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The Chicago Sun Times reports this morning that “warehouse workers and drivers at Safeway-owned Dominick's were told this week the grocer will end the day-to-day Teamsters union contract extension they've operated under” for more than a year. The contract originally ended in April 2004, but the two sides agreed to an extension while they continued negotiations.

The unilateral decision by Safeway to end the day-to-day deal apparently was connected to the decision by one bargaining group to reject a union-endorsed contract proposal, despite the fact that two other union groups has approved the proposal. The company was said to be hoping that its move would force the rejecting group to change its mind.

Safeway is not commenting on the report, except to say that shoppers should not be worried about a lockout or a strike.

The contract with the Teamsters is a separate deal from the contract with the United Food and Commercial Workers (UFCW) that expired in 2002 and has been kept alive by extensions since then.
KC's View:
Whenever we read about Dominick’s, we keep getting the feeling that there is at least one shoe that hasn’t dropped yet.

A big shoe.