By Errol Schweizer
Source: Forbes
A new report on Kroger and Albertsons reveals the stunning impacts of continued underinvestment and understaffing in retail stores, all while stock buybacks and Ecommerce losses have skyrocketed. Commissioned by a group of retail and wholesale unions currently in contract negotiations, Bullies At The Table surveys employees across stores in three states and underscores how customers and retail workers are paying the price for the misguided priorities of two of America’s largest grocery chains.
Kroger and Albertsons are, respectively, the second and third largest U.S. grocery chains (after Walmart) and employ 28 percent of U.S. grocery workers. Both grocers rank in the top three in market share across dozens of metro areas where they operate, including significant dominance in Seattle, Chicago and much of California. A federal judge recently blocked a two year long, billion dollar attempt by the two chains to merge. Kroger’s longtime CEO resigned in March and the CEO of Albertsons retired in early May. Both companies face significant headwinds in the grocery industry, including impending tariffs, competitive pressures from non-union discounters and specialty chains, and a slowdown in consumption driven by years of price increases. Albertsons management in particular has disclosed to investors concerns about the company’s longterm fiscal health and retail readiness.
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