Author: Daniela Travierso

No deal reached with UFCW 401

Posted on by Daniela Travierso

Since the results of the vote have been released, we continue to hear from so many of our teammates that they wanted this deal. The mood is incredibly somber and the disappointment is palpable.

It’s clear to all of us that UFCW 401 never wanted to reach a deal. They told us in December that they wanted to bargain, but they only showed up to fight. Keep in mind…

  • The union provided inaccurate and irrelevant information as evidence in the 2023 wage reopener.
  • The union lied repeatedly and spread so much misinformation prior to determining a vote date. And then,
  • The union ran a completely biased vote – even the ballots were inappropriate.

UFCW 401 didn’t want a deal from day one. They wasted our time, and more importantly, they wasted your time. We’re astonished that they did this to you, to us all. Unfortunately, the union controlled the bargaining process and it’s outcome.

What happens next…

We always do what we say we’re going to do, and we’ve been transparent through every step of this process. Given that our offer wasn’t ratified, the Company will now implement the outcome of the Judicial Review.

  • Wage rates for top-rated and overscale teammates will be rolled back 6.5%, aligned with our offer in the 2023 wage reopener that included a 1.5% wage increase in 2023 and 2% in 2024. This change will be reflected on your February 13, 2025, pay.
  • The Company will seek to collect overpayments from August 2023 to October 18, 2024 (the date of the Judicial Review). In the coming weeks, impacted teammates will receive a letter outlining the overpayment, including options for the repayment.

Like we’ve shared with you before, we do not take these decisions lightly. This is necessary to protect the long-term viability of Safeway so we can ensure a strong future for all of our teammates in this province.

Online voting starts today — Here’s what you need to know!

Posted on by Daniela Travierso

Online voting on the Company’s offer is now open!

You have until tomorrow, January 23 at 11:59 p.m. to cast your vote.

If you need information on how to vote online, please reach out directly to your union rep.

We strongly encourage you to exercise your right to vote and make your voice heard. Don’t let someone else make this important decision for you. Remember, your vote is confidential and the Company will not (and never would) ask you to share your vote. Anyone that tells you otherwise is misinformed.

As a reminder, here’s the highlights of the deal:

  • Four-year extension expiring in August 2029.
  • Top-rated and overscale teammates would maintain the 10% wage increase they received in the 2023 FOS decision. 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. In-scale teammates who reach the top-rate of the scale through their hours worked, will join their top-rated colleagues in being the highest-paid unionized retail employees in the province.
  • Increased dental trust funding, which is part of an industry leading benefit package provided at no cost.
  • 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.

Our offer ensures you continue to be the highest-paid unionized grocery employees in Alberta. Despite what the union is saying, we want to be clear that this is our final offer and there will be no more bargaining dates scheduled. Also, if the offer is accepted, wages will not be reverted and overpayments will not be collected.

If the offer is not accepted, we have no choice but to act on the Judicial Review ruling and roll back wages and recover overpayments.

Once the voting period closes, demand full transparency from UFCW 401 on the outcome of the vote. Don’t let your vote be cancelled.

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.

The ratification vote is this week — Here is what you need to know!

Posted on by Daniela Travierso

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. We made an offer and you asked your union to let you vote on it. Votes are scheduled from January 16 to 23.

In recent communications from UFCW 401, we are disappointed to hear that the union may not count your vote or honour the results. If the offer is not accepted, we have no choice but to act on the Judicial Review ruling and roll back wages and recover overpayments. Our offer provides a better path forward for all teammates and Safeway. Don’t let UFCW 401 cancel the results of your vote.

Our offer ensures you continue to be the highest-paid unionized grocery employees in Alberta. Despite what the union is saying, we want to be clear that this is our final offer and there will be no more bargaining dates scheduled. Also, if the offer is accepted, wages will not be reverted and overpayments will not be collected.

Here are the highlights of the deal:

  • Four-year extension expiring in August 2029.
  • Top-rated and overscale teammates would maintain the 10% wage increase they received in the 2023 FOS decision. 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.
  • 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. In-scale teammates who reach the top-rate of the scale through their hours worked, will join their top-rated colleagues in being the highest-paid unionized retail employees in the province.
  • Increased dental trust funding, which is part of an industry leading benefit package provided at no cost.
  • 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.

What should you do now?

  • Review the meeting notice posted by UFCW 401 to know where and how to vote. If you are not sure where to get this information, ask your Union Rep or your Store Manager.
  • Exercise your vote and make your voice heard. Don’t let someone else make this important decision for you.
  • Once the vote is conducted, demand full transparency from UFCW 401 on the outcome of the vote. Don’t let your vote be cancelled.

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.

UFCW 401 is not putting you first

Posted on by Daniela Travierso

We’re disappointed by the recent advertisements put out by your union, UFCW 401. Not only are they riddled with false statements intended to damage our reputation, but are meant to take attention away from what matters most right now — understanding Safeway’s offer and getting prepared to exercise your right to vote on it.

We can’t stand by and accept the union’s slander. This is why we’ve sent the below letter to UFCW 401 leadership and we will respond to their defamatory public campaign with legal action.

