Month: July 2019

As we continue our commitment to building a solid foundation for the future of Safeway, we’re excited to not only invest in our stores, but to do a little good for the environment while we’re at it.

Safeway stores across Alberta are participating in Sobeys’ Energy Efficiency project, a company-wide initiative to reduce energy consumption in our store network, while enhancing the shopping experience for our customers. We know that the largest energy drivers in our stores are lighting and refrigeration, together consuming 80% of our total energy output. With variations in types of lighting and brightness in stores across the country, we saw an opportunity for improvement and are excited to be taking action!

Executed in waves, 68 Alberta Safeway stores are first in line to have all incandescent bulbs and fixtures upgraded to LEDs.

New LED lighting will cover the following areas:

• Production area
• Sales floor
• Vestibule
• Back of house
• Offices
• Washrooms
• Exit signs

The new lighting will help make our stores a more comfortable work environment, while better showcasing the outstanding products we have on display. While the project’s first wave will focus on interior fixtures, exterior retrofitting is scheduled for the near future.

Stay up to date on Safeway Talks for exciting updates as we roll out our Energy Efficiency project and share more ways on how we’re committing to sustainability in our stores.

Another week of bargaining between UFCW 401 and your bargaining committee has passed. Unfortunately, we didn’t achieve the momentum that we were hoping for, and importantly, that you deserve. We know that you’re wondering why the process is taking so long. You may be frustrated – and frankly, we are too. We’ve approached every bargaining session with a clear set of goals and objectives, and a commitment to coming to a fair agreement that balances everyone’s needs and interests.

Our goals: Investing in the future of Safeway & Introducing FreshCo to the Alberta market

Yet time and time again, the Union has been distracted from proposals that impact your lives and the lives of your teammates. After six weeks of bargaining, we’ve only discussed approximately 25 of 150 total proposals – none of which focus on scheduling, wages, vacation, or operational improvements. We know that these things matter and we need the Union to prioritize them, too.

In an attempt to gain momentum and streamline bargaining, we proposed a work plan during this week’s bargaining. The goal of the work plan is to better focus our discussions in a structured, scheduled manner, to help us reach a fair agreement more efficiently. Sadly, the Union showed minimal interest in our plan and simply reiterated that bargaining will just take as long as it takes.

We have always been open and honest, both with our employees and the Union, on why we have to introduce FreshCo in the right Alberta markets. Last month, we made a point of providing the Union with extensive data on FreshCo and the Alberta discount market in an effort to jumpstart these important conversations. We know that our customers and our communities are changing. We’re seeing more value-savvy shoppers who are focused on getting the best items at the most affordable prices. We aren’t attracting the same customers at Safeway that we will be at FreshCo. By not offering a Discount grocery retail banner, we’re significantly limiting our market share in Alberta. The fact is that we just can’t keep going with the way things are now. We can’t offer customers FreshCo pricing while supporting the Safeway full-service business model – nor do we want to. We want Safeway to stay Safeway, and FreshCo to be FreshCo. We’re committed to investing in Safeway, but no matter how hard we work, some of our Safeway stores can’t compete strictly based on the communities they’re operating in. We need to make a change now to avoid permanently closing underperforming Safeway stores in the future.

We have to stick together. Progress at the table has been slow, but we want you to know that we’re as dedicated as ever. The Company’s bargaining committee will continue to come to the table prepared to advance negotiations. Again, we’re incredibly thankful for your commitment and patience throughout this process.

We look forward to sharing more progress with you soon on Safeway Talks.

On Saturday, June 22, Safeway stores across Alberta joined forces to proudly host our 2019 Summer Food Fairs, Summer’s On.

Our Safeway teams put their best foot forward to celebrate the beginning of the season, creating a one-of-a-kind shopping atmosphere full of fun and enthusiasm for our customers. Excited customers enjoyed some our favourite seasonal products and tried a few fun new Compliments items. ​In addition to our own loved Private Label items, local suppliers were on-site to showcase many of their new products fit for summer family fun. And not only that, but our Starbucks teammates joined in on the excitement to sample four new products of their own.

Many stores also welcomed Special Olympics athletes to help kick off our national Special Olympics Check stand Campaign, running in stores across the country from June 20 – July 3. Stay tuned to Safeway Talks in the coming days as we share the campaign’s results!

Congratulations to our store teams for truly bringing the 2019 Summer Food Fairs to life! You delivered on customer service while showcasing some of our very best products – and you had some fun while you were at it! We loved seeing your expertise, passion and awesome displays on our Safeway Facebook group, Safeway Team: Connecting Our Stores, Our People, Our Communities. Great work, team!

