In December, the Company and UFCW 401 were at the bargaining table to find a path forward that would address the outcome of the Judicial Review.

The Company presented a market-leading offer that meets the needs of our teammates, while addressing the competitive issues that our Alberta Safeway business is facing. Our offer even ensured that top-rated and overscale teammates would maintain the wage increases they were given in 2023 and 2024 and would not require teammates to repay overpayments. We are pleased to hear that you will have a chance to vote on this offer.

To make an informed decision, make sure you know the facts.

Here are the highlights of the deal:

• Four-year extension expiring in August 2029.
• Top-rated and overscale teammates would maintain the 5% increases they received in 2023 and 2024. In addition, these teammates would receive an extra 2% increase in August 2027, and a 2% increase in August 2028.
• In-scale teammates would be eligible to receive a combined total of up to $2,000 in lump sum payments over the four-year extension. These in-scale teammates would receive $500 lump sum payments in August 2025, August 2026, August 2027, and August 2028. These lump sum payments are on top of the already negotiated wage increases that in-scale teammates would receive for every 500 hours worked. It’s worth noting that if, during the life of the extension, an in-scale teammate reaches the top-rate of the scale through their hours worked, they would join their top-rated colleagues in being the highest-paid unionized retail employees in the province.
• Increased dental trust funding.
• Retirement allowance offering of $1,000 per year of service. Within the next four years, the Company would provide a one-time opportunity for interested teammates to apply for consideration to receive a retirement allowance. Both full-time and part-time teammates could apply. Should the teammate be selected, they would be paid a bonus of $1,000 per year of service. For a teammate with 35 years of service, this would be a $35,000 payment, less statutory deductions. Please see here for further information on the retirement allowance.

Keep a lookout for voting information

The union will be sending information regarding how they intend to conduct the ratification vote.  We encourage you to participate and vote on this important deal.

Voting “yes” would mean that the Company won’t roll back wages or collect overpayments. This also means that top-rated teammates would keep their status as the highest-paid unionized retail employees in the province, making 7.5% more than the closest unionized competitor, Real Canadian Superstore.

Voting “no” would mean that we would have no choice but to implement the outcome of the Judge’s decision and revert wage rates for top-rated and overscale teammates as we have previously communicated. For many top-rated teammates, this will result in up to a 10% total reduction in pay, which can represent over a $2 per hour difference.

Compare the certainty of what we have offered with the uncertainty of a complicated, lengthy legal process and a difficult bargaining in 2025 with an unknown outcome.

Take the time to carefully consider what the Company is offering. It’s the best option to help secure a strong future for you and for our Safeway business in Alberta.

Thank you for your continued patience during this process.