Union and Shoppers reach severance agreement; Franconia store now closed
Shoppers’ parent company and the union representing Shoppers workers have reached an agreement on severance for employees affected by recent store closures, the union announced last week.
Six Shoppers in the Washington D.C. and Baltimore areas have closed in the last couple months, including the one in Franconia and the one in Potomac Yard. Thirteen other Shoppers have been sold, and Shoppers’ parent company United Natural Foods, Inc. (UNFI) plans to “divest” itself of all other Shoppers stores by July.
United Food & Commercial Workers (UFCW) Local 400 Shoppers said Thursday’s agreement allows laid off workers to either transfer to another Shoppers or accept a severance package that includes:
- Separation pay commensurate with years of service
- Holidays and vacation time paid out
- Four months of continuing health care coverage
UFCW Local 400 President Mark Federici said the agreement showed importance of unions in protecting workers during situations like the Shoppers’ closings.
“When this company closed retailers elsewhere in the country, the employees were left out in the cold with nothing,” Federici said. “Thankfully, we were able to intervene in this case and ensure our members would be compensated through this transition.”
UNFI did not release a statement regarding the agreement.
UNFI acquired Shoppers in 2018 when it purchased Shoppers’ former parent company, SuperValu. UNFI plans to sell or close the rest of its Shoppers by the end of fiscal 2020 (June 30), according to the company’s last quarterly report, which was released December 31.
“Marketing efforts continue for remaining stores not sold/closed,” the report stated.
There has been no official announcement regarding the fate of the Hybla Valley and Lorton Shoppers stores.
The Franconia Shoppers closing date was not disclosed by UNFI even after it was revealed in December that the shopping center had applied for permits to divide up the space into three different spaces for future businesses. UFCW Local 400 said official word did not come down until early January.
In last week’s statement, Federici echoed recent criticism from the union about UNFI’s actions since acquiring Shoppers.
“For more than a year, we have been ignored by this company for simply asking for more information,” Federici said. “It wasn’t until after UNFI had already publicly announced the first round of store closures that the company was willing to sit down with us to determine how our hardworking members would be compensated through this transition.”
Early closing
Meanwhile the Franconia Shoppers in the Festival at Manchester Lakes shopping center has already closed — weeks ahead of a February 16 closing date announced earlier this month. On Saturday the doors were locked and it appeared that ownership had begun the process of selling off equipment inside the store.
It’s unclear why the location closed early, but a union representative said locations sometimes close early if inventory is exhausted faster than expected.
It is sad to see the Shoppers in the Hybla Valley area close. There is really no other grocery store in that location for people to get to. Safeway was at Mt VERNON Square Apartments closed and there is nothing north of there u til you get to Beacon Hill for a Giant and a little further north, Walmart. South of Shoppers is Costco, which is by membership and bulk purchasing, with Aldi south of there. The Hybla Valley Shoppers provides an option to bulk and a variety of food that Aldi doesn’t carry.
I just don’t understand why this store would be closed; unless there is plan to have a replacement grocery store go into the space that Shoppers will be moving from. But not any grocery store, but one comparable to Shoppers. There also needs to be consideration of the many people who travel by public transportation to Shoppers/grocery shopping. No everyone has a vehicle or the money for Uber/Lyft/taxi services. This Shoppers has everything needed, so truthfully, I’d like to see it remain in our neighborhood.
Severance pay was capped at 10 weeks pay. So someone with 10 years will be receiving the same as someone with 30 years. Franconia closed early because the stores that are replacing that location wanted to get started with the reconstruction. It wasn’t because they sold everything. All UNFI is showing is that they want to rid their hands of all Shoppers Food stores without any regard to the consequences it may have on the employees.
Severence was capped at 10 weeks .So you got the same 10 weeks even if you worked for the company for 40 years or 10 years . Too early for retirement, to old to be hired . Starting over at 58 . Worked 40 years with shoppers. Sad day . Just not right