The Chicago Sun Times reports this morning that unionized employees at Safeway-owned Dominick’s have approved new three-year contracts “that include a two-tier health care benefit program that for the first time requires workers to contribute to their health care premiums, a wage increase of nearly 6 percent over the life of the three-year contracts, and an early retirement offer.”
The report in the Sun Times says that the “deal would raise the most senior employees' pay by 95 cents an hour to $16.90 from $15.95 an hour by the last year of the contract,” and will give workers bonuses depending on seniority. “The agreements require part-time workers to contribute $5 a month to their health insurance premiums and full-time employees to contribute $10 a month. They also include a buy-option for senior employees with a $30,000 pay-out.”
Safeway has pledged to begin aggressively remodeling stores once ratification of the new contracts took place.
The report in the Sun Times says that the “deal would raise the most senior employees' pay by 95 cents an hour to $16.90 from $15.95 an hour by the last year of the contract,” and will give workers bonuses depending on seniority. “The agreements require part-time workers to contribute $5 a month to their health insurance premiums and full-time employees to contribute $10 a month. They also include a buy-option for senior employees with a $30,000 pay-out.”
Safeway has pledged to begin aggressively remodeling stores once ratification of the new contracts took place.
- KC's View:
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Safeway has to do something to reverse a long history of declines in the Chicago market. The question is whether it will be too little too late.
Time’s a’wastin…
