Company Proposes Last Best and Final Offer – Additional Money in Wages and Health Care

Negotiations

January 11th, 2022

Proposes $170 Million in New Wages Plus Ratification Bonuses

 

Today, after exhausting all options to continue bargaining with UFCW Local 7 prior to its announced strike date, King Soopers/City Market provided a “Last Best and Final Offer” to the union, communicating to the union that all of the money is on the table. This is our last offer, our best offer and our final offer and is contingent on no work stoppage and a swift ratification.

This final offer reaffirms our commitment to our associates and is our largest wage and benefit investment in King Soopers/City Market history. This significant offer comes after the union has refused the help of a neutral federal mediator and repeated requests to return to the bargaining table.

Our Last, Best and Final Offer

$170 Million in Additional Wages Plus Ratification Bonuses

  • The average associate will receive nearly a 22% pay increase over the life of the agreement not including the ratification bonus.
  • More Money for Top-rate Associates: $1.50 per hour increase in 2022; an additional $.80 per hour increase in 2023, and another $.80 increase per hour in 2024 – totaling $3.10 per hour wage increase over the life of the contract
  • One-time bonus for ALL associates based on ratification without a strike no later than January 22, 2022.

    • $4,000 – any associate with 10 or more years of service with the company who is an active associate upon ratification
    • $2,000 – any associate with less than 10 years of service with the company who is an active associate upon ratification
  • $16 per hour starting rates for new hires in ALL marketing areas, including courtesy clerks

  • Up to a $4.50 per hour increase for associates in the wage scales in the first year of the contract based on progression and classification
    • Associates in progressions would continue to see meaningful increases through the life of the contract based on hours worked and time

If our offer is voted and ratified by January 22, 2022, wage increases for contracts that have expired will be effective on January 16, 2022. For contracts that have not expired, wage increases will go into effect at contract expiration.

Checkout our wage scales below to see what your increase would mean for you or see your store leader.

Health Care and Pension Benefits

  • Our Last, Best and Final Offer increases our annual contributions for health care benefits by nearly $19 million over three years to the Rocky Mountain Union and Employers Health Benefit Fund to maintain your health care benefits, including no increases to your weekly contributions for the next three years. That’s $6 million more than our offer from last week. This is in addition to the $72 million per year the company already contributes to your health care benefits. By the end of the contract, your weekly premiums would not have changed for more than 12 years.
  • The company will continue to contribute $29.3 million annually to your pension plan. The Rocky Mountain Pension Fund is doing very well and is projected to be in “green zone status” when it comes to financial stability. That means your pension fund is stable and secure!

Next Steps

We believe you should have the right to vote on our Last, Best and Final Offer. In fact, based on the terms of the UFCW by-laws, a Last, Best and Final Offer should be presented to you for a vote.

Your voice matters! We encourage you to contact your local union president: Kim Cordova – kcordova@ufcw7.com.

  • Ask the union to continue working on your behalf and allow you to vote “YES” or “NO” on our Last, Best and Final Offer.
  • You should know that if our Last, Best and Final Offer is not ratified by January 22, 2022 or if the union goes out on strike, the proposed ratification bonuses will no longer be available.
  • If there is a work stoppage other terms and conditions of the offer will also likely change.
  • In order for all associates to have a convenient opportunity to vote, we have offered Local 7 an option to conduct the voting in our stores. We believe this gives all associates a fair chance for their voice to be heard.

Remember: if Local 7 still calls for a strike after reviewing our “Last, Best and Final Offer,” you have the right to work or strike – the decision is yours to make. Do what’s right for you and your family. Your store leader has more information on your rights during a strike.

We will remain open so customers can have access to fresh food. We will continue to provide open and transparent updates that will be shared in huddles and updates or on this website, or FEED and on store bulletin boards. If you have any questions, please talk to your store leader, or email your questions to laborquestions@kingsoopers.com.