King Soopers workers will vote next week on whether to accept a contract proposal from the company or to continue to negotiate.
The proposed contract has been in the hands of the United Food and Commercial Workers Local 7 since May 30.
“They decided to give us a vote, and we are thrilled for our associates to vote on the current proposal,” said Diane Mulligan, King Soopers spokeswoman.
The UFCW has been negotiating with King Soopers, Safeway and Albertsons since April. The workers’ five-year contract expired May 9, although the contracts have been extended to different dates. King Soopers’ is up Monday, and Safeway’s expires June 26.
The King Soopers proposed contract includes pension-accrual adjustments, increasing the retirement age to receive full benefits from 50 to 55, pay increases for workers at top-scale wages and adding $35 million to the hard-hit pension fund.
“The $35 million does not make up for the 30 percent loss in the pension fund, which is why we need the adjustments,” Mulligan said.
Union leaders and workers say the grocers’ contract proposals are not good enough. A study paid for by the union found the average worker could lose $100,000 in pension benefits under the current proposal, said Laura Chapin, spokeswoman for the UFCW Local 7. The union represents 17,000 workers.
Union officials and workers contend that the companies are profitable and should not be trying to cut wages or benefits.
“I believe they are using the recession as an excuse to try to get us to give up,” said Julie Collier, 47, who has worked at King Soopers for nearly 20 years. “We cannot give up any more.”
Kroger, the parent company of King Soopers, showed an 8 percent increase in profit in the fourth quarter of 2008 compared with the previous year; Safeway posted a 12 percent gain for the same period.
The companies say those profit margins are allowing them to send millions to the pension fund, offer some wage increases and maintain jobs without layoffs.
If King Soopers workers approve the contract, the agreement between King Soopers and Safeway to lock out workers if the other’s employees strike will be void.
