Shaw’s, union ink
five-year contract
Potential strike avoided
By Donna Goodison
Tuesday, August 5, 2008
United Food and Commercial Workers Union Local 791 signed
new five-year contracts with Shaw’s Supermarkets Inc., avoiding a potential
strike by 5,600 store and warehouse workers.
The two sides, which had been negotiating since June, met
every day last week before reaching a new agreement at 5 a.m. Sunday following
a marathon overnight session with the help of a federal mediator. The old
contract technically expired at 12:01 a.m. Sunday.
“We knew that it was going to be a tough contract based on
the current state of the economy, as well as the very competitive retail
market,” Local 791 spokesman Peter Derouen said. The
union represents employees at the West Bridgewater chain’s 38
Shaw’s had proposed “substandard” wage increases with some
lump-sum bonuses and wanted to eliminate its contributions to employees’ defined
benefit pension plan, according to Derouen.
“We were able to get rid of the bonuses and get general wage
increases for everyone,” he said. “The company had really been pushing to
freeze the pension plan and then introduce a 401(k) plan, which we were able to
fight off.” Shaw’s spokeswoman Judy Chong said the company was pleased with the
outcome, but she declined to talk contract details. “The contract provides
associates great benefits while allowing Shaw’s to be more competitive and
flexible to serve our customers,” she said.
bostonherald.com