Take a look at just a few of the exciting in-store celebrations below:

 

Safeway Lake Bonavista – Calgary

Safeway The Grange – Edmonton

Safeway Spruce Grove – Spruce Grove

Safeway Riverbend Square – Edmonton

Team,

First, I want to thank you all for your warm welcome. I’m eager to continue my transition with the Alberta team and begin working more closely with you. I’m also thrilled to reconnect with so many that I’ve worked with over the past several decades and I look forward to getting to know those who I haven’t met yet.

That said, I want to share an update with you following the release of Empire Company Ltd.’s Q4 and full year results that were distributed on June 27. Overall, the Company is reporting strong progress with improved sales and earnings, which is positive growth compared to our results from just two years ago.

As part of Project Sunrise, the Company has implemented many significant changes across our store, office and distribution centre networks. Most notably, Project Sunrise included the significant reduction of back office employees by 800 since 2017, as well as various cost savings initiatives, such as Category Resets. Although many of these changes have been difficult for teams across the business, they have been necessary. These changes have helped in better positioning the business for profitable and competitive long term success.

While the results reported nationally were strong, there’s still a lot of important work ahead of us here in Alberta. The grocery industry continues to evolve and become more competitive, and our Alberta Safeway customers have more shopping choices than ever before. Many of our stores continue to be unprofitable despite the best efforts of our hardworking teams. Through the year ahead, we plan to significantly invest in our Alberta store network with exciting refreshed in-store designs, new investments in the Safeway brand, and of course, by containing to proudly serve the communities where we work and live.

We’ll continue to share updates with you as this exciting work progresses. As always, thank you for your continued hard work and focus on providing industry-leading store standards and exceptional customer service. Together, we are a family nurturing families.

 

Scott Chollak

Vice President Operations, Alberta

We couldn’t be more proud to share the exciting news! The 2019 Friends Helping Friends campaign in Calgary, Airdrie, Lethbridge, Brooks, Strathmore, Cochrane, Chestermere, and Okotoks was the most successful in the campaign’s 25 year history!

Since the program’s launch, millions of dollars have been raised for the Calgary Food Bank and food banks across Southern Alberta. This year, our store teams and customers stepped up to the plate like never before, and their amazing efforts and generosity were certainly reflected in the results! Throughout the month of April, a total of $476,053 was donated in food and funds to support food banks across Southern Alberta.

Thank you to our valuable store teams for their outstanding commitment to this year’s campaign! Day in and day out, you continue to prove the powerful impact we can have when we work together.

Campaign Results

Food Donations (value) – $396,472

Checkstand Donations – $68,581

Sobeys Inc. Match – $11,000

Grand Total – $476,053

Assistant Store Manager Eric Blaskin (Safeway Westhills) speaking to CTV about the campaign.​

Progress with UFCW 401 is slow

Two weeks ago, we were back at the bargaining table with UFCW 401 ready to advance negotiations. Unfortunately, UFCW 401 has not shown any interest in gaining momentum and negotiations did not progress.

Our focus at the table

We remain committed to securing a strong future for our teams and the company. To do that, we are focused on the future of Safeway and meeting customer preferences by introducing FreshCo to the Alberta market.

How we are investing in Safeway

With the help of our hardworking Safeway teammates, we are working hard to improve Safeway store performance. We are making investments to the Safeway brand, including a newly announced partnership with the Canadian Football League. We are investing in store upgrades and remodels. We are driving great results through our Show and Sell programs, Category Resets and local product offering. There is much more to come on these plans and we look forward to working alongside all of you to win at Safeway.

Why we are bringing FreshCo to Alberta

There are some markets, where our Safeway stores continue to struggle. These locations aren’t struggling because our teams aren’t working hard, they’re struggling because the communities they are operating in are shopping discount grocers, not full-service stores. No matter how hard we work, some of our locations are in the wrong markets. We’re asking your Union to be a part of these conversations and the future of FreshCo in Alberta. Unfortunately, your Union is refusing to participate in these discussions. This stall tactic is holding up our progress at the table. The Company is at the table committed to move forward. Our plans to bring FreshCo to Alberta will continue to progress.

The Union is focused on dividing us when we need to work together

Progress at the table has been slow and we have only discussed less than 20 of 150 proposals. There is much more for us to discuss in negotiations and we hope the Union will come to the table prepared to advance negotiations.

We are very thankful for your hard work and patience through these negotiations and will continue to keep you up-to-date. If you have any questions, please contact your Store Manager and we will work hard to answer them quickly.

Stay up-to-date on Safeway Talks.