Tentative Contract Reached Between Kroger and Albertsons Workers in California
The United Food and Commercial Workers (UFCW) negotiations for grocery workers in California are currently active with several key developments.
Negotiations Progress
A tentative agreement has been reached with Stater Bros. as of early August 2025, which includes higher wages and better retirement benefits. Negotiations continue with Gelson’s, with the union pressing for fair wages, benefits, increased staffing, and union job protections. Talks with Safeway and Vons workers are ongoing under federal mediation, with a temporary extension of strike deadlines announced in late July 2025.
Potential Implications for the Industry
If agreements finalize with improved wages, pension contributions, and benefits, grocery workers will have stronger economic security, potentially reducing turnover and improving working conditions. Strikes or other escalations remain possible if agreements are not satisfactory, which could lead to disruptions in grocery supply chains and store operations across California.
The negotiations reflect increased union assertiveness in the grocery sector post-pandemic to address understaffing and wage stagnation, possibly influencing broader labor relations and cost structures in the industry.
Unionized Grocers and Retail Footprint
UFCW Local Union 8-Golden State represents grocery workers at Albertsons, Safeway, and Vons, with a bargaining unit that extends from the Grapevine to the border with Oregon. Albertsons Cos., which operates over 2,270 retail food and drug stores across 34 states and the District of Columbia, is ranked No. 9 on Progressive Grocer’s 2025 list of top food and consumables retailers in North America.
Separately, Kroger, which employs nearly 420,000 associates and serves over 11 million customers daily, has reached a tentative agreement with UFCW Locals 135, 324, 770, 1167, 1428, and 1442. Kroger is ranked No. 4 on Progressive Grocer's 2025 list. Stater Bros., which operates nearly 170 supermarkets in Southern California and employs 18,000 associates, is ranked No. 60 on the same list.
Union Members and Voting Process
The UFCW Kroger and Albertsons Grocery Workers Rising Bargaining Committee will share details of the agreement with union members before the voting process. The vote results and more information about the contract will be made public after union members have had the opportunity to review and vote on it.
Employees at Southern California Stater Bros. stores are currently negotiating similar terms with their employer. In related labor news, Southern California grocery workers have authorized a strike. The grocery workers covered by the contract are employed at Ralphs, Albertsons, Vons, and Pavilions stores across Central and Southern California. The separate contracts with Ralphs and Albertsons expired this past March.
[1] Source: UFCW Local 8-Golden State press release, August 2025 [2] Source: UFCW International press release, April 2025 [3] Source: UFCW Local 770 press release, July 2025 [4] Source: UFCW Local 1442 press release, July 2025 [5] Source: UFCW Local 135 press release, July 2025
The negotiations with Safeway and Vons, significant players in the California grocery industry, are continuing under federal mediation, potentially influencing the finances and business strategies of these companies.
If agreements are reached in grocery stores across California with improved wages, pension contributions, and benefits, the finance and business sectors could see a ripple effect, as stronger economic security for workers could impact the industry's labor relations and cost structures.
