New Mexico union secures tentative Albertsons deal, likely averting strike

The union representing thousands of New Mexico grocery store workers will likely avoid a strike after reaching a tentative agreement on a new contract with Albertsons.

The United Food and Commercial Workers Local 1564 reached the agreement Thursday evening, said President Greg Frazier. The contract, which would span four years, is still subject to a vote by union members.

The Albertsons deal marks the second time this week that UFCW Local 1564 has reached an agreement with a grocery chain. A 16-member union committee reached a deal with Smith’s in conversations that started Monday and continued into early Tuesday.

“It worked out great for the workers,” Frazier said.

Frazier said contracts with both the Kroger-owned grocery chain and Albertsons will be “ratified over the next two weeks.”

Albertsons didn’t immediately respond to a request for comment.

Frazier said the Albertsons agreement includes withdrawing the unfair labor practice charges the union filed with the National Labor Relations Board two weeks ago, accusing the company of colluding with Smith’s as the union worked through contract talks. The union is also dropping its charges against Smith’s, which held the same allegations.

Frazier declined to share other details of the agreement with Albertsons, as workers still need to review the proposal, though he told the Journal earlier this week the Smith’s deal includes pay increases for workers.

The agreements follow a strike authorization reached by the union’s members last week as they were preparing to walk out if deals were not reached with the grocery chains by the June 28 deadline, when UFCW Local 1564’s contracts with Albertsons and Smith’s were set to expire.

Later last year, a proposed merger between Kroger Co. and Albertsons Cos. fell through, after two separate judges temporarily blocked the deal. Albertsons withdrew from the merger shortly after, and both companies have since sued the other over the fallout of the $25 billion deal.

The agreements with both Smith’s and Albertsons mark a major win for the New Mexico union — a contrast to the strikes and stalled talks playing out in other states.

Union strikes took place in Colorado this week and last week at Albertsons-owned stores, though the Denver Post reported Friday that conversations are back on between United Food and Commercial Workers Local 7 and the company. Strikes could also take place in California, Idaho and Washington over contract negotiations between local unions and grocery chains, USA Today reported.

“I feel great for the workers,” Frazier said about the New Mexico deals. “I always feel great for the workers when I can see them get some things that they deserve.”