| FOR IMMEDIATE RELEASE May 1, 2001 |
Contact: Mary Lou Romaine-Waymer at 770-991-1700 ext. 50 |
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Workers Win: Union and Kroger Agree to Wage and Benefit Pact The threat of a strike by almost 15,000 Kroger employees statewide was averted Sunday when a new contract was ratified. Kroger employees in Georgia remain among the 3% of employees nationwide who have benefits fully-paid by their employer. "In Atlanta's fiercely competitive grocery market," said Steve Lomax, President of the United Food and Commercial Workers (UFCW) Local 1996, "this agreement allows the company to attract new employees and provide stability and security to current workers and their families. We've protected our members' health benefits and provided good, competitive wage increases," said Lomax. "Before the contract was resolved, Kroger's actions placed worker health benefits in jeopardy. Employees were unsure month to month whether their dental or vision benefits would be continued, or whether there would be drastic cuts to medical and prescription drug benefits." Lomax pointed out that Kroger's major competitors in Georgia-Publix and Wal-Mart-do not come near to providing the comprehensive health care benefits that come under Kroger's union contract. "Our new agreement makes Kroger 'Number 1' in its package of wages, health care, pensions, vacations, and other benefits for employees," he said. "Even with competitive wage increases," added Lomax, "grocery employees cannot afford to pay health and pension benefits out of their own pockets." "This new contract goes back to the basics as far as we're concerned. It restores the foundation that helped to make the Kroger chain one of the most profitable in the country. That is, when you provide benefits for workers and their families, you stabilize your work force." "We've got better benefits for both full- and part-time workers than most of working America," said Lomax. "We're glad Kroger did the right thing, so we could proudly say, "Shop Kroger!" UFCW Local 1996 represents over 20,000 employees, primarily in Georgia. Members are organized in retail foods, poultry, nursing homes and processing and packaging plants.
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