Crain's Chicago Business reports that despite the fact that Supervalu supposedly is poised to buy the Dominick's chain of stores from Safeway, the united Food and Commercial Workers (UFCW) union is preparing to deal with Safeway when its contract with the retailer expires on July 26.
Safeway, which bought the chain back in 1998, signed a short-term deal with the union last year that was designed to keep the stores open while it found a buyer for the stores. The California-based retailer has been criticized for engaging in a policy of centralization while integrating Dominick's into its overall operations, which eliminated many products that were local favorites and disenfranchised local consumers.
Adding to the complications is the speculation by analysts that before Supervalu signs a deal, it will want concessions from the union.
Safeway, which bought the chain back in 1998, signed a short-term deal with the union last year that was designed to keep the stores open while it found a buyer for the stores. The California-based retailer has been criticized for engaging in a policy of centralization while integrating Dominick's into its overall operations, which eliminated many products that were local favorites and disenfranchised local consumers.
Adding to the complications is the speculation by analysts that before Supervalu signs a deal, it will want concessions from the union.
- KC's View:
- This is one of those stories that just will not die. Ever.
