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Raley’s workers walk the line; management keeps doors open


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By Dale Kasler, Sacramento Bee

The grocery shelves were stocked, the coffee stand was open and shoppers were lined up at the deli counter for sandwiches.

On the picket line outside, morale was high and strikers said they were settling in for the long haul. They pumped their fists every time a potential customer left without going inside.

Monday was Day 2 of the strike against Raley’s, and across Northern California both sides were scrambling to put the best face on things. It wasn’t clear if labor or management had gained the upper hand.

Raley’s said it was pleased with overall operations and customer support. What’s more, spokesman John Segale said, “nearly half” of union employees showed up for work Monday.

The United Food and Commercial Workers denied that many workers crossed the picket line, but the union wouldn’t provide specifics. UFCW officials said the picketing workers succeeded in driving shoppers away.

“Raley’s customers are shopping elsewhere while the workers are on strike,” said UFCW Local 8 President Jacques Loveall in an emailed statement.

Raley’s has two stores in South Lake Tahoe. Pickets were out in force at the driveway entrances to both stores as well as in front of the store. People carrying signs were also along the highway in front of the Raley’s owned gas station at the Y.

While the company says normal operations are under way, the usual Monday donation to Bread & Broth was not received.

Company Chief Executive Michael Teel, in a radio commercial airing Monday, urged shoppers to ignore the strike.

“You can still count on us,” he said, reminding listeners of the grocer’s decades of experience.

Getting a gauge on the volume of customer activity was difficult. Segale said it was clear that some consumers “changed their shopping habits” but others were “coming out, supporting the company.”

One Sacramento customer, Dolly Rominger, said she came to the Folsom Boulevard store only because her mobility is limited and she didn’t want to drive farther. She expressed sympathy for the picketing workers.

“I feel bad for them,” said Rominger, who lives about three miles away. “I don’t like to see anybody have to stand on a picket line.”

Strikers said they walked out largely to protect their health plans. Raley’s wants to switch them to a different plan and eliminate health coverage for retired workers who are eligible for Medicare.

Not all shoppers were convinced that the strike was warranted. Vanessa Herburger, 26, her cart full of fresh fruit and vegetables, expressed mixed sentiments. Herburger, a state worker, said she has endured her share of cuts and furloughs in recent years.

“They are standing up for what they believe, and that’s good, Herburger said. “But I’m just happy to have a job.”

Maybe the Raley’s employees should be, too, she suggested, during tough economic times.

Supermarket industry consultant Bob Reynolds said Raley’s could find itself isolated, as there is no shortage of union and nonunion stores where Northern Californians can buy groceries without crossing a picket line.

“It’s not just short term, it’s long term,” he said. “You never want to show your most loyal shoppers where the alternatives are.”

The strike has put something of a strain on Raley’s operations. Store hours have been reduced at several locations. But every store is open, and Segale said logistics are running smoothly for the most part.

Although Teamsters drivers are refusing to cross the picket lines, Segale said they’re delivering products to nearby sites, where store managers can collect them. Besides, many deliveries come from nonunion vendors, he said.

“They’re able to get product to the stores … and put on the shelves,” he said.

Yet it’s typical in supermarket strikes for some products to run short eventually, Reynolds said.

Even if replacement workers are hired, as Raley’s has promised, it’s tough to keep all departments fully stocked over the long haul, he said.

The union says it has amassed a $60 million strike fund and will pay striking employees at least $200 a week. That’s a fraction of the $840 a week earned on the job by veteran employees at the top of the pay scale.

Still, the striking workers said they were committed to staying out of work for as long as it takes.

“If it lasts until the winter, and the rain is falling down, I’ll be out here,” said Brian Pickens, who was manning the picket line at the Folsom store. “I’m in for the long haul.”

Ken Jacobs, a labor relations expert at the University of California at Berkeley, said most strikers stayed off the job for the duration of the nine-month Southern California grocery walkout in 2003.

He said Raley’s proposals on health insurance could keep the workers anchored to the picket line.

“When people see their health care threatened, that’s the kind of thing that tends to keep people motivated,” he said.

This appears to be the first walkout in the U.S. grocery industry since 2010, when employees struck warehouses owned by Shaw’s Supermarkets in New England. That strike lasted four months.

— Lake Tahoe News contributed to this story.

 

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Comments (23)
  1. Dogula says - Posted: November 6, 2012

    So why wouldn’t the union allow its members to vote on Raleys’ offer?
    If the union actually gave a hoot about its people, it would consider what THEY want, not just what is best for the union leaders.

