Union Raley’s workers began striking on Nov. 4 in protest of decisions the privately held, family-owned company is making to stay afloat in the current economy. Leaders of United Food and Commercial Workers (UFCW) 8-Golden State and UFCW Local 5 announced the strike at Raley’s (along with its sister stores Nob Hill and Bel Air) in Northern and Central California as an outcry against changes in health care and wages.
UFCW leaders pronounced the strike in reaction to Raley’s removal of healthcare for retirees aged 65 and over, frozen wages and elimination of some premium pay on Sundays and holidays. Raley’s made the cuts because former employees 65 and over are eligible for Medicare. For current employees, health care and wages will remain the same, however no increases in pay will be made for two years.
Raley’s has been in negotiations with UFCW for the past 15 months in an effort to cut costs to save the supermarket chain. After all-day talks on Saturday, Nov. 3, union leaders called a strike, and employees began staffing picket lines early Sunday morning. At the Raley’s in Turlock, however, very few employees have decided to strike. Most crossed the picket line to continue working.
Employees who chose to cross the picket line and continue working signed a document that was then sent to the union, declaring their intent to remove themselves from union affiliations and continue working. These employees may be subject to face fines from UFCW or Raley’s, but Tracy Cole, head clerk at Raley’s on Geer Road in Turlock, doubts Raley’s would punish any employees who chose to keep working with the store through the strike.
“Raley’s has been very good to me,” Cole said. “And I also support free enterprise and I understand when companies have to make decisions that are hard, but we have to do it if we want to stay open.”
Cole, an employee of Raley’s for 23 years, was one of dozens at the Turlock location who decided to continue working through the strike.
“Ninety-five percent of the employees are working, we do not support this,” Cole said to customers as they entered the store Nov. 10.
But strikers were also hovering around the entrance to greet customers who chose to cross the picket line and enter the store, handing out flyers stating why they were choosing to “hold the line.” With very few Turlock employees picketing, the UFCW sent its own representatives to voice the strike.
“We accept that the company is not doing as well as they could be,” said a union representative who wished to remain anonymous. “And it does no good for us as a union if a company goes broke. And so we accept that some concessions are necessary in this economy.”
“Save Mart signed an agreement with an expiration date on the concessions. Raley’s wants the concessions to be permanent.”
UFCW leaders were also frustrated that Raley’s has not provided a full audit of its finances like other, similar unionized supermarket chains have. Raley’s argues it cannot compete with non-unionized companies such as Wal-Mart Stores Inc. in this economy.
“They’re not taking anything away from us that we don’t understand,” Cole said. “Everybody needs to make concessions and I support my employment for the obvious reason that I need to bring home a paycheck.”
Raley’s reached a tentative agreement Nov. 13 with UFCW for members’ review and ratification. Although details have not yet been released, UFCW Locals 5 and 8 confirmed that the agreement will retain Raley’s current healthcare plan, allowing retirees aged 65 and over to keep their union medical coverage.