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Grocery conflict rooted in last strike

The wage deal of three years ago still rankles workers, and greater competition since then is squeezing the stores.

NEWS ANALYSIS

April 23, 2007|Jerry Hirsch, Times Staff Writer

Wormer, the shopper who ditched the companies during the last go-round, said he didn't know why the chains and the union would even talk about lockouts and strikes at a time when the competitive landscape is changing so quickly.

"Each side has to give a bit," Wormer said.


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Negotiations are secret. But there's no sense yet that either side will budge, said Dave Smith, associate professor of economics at Pepperdine University's Graziadio School of Business and Management.

"Both sides are fighting for principles that are to a certain extent mutually exclusive," he said. The grocery stores want to protect themselves from new competition and the workers want the type of wages and benefits that can support a Southern California household, he said. "It is all very reminiscent of three years ago."

jerry.hirsch@latimes.com

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(BEGIN TEXT OF INFOBOX)

Before and after the strike

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Together, the three supermarket chains lost market share to other grocers since the strike, but Albertsons made a small gain.

Share of Los Angeles County grocery market

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2002

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Others: 43.3%

Ralphs: 26.1%

Vons: 18.4%

Albertsons: 12.2%

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2006

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Others 50.6%

Albertsons: 13%

Vons: 15.8%

Ralphs20.7%

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Vons includes Pavilions

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Source: Shelby Report/ACNielsen

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Union workers per store

Number of supermarket workers covered under union contract*

*--* No. of # of union Union workers Chain stores employees per store Albertsons 249 22,319 89.6 Vons** 274 23,762 86.7 Ralphs 262 19,545 74.6 *--*

*as of Dec. 31, 2006 **Includes Pavilions

Sources: Supermarket companies

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