  2. A Raley's Emp. says - Posted: November 6, 2012

    Thank you Dogula. And yes, in reading the article, Raley’s stated that “nearly half” of the employees crossed the line and are working. If you walk into the Stateline Raley’s store, you will see basically HALF of the workers still working and that’s workers who elected to leave the Union in order to continue to work without fines and such from the Union. The “Y” store is a bit under that, but in as much as I can tell, many are seeing that the Union lied in telling us that this was going to be a 2 or 3 day strike… Many more workers are in consideration of a longer strike and feel as if they too will be returning to work. People can’t afford 200 dollars a week, all the while the Union gets regular pay. I am sure as the week wears on and the wallets are strained, people will see that the Union knew that this was going to be longer and took advantage of us and many will return… including me! It is hard to stand up for our future when our present situation needs immediate attention, and without a healthy savings account, who honestly could possibly stand out here for the long run when you got families to feed and bills to pay. How about everyone in the community that is so outspoken in a cause that is not their own, how about come down to the picket lines and pledge financial support in donations in order for those of us being taken advantage of for the Unions own agenda. I’m sure either strike location will be glad to set up fund for such a gesture. I don’t really want anyone to do that, but do you see the picture? Is it clear that the Union thinks we will stand outside in a snowstorm holding a sign, watching our spouses use a credit card to pay for us to go shopping at Safeway… Think about it. Better yet, lets all go shop at Wal-mart during this strike and give the real evil more financial means to do more harm to good people like the Raley’s store and such, how about that Union? Is that what we should do? This is stupid and people are acting like children and I’m not bloging this anymore, All of you all can stand out here in the weather if you want, Raley’s is good to me and I’m going back to work!

  3. A Raley's Emp. says - Posted: November 6, 2012

    … First i’m voting, then going back to work.

  4. Dogula says - Posted: November 6, 2012

    Best of luck to you, A Raley’s Emp. We know you’re in a tough spot. We all live in this town together, we all do care about each others’ well being. Hope all goes well.

  5. SLT Voter says - Posted: November 6, 2012

    If I were Raley’s I would fire them all on the spot. I can not believe an employee of a company would stand in front of their business and tell them to shop somewhere else. Go work somewhere else!

  6. tahoeadvocate says - Posted: November 6, 2012

    Safeway has just brought all their employee hours up to a full 40 hour work week. I wonder how many of their new customers will find it’s just as convenient to shop their even after the union settles wtih Raley’s?

  7. Dogula says - Posted: November 6, 2012

    Advocate, Safeway is just adding extra people to cover the extra business. ALL businesses add coverage during busy times. Once this is over, the service goes right back to whatever it was before.
    I shop both stores. Each has strengths and weaknesses.

  8. Dogula says - Posted: November 6, 2012

    P.S. They have the same union.

  9. Steven says - Posted: November 6, 2012

    Picketers(?), in Tahoe better up their vitamin C intake. They are going to be miserable starting Thurs. when it gets cold and snowy. They are going to want some of that hot Peets coffee.

  10. Dogula says - Posted: November 6, 2012

    LOL! They won’t walk in the store. They’ll have to go to the non-union donut shop or the non-union Starbuck’s.

  11. Ace says - Posted: November 6, 2012

    I am not a fan of unions, though I advocate representation for employees. These days, there are better alternatives to the classic, “long in the tooth” unions.

    The proposed changes in Raley’s employee benefits hurt…the employee. However, the economy has forced these changes on many, many businesses…local and otherwise. From my understanding, Barton made many benefit cuts to its employees nearly 4 years ago. The casinos have done the same. CALPERS is in trouble, and has reduced benefits over the past years. Raley’s put off these cuts for a long time. Growing pains hurt, change is hard. Pensions are merely “a promise”, not guaranteed. Many airlines took away pensions completely years ago! Even current employees lost pensions, and had their salaries docked 30%! Poof! Those folks are also union!

    My point is…it sucks, but when it comes to the bottom line for the survival of the “business”, concessions need to be made. The concessions should include the “administration” as well. That’s where the “unfairness” comes in.

  12. ljames says - Posted: November 7, 2012

    “They are standing up for what they believe, and that’s good, Herburger said. “But I’m just happy to have a job.”

    “Maybe the Raley’s employees should be, too,” she suggested, during tough economic times”

    So how is that for an open invitation to employeers to exploit workers when the sense is the economy is not what it might be?

    Plus, who exactly decides what employers can truly afford or not afford? Collective bargaining is a right in the U.S. and so is striking for most employee types. Someone will blink first, and in essence that is a capitalist response in which the outcome will be the market speaking. Why people who on the surface seem to be defending “free-market” pricipals would object to that process so vociferously is rather hypocritical isnt it?

    Plus, where do people think our labor laws would be without unions and collective barginning? Are folks ready to go back to 12-hour six-day work weeks for less pay? By extension of the logic of “happy to have a job” we could justify slavery for the unemployed by saying “they should be happy to have food.”

