May, 2007

Immigration Deal Hurts Workers and Fails to Live Up to American Value

Washington DC—The UFCW is committed to working with all members of Congress on achieving meaningful immigration reform that is consistent with fundamental American values, protects all workers, provides immigrants an opportunity to fully participate in our democratic system and achieve the American dream.

While today’s deal reached on immigration provides an opening for comprehensive legislation on this critical issue, it has a long way to go before it can provide meaningful reform.

Too many aspects of the deal fail to live up to fundamental American principles of democracy and fairness.

We are a nation of inclusion—guestworker programs would only turn permanent jobs into temporary ones, create an underclass of exploited workers, and lower workplace standards for all workers.

We are a nation that values families—to create a point-system that would keep families apart or favor one family ahead of others undermines basic fairness and community stability.

We are a nation of opportunity—to create a system that favors one class of workers ahead of other workers closes the door to the American dream for millions of hard-working but less-skilled immigrants.

Any legislation that departs from these fundamental values will only exacerbate the systemic problems of our current immigration system.

Grocery Coalition Launches Door-to-Door Campaign, Seeks


Coalition Asks Consumers to Support Good Jobs by Pledging Not To Shop
At Albertsons, Ralphs or Vons in Case of a Strike or Lockout

Los Angeles—Community and religious leaders today joined more than 100  grocery workers and union members in launching the “Walk for Respect” campaign, a massive public outreach effort designed to help restore good jobs among the supermarket industry’s top three chains.

In the coming weeks, thousands of volunteers across Southern California will blanket neighborhoods around stores with pledge cards asking consumers not to shop at Ralphs, Vons or Albertsons stores in the case of a lockout or strike. The program will continue until the three chains agree to once again provide decent wages and affordable health insurance to their employees.

Grocery workers at Ralphs, Vons and Albertsons stores are currently locked in contract negotiations for the first time since the bitter four-and-a-half-month strike and lockout in 2003-2004. That contract expired March 5, and the stores have dragged out negotiations with a series of extensions in a bid to get further concessions from employees, despite record profits and declining non-union competition.

“Grocery workers haven’t had a wage increase since 2002, yet the markets are making billions in profits,” said Chris Zazueta, a veteran employee of Ralphs.  “New workers have to wait up to 18 months to even become eligible for benefits, and 30 months to get health care for their kids. No wonder turnover among new employees is as high as 85%.”

As community leaders, supporters and members from numerous Los Angeles labor unions gathered for a rally in front of an Albertsons store in Burbank, the frustrations with the stores’ tactics and the effects on workers and local communities became clear.

“Grocery workers have historically been pillars of communities across Southern California. For decades, the supermarkets provided jobs with decent wages and health benefits, located directly within our neighborhoods,” said Reverend Anna Olson, Deputy Director of Clergy and Laity United for Economic Justice (CLUE). “But times have changed. Now the markets are in a race to the bottom, undermining good jobs and our communities in the process.”

The contract imposed on workers following the lockout and strike severely curtailed benefits and wages for new employees, and denied any wage increases to veteran workers.

“The erosion of middle-class jobs impacts all of us,” said Rabbi Haim Beliak of Interfaith Communities United for Justice and Peace. “Our communities don’t need more people living one paycheck from the edge. We don’t need more uninsured families forced into emergency rooms and free clinics. The markets are making record profits. It is time for them to give back to the communities that make their success possible, or the communities must withhold their support.”

Of the 44,000 workers hired since 2004, less than 3,800 have health care, and less than 80 have coverage for their children.

A recent UC Berkeley study estimated that 20,000 fewer children have access to health care because of the changes since the strike and lockout.

“Ralphs, Vons and Albertsons need to understand they are part of our community,” said Manuel Hernandez, a community organizer with AGENDA. “They need to act like a good corporate citizen. That means providing fair wages and healthcare for their employees. They can afford it, and it’s the right thing to do. We need more good jobs in our neighborhoods.”

Immediately after the rally, volunteers walked door to door in the surrounding neighborhoods and stood in front of the store to gather pledges from consumers not to shop at Ralphs, Vons or Albertsons in the event of a lockout or strike.

The Walk for Respect program launched simultaneously across Southern California, with volunteers walking in communities from Bakersfield to the Mexican border.

“We’ll keep this up until we the stores begin to treat us and our communities with respect,” said Sharlette Villacorta, a longtime Albertsons employee on leave to work on the contract campaign. “The employers are making billions because of our hard work. They need to do their fair share and provide good, middle class jobs that nourish our communities.”

UFCW SUPPORTS KEY BANKING SENATE BILL

Washington, D.C.—The United Food and Commercial Workers (UFCW) International Union is proud to announce its support for the bi-partisan legislation bill being introduced in the Senate today which will strengthen the regulation of industrial loan companies (ILCs).  Introduced by Senators Sherrod Brown (D-OH) and Wayne Allard (R-CO), this important legislation is a real reform to address the huge growth of ILCs and the threat they pose to the safety and soundness of the U.S. financial system when these institutions are controlled by commercial entities.

 Michael J. Wilson, UFCW International Vice President and Director of the Legislative and Political Action Department, left, with Sen. Wayne Allard (R-CO), William A. Loving, CEO of Pendelton Community Bank, and Sen. Sherrod Brown (D-OH)

ILCs, which exist because of a loophole in the Bank Holding Act, are regulated differently from banks.  A growing number of ILCs are owned by commercial entities, which unlike banks, are not subject to consolidated oversight by the Federal Reserve Board.  This represents a perilous break from our nation’s long-standing practice of separating banking and commerce.  The Brown/Allard bill will strengthen the regulation of ILCs and protect the foundation of the American banking process by placing crucial limitation on certain existing ILCs and prohibiting the creation of new commercially-owned banks.

“We need to close the loophole to end the threat it presents to the security of the U.S. financial system,” said UFCW International Vice President and Director of the UFCW Legislative and Political Action Department Michael J. Wilson.  “Federal legislation is the only appropriate response for the construction of a sound banking policy.  The ILC loophole must be closed in order to strengthen consumer protections and prevent companies like Wal-Mart from entering the banking industry.”

The UFCW also strongly supports the House companion bill, H.R. 698, the Industrial Bank Holding Company Act of 2007, which recently was approved by the House Financial Services Committee.

The UFCW is a founding member of the Sound Banking Coalition which has fought to protect the financial security of working people.  The Sound Banking Coalition is made up of the Independent Community Bankers of America (ICBA), the National Grocers Association (NGA), the National Association of Convenience Stores (NACS), and the UFCW.