some of you have asked us about the successor language in the collective bargaining agreement and whether that would be enforceable. Our attorneys have informed me that, under the deal that was announced today, Kroger would simply have to honor your contract, and it would not be necessary to rely on the successor language. I can also assure you that the Local will enforce every provision of your agreement and that we are monitoring this situation closely.
To those of you who have already reached out to your Business Agent with questions, thank you for doing so. If you have a question about this merger, we want to hear it. And whatever name the Company hangs on the wall, we are here to represent you.
Michael J. Cales
Secretary-Treasurer & Principal Officer
Teamsters Local 710