    More to the current point, is the idea of company pensions, which many folks paid for through payroll deductions or salary concessions something that is any less needed now than 40 years ago? And the statement that a pension is “A promise, not a right” mixes apples and oranges a bit. When you take a job which offers a pension under contract, that is something that is guarenteed by law, invested pension funds with varying returns notwithstanding. Does anyone remember the Charles Keating of Lincoln Saving and Loan scandel in the mid 80s? Where the company owner didnt just loose the value of his employee pensions in bad investments – he stole it to pay other debts!

    So businesses are going to do everything to increase profit and workers are well in their rights to do everything to increase pay and comensation – including exercising their rights to collective bargining and striking and trying to garner support from consumers and others to support the strike. And yes sometimes that risks putting the company under, but trust me, most large businesses that close a plant or whatever to move to a cheaper state or country, or that put competitors out of business (can we say WalMart?) they arent worrying about laid off workers are they? That it’s a dog eat dog world out there is just the harsh reality – and that I would say is a large part of the basis of the American capitalist system.

  13. david james says - Posted: November 7, 2012

    My wife and I will soon be arriving in the area for our 5th winter and trust me, we will be doing all of our shopping at Raley’s because of the strike. I happen to be one of those who believe that the unions are one of our biggest problems in the nation.

  14. Dick Fox says - Posted: November 7, 2012

    David,
    Do you know how many Union working people gave their lives for worker rights in this country in our history? I’m absolutely sure you don’t care. This was/is a war for workers vs. the greedheads for basic human survival of our families here in Tahoe, and how nice for you that you can “winter” here with the peons.

  15. Dogula says - Posted: November 7, 2012

    Ah, Mr. Fox, keepin’ it classy as always.
    You need to do something about that little envy problem of yours. For all you know, Mr. James may have served in some great capacity, and/or worked his tail off all his life for a little vacation time now. You should be grateful he vacations here.
    We welcome our visitors whatever their political opinions.

  16. Dick Fox says - Posted: November 7, 2012

    Dogula,
    I worked my fanny off for 40+ yrs. and no doubt have much more money and property than you do. I just put a big downpayment on my Grandaughter’s 1st home. I’m not envious of anything or anyone.. I just despise the duped and ignorant citizens that are so willing to acquiesce to the oligarchs because rush or BillO the clown or sickos like Ayn Rand say so.

  17. thing fish says - Posted: November 7, 2012

    Nice attempt at dismissing Mr. Fox’s opinion by labeling his as envious. Now that you have been unsuccessful will you address his points?

  18. buster57 says - Posted: November 7, 2012

    A lot of people worked hard to get the unions,but unfortunatley Mr. Fox thats not what they are now,they are a business the union reps make anywhere from$100,000 to $150,00 plus car etc. they won’t even let the employees vote on the contract.You have to remember Raleys is a very small fish in a big pond. Did you know that the senoir clerks at raleys make $21.00/hr get 5 weeks vacation,holidays,birthdays and floaters and when their years of service and age equal 85 they can retire with pension and benefitswhci means at least 55,because most of them started after high school. They can work another job and collect their pension,they can even work at a non union raleys and collect their pension,how many companies do that. The employees are not losing any money there is no pay cuts. SO you can think what you want but make sure you know the facts.

  19. Dick Fox says - Posted: November 7, 2012

    $21/hr.!!!! horrors!! and benefits??? and vacation?.. the nerve.. geez, let me clutch my pearls for a moment ….
    That was the living wage in the dang 80’s here. Guess what? Most industrialized countries in the world offer this and more to their people. Getchur head out.

  20. buster57 says - Posted: November 7, 2012

    wow what world are you living in brother your gonna twist it any way you want you sound like a lot of fun lol

  21. ljames says - Posted: November 7, 2012

    ditto on Mr Fox’s comments and interesting that the assumption is if you give people their due for making good wages, you must be poor?

    Also interesting (I am being polite) that buster57 lists the compensation package at Raleys as though they were the booty from some sort of criminal heist? By the way $21/hr even if you are full time comes to $43,000 a year, before taxes – that leaves you say 30k in actual cash – with the average 3 bedroom house rental in SLT costing $14-18k a year, that leaves 12-14k for everything else – you dont have to keep doing many family budget calculations to realize that, for say a family of 2-3 kids, this is a pretty middle of the road income and these folks havent “stolen” anything.

    Maybe people not valuing the work people do(even by many workers themselves) is what is keeping Tahoe’s economic development down – most foks here make and accept poverty wages w/o benefits but live in a town where rent and real estate is driven by wages made elsewhere. What this town needs for true stable commnunity development are more jobs with wages that actually allow our workers to live here.

  22. ljames says - Posted: November 7, 2012

    PS too bad David James isnt a relative – then maybe I could summer in his winter house in exchange for watering the lawn :)

  23. Dogula says - Posted: November 7, 2012

    You’re right, ljames. When you figure out how much money illegal workers can make when you include their welfare, medical, food stamps,wic, obamaphones, etc, it doesn’t make much sense to work for a grocery store anymore, does it?
    All us working stiffs are just suckers.
    Shrug.