Standing Strong Against Safeway’s Scare Tactics

Recently, Safeway sent out a communication that Safeway members and your union found both reprehensible and offensive.

Regardless of what industry you work in, these sorts of scare tactics are increasingly becoming a tool used by employers as we push them to Stop the Squeeze and make life more affordable for workers. 

A grievance against Safeway’s scare tactics

In trying to justify its attempts to overturn Arbitrator Mia Norrie’s decision last year to give top-rated and overscale employees 5% wage increases in 2023 and 2024, Safeway engaged in what we can only interpret as scare tactics with their own employees.

Your union was frankly disgusted and has filed a province-wide grievance about the Company’s actions. This grievance will likely be heard in an arbitration hearing.

“I don’t know how these communications can be seen as anything other than an effort to intimidate Safeway employees,” noted UFCW Local 401 President Thomas Hesse. “To engage in this sort of behaviour when your workers are struggling to make ends meet and facing the most challenging forms of customer rudeness, abuse, and even violence we have ever seen in the retail industry is deplorable.”

“As their union, we simply cannot stand by and let this happen,” continued Hesse. “We have a duty and an obligation to act. So, that is what we have done by filing this province-wide policy grievance to call Safeway out on their bad behaviour.”

Meanwhile, Michael Medline, president and CEO of Safeway’s parent company Empire Co. Ltd., is quoted as being “optimistic” as sales in Q1 of this year are up over last year. Reports indicate that sales for the company’s first quarter totalled $8.14 billion.

“We are increasingly optimistic as market conditions are gradually improving, contributing to a more predictable operating environment,” said president and CEO Michael Medline in a press release. 

Holding Safeway accountable in court

In addition to filing the province-wide grievance, your union also defended Safeway members’ wage increases in court against the Company.

While we were happy to see the Company implement the 5% wage increases in 2023 and just over a month ago on August 11, 2024, we remain confused about Safeway’s continued attempts to have Arbitrator Mia Norrie’s decision overturned.

The Company insisted on demanding Judicial Review of Norrie’s decision. On Wednesday, September 11, 2024, representatives from your union and lawyers from expert labour law firm Chivers Carpenter appeared in court to argue against the Company’s Review.

For clarity, it is worth noting that Judicial Review of an arbitrator’s decision has nothing to do with whether you agree or disagree with the decision itself. Rather, Judicial Review is an appeal to a judge that some serious error has occurred in the process of coming to the decision. 

While the Company made attempts to point to such errors in the Final Offer Selection process that is outlined in an LOU of the Safeway collective agreement, we were unconvinced that they were successful in making a strong case.

To the contrary, your union and our lawyers were much more confident about the case we were able to present. It seemed quite clear that the Company simply did not like that the arbitrator selected our proposal and was using Judicial Review as a way of arguing against the decision rather than pointing to an error in the process.

Unfortunately, no one can really predict the outcome of the hearing. However, your union is reasonably comfortable with how the proceedings unfolded and is hopeful for a ruling in the next 3-6 months.

Defending this decision will give us the ability to point to the win for other members as we seek even more aggressive wage increases across the province to Stop the Squeeze and make life more affordable.

Bargaining looms

Despite all this back and forth, your union knows that the arbitrator’s decision still leaves more than 3,000 Safeway employees who are not top-rated or overscale out in the cold.

“We know that Safeway employees who are not top-rated or overscale feel left out by the Wage Reopener process,” said Secretary Treasurer Richelle Stewart. “At a time when costs are at all-time highs, those workers haven’t seen any increase in their wages, and that isn’t fair.”

“Every time we sat down with Safeway during the Wage Reopener, we demanded that they do something for every single Safeway employee. And every time, Safeway refused to do the right thing,” continued Stewart.

“That’s why we are coordinating the most aggressive negotiations we have ever run at Local 401, and we’re starting with Safeway. We will be demanding wage increases for all of our members that will help to make your life more affordable.” 

Next week, your union will be meeting with more Safeway Shop Stewards in Edmonton to continue discussions about preparing for bargaining and pushing Safeway to Stop the Squeeze for everyone!

We will also keep Safeway members updated as developments arise with our latest grievance, other arbitrations, and the Wage Reopener Judicial Review.

Be reminded that whether we win or lose in legal proceedings, the ultimate way to improve your workplace is through union solidarity and advancing the strongest bargaining positions that we can.