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Labor & your groceries: It all comes down to consumer choice
By: PETER LARKIN - Commentary | ∞
A striker yells at a Vons Supermarket customer outside the Vons Supermarket in Carlsbad during the 2003 strike.
North County Times File Photo
With online shopping at our fingertips, small ethnic markets on every corner and an ever-expanding number of options on where to find our groceries, Californians enjoy the freedom and luxury of choice. This choice allows consumers to determine what groceries they want to buy and where they want to spend their money. But grocery labor unions struggling to stay relevant in the 21st century have a different idea about the freedom of consumer choice. They believe consumer choice is "too much of a good thing" and should be artificially controlled by politicians.
Whether it's a big supermarket chain, supercenter, ethnic market, niche health store or independent grocer, Californians never have to go far to find groceries. At the same time, these companies are struggling to keep groceries affordable in the face of rising health care costs that threaten grocers' bottom lines. As grocers engage in fierce battle for every sale, the winner is the consumer. Grocers know you can find a loaf of bread nearly anywhere, so they must stock their bread aisle with dozens of choices at competitive prices to win your business. As a result, the intense competition between grocery providers today ultimately benefits grocery shoppers.
Unfortunately, the same changes in the grocery industry that benefit the consumers are also jeopardizing union membership. The struggle to remain competitive, when combined with skyrocketing health care costs, mean that both union membership and employers must share the burden of increased costs and decreased profits, as is happening in other industries across the nation. But union leaders are not seeking compromise and instead are crusading to persuade politicians to restrict free enterprise, and
ultimately, to end the consumer's freedom of choice.
After Wal-Mart announced plans for 40 supercenters in California, all of which would operate with non-union workers, the unions launched vocal campaigns to discredit the company and stop the sites from being built. Relying on their politician friends to pass ordinances and state laws to restrict consumer free choice, the unions and their modern-day witch hunts accuse Wal-Mart of many transgressions; including mistreatment of workers, racism and environmental malfeasance. In addition to slowing Wal-Mart's
expansion plans, the unions are now focusing on Tesco as it makes plans to enter the market. Using front groups and underhanded tactics, the unions are trying to stop Tesco, the U.K.'s leading grocer, from offering more choice to consumers because it might erode union membership.
Ironically, union leadership has also directed their efforts at the three large union grocery chains in California: Albertsons, Ralphs and Vons. Only three years after a bitter strike had a devastating impact in Southern California on employees, customers and the companies, the unions are at it again. They are pressuring politicians to punish the companies economically by denying them business licenses and dictating unfair and arbitrary labor costs.
This strategy can only lead to self destruction. Rising health care costs, the competitive landscape, and the petty tactics employed by the unions will economically harm these companies. The sad fact is these pressure tactics and media stunts will limit consumer choice and erode the number and quality of union jobs in California.
Grocers, like any business, ought to be able to compete for their customers and consumers ought to be able to choose where they shop, what they buy, and what they are willing to spend. With a wide variety of grocery options, customers don't care to hear about labor costs, inflation or the rising cost of ingredients such as corn or milk. Instead, they demand accessibility and affordability when shopping for their basic food necessities. If we allow the unions to continue to pressure our local governments into economically harming grocers and restricting their ability to operate, it will lead to increased grocery costs and less customer choice. Customers will no longer have the freedom to choose where they shop ---- and paying $4 a gallon for gas may seem like a bargain when compared with the price of bread, milk or diapers.
Peter Larkin is president of the California Grocers Association.
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RG wrote on Jun 17, 2007 6:34 PM:Yes, the unions are shooting themselves in the foot in many industries. Auto unions, police and fire unions, and of course the grocery unions. Wal-Mart is providing customers more and more food choices and must be laughing all the way to the bank.
Delivery Rocks wrote on Jun 17, 2007 6:59 PM:I have shopped grocery stores and dread it with every visit. As soon as Albertsons came through with delivery in my area I have used it regularly and I relish the extra time it leaves my on a regular basis. I understand this union BS puts that at jeopardy because, while the delivery drivers are non-union, the people who packs the bags are. Should the service I pay for be dimenished based on this union diatribe I will be sure to cross the line and make sure I support the business who has provided me with above par service despite these legal exortiionist unionistas. Go Business!
Concerned-1 wrote on Jun 18, 2007 9:47 AM:Just wait and see what happens if the nincompoops in office pass the immigration bill. Kiss you union bennies goodbye!
CR wrote on Jun 19, 2007 11:22 AM:The grocery union is just another bunch of money-grubbing union bosses. They lie to their members just to keep the union dues up, but when a member really needs their services they are no longer available. Hope the grocery stores have the guts to break the unions this time--they should have done it last time.
OHS Graduate wrote on Jun 20, 2007 7:08 AM:After the debacle of three years ago regarding the UFCW and the union shop chains (Vons, Albertson's, Ralphs & Stater Brothers), I took my business to the WalMart Supercenter. I've since observed that WalMart doesn't necessarily carry every item in stock all the time (they carry what the truck brought them lately - how aggravating) and - their prices also go up! I now shop at Winco, an employee owned chain, and (when prices are best at the time) also at Costco. Bye, WalMart! Oh. . . the last remaining Ralphs in my area always has items for 50 cents to a dollar (or more) more than Winco, so I have renamed that Ralphs "the world's largest 7-11." Its impending closure awaits. . .
Reardon wrote on Jun 20, 2007 12:47 PM:The list of American companies and industries destroyed by unions is very long, and includes Eastern Airlines, onion growers in Texas, sugar and pineapple in Hawaii, and education in California. (The federal government ranks states based on annual testing, called The Nations Report Card, and California tests right at or near the bottom in every category.) Unions are their own worst enemy, but the members are too dumb to recognize it -- they deserve a Continuing Darwin Award.
Go TJ's wrote on Jun 20, 2007 6:39 PM:I've been shopping at Trader Joe's and Costco since the last strike. Haven't missed Albertson's or Vons a bit. Saving tons of money too!
Still Want to See What I Purchase wrote on Jun 21, 2007 8:21 PM:I really don't like the idea of buying food products online. It may be OK for items you know and trust but I prefer to read the labels. Is the seafood for example from China who has a reputation for tainted products. The US only inspects less than 1 percent of imports. Then there's the produce from Mexico and at Costco they are carrying beef from Mexico. No thanks!
Love Online Ordering wrote on Jun 21, 2007 9:06 PM:I've purchased groceries from Albertsons online for years now and I couldn't be happier. Now I can't always get everything I want/need, but I can definitely get the majority of it which is a major time saver. You're getting the same products as you would if you walked into the store and spend only a fraction of the time dealing with the nightmare that is grocery shopping. Try it ... you won't spend more than 15 minutes in a grocery store ever again!
I will not only wrote on Jun 22, 2007 7:27 AM:cross picket lines, but I am going to pick up some part time work at the stores. You fools can listen to your unions like last time, when people couldn't pay their rent or house payments. Where was your union in paying you to walk the picket lines, they ran out of money! Oh well don't feel any sumpathy from us we are going to cross and shop. Hassel us and we will call the police and file suit. Get a real job!
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