It’s unfortunate that your union is not acting in your best interest.

We encourage you to ask them why.

 

 

January 8, 2025

To: Thomas Hesse, President, UFCW Local 401

Re: Alberta Safeway

We are disappointed to see that UFCW 401 has resorted to advertisements filled with inflammatory rhetoric and blatantly false statements. We cannot understand why the union that claims to represent workers’ best interests would actively engage in conduct that would dissuade Albertans from shopping in our stores? Fewer customers mean fewer available hours. It makes no sense that you would take actions that would hurt our teammates. We demand that you discontinue these harmful activities immediately.

It is unlawful to make false allegations with the intent to damage a reputation or brand so as a result, we will be responding with legal action.

We will also set the record straight with our teammates. Rather than spending teammate dues advocating for their best interests, UFCW 401 is wasting resources on advertisements that will result in negative impacts to our teammates as well as the long-term wellbeing of our business.

The facts are clear: Top-rated Safeway teammates are the highest paid unionized grocery employees in Alberta. Our offer enables teammates to maintain those wage rates while the rest of the market catches up. Why would the union encourage members to vote against an offer that allows them to continue to be top wage earners?

Our offer balances the needs of all teammates while addressing the long-term health of Safeway’s business in Alberta. Contrary to the union’s approach, we remain committed to

transparent and truthful communication and will be encouraging our teammates to vote “yes” on the deal before them.

If the offer is rejected, top-rated teammates wages will be reverted and they will be left with an uncertain outcome from the various different legal proceedings ahead of us. For the in-scale teammates, they lose out on any guarantee of additional money in the coming years. Our offer allows teammates to maintain what they have now and provides certainty for the next four years. Pushing them towards any other outcome makes no sense for any of our teammates.

Best regards,

Andrew Follwell, VP Labour Relations

The ratification vote is coming — make sure you know the facts!

Posted on by Daniela Travierso

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.

Update on bargaining with UFCW 401: A disappointing outcome

Posted on by Daniela Travierso

This week, we’ve been in negotiations with your union and bargaining committee. Unfortunately, we weren’t able to come to an agreement. We’re extremely disappointed in this outcome as we made every effort to work collaboratively with your union to find a path forward, together.

We came prepared to engage in meaningful dialogue and presented an offer that provided something for all teammates. Our offer even ensured that top-rated and overscale teammates would maintain the wage increases they were given in 2023 and 2024, keeping them as the highest paid retail unionized employees in the Alberta market.

Highlights of the offer include:

  • 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 receive $500 lump sum payments in August 2025, August 2026, August 2027 and August 2028.
  • Increased dental trust funding.
  • Retirement allowance offering of $1000 per year of service.

Take a look at the full offer we tabled today.

This offer is market leading for unionized grocery retail in the province. We now must give our competitors time to catch up to our wages to ensure the long-term sustainability of the Safeway business in Alberta.

We strongly encourage you to connect with UFCW 401 and ask them to allow you to vote on this offer.

Alberta Safeway Extension Employer Proposals

Posted on by Daniela Travierso

EMPLOYER PACKAGE OFFER

 

BETWEEN:              SOBEYS CAPITAL INCORPORATED – SAFEWAY OPERATIONS: ALBERTA PROVINCE WIDE AGREEMENTS 

                                     RETAIL;

                                     SOUTHERN MEATS & DELI; AND NORTHERN MEATS & DELI

 

AND:                          UNITED FOOD COMMERCIAL WORKERS UNION LOCAL NO. 401

 

The following offer is without prejudice to any past, current, or future application or interpretation of the Collective Agreement.

The Employer reserves the right to add to, delete or modify this offer should it not be ratified.

Employer Proposal #1: Memorandum of Agreement

This Memorandum of Agreement forms the full and complete resolve to all outstanding issues and claims between the parties, and between the Company and the employees, with respect to:

  • the renewal of the Province Wide Collective Agreements expiring on August 9, 2025;
  • the 2023 Final Offer Selection arbitration process outlined in these collective agreements;
  • the Final Offer Selection Award of Arbitrator Mia Norrie dated November 19, 2023;
  • the Union’s application to the Alberta Court of King’s Bench for Judicial Review of the summary dismissal decision of the Alberta Labour Relations Board dated January 10, 2024;
  • the Union’s Omnibus Group and Union grievance against the Company dated July 1, 2023;
  • the Judicial Review Decision of the Alberta Court of King’s Bench dated October 18, 2024;
  • the Union’s appeal to the Alberta Court of Appeal commenced on November 8, 2024;
  • the Union’s right to apply for a stay of the Judicial Review Decision described in point (6) above, pending the outcome of the Appeal described in point (7) above;
  • the Union’s Bad Faith Bargaining and Unfair Labour Practice Complaint to the Alberta Labour Relations Board dated November 18, 2024
  • the Union’s application to the Alberta Court of King’s Bench for Judicial Review of the FreshCo Final Offer Selection Award of Arbitrator Mia Norrie dated February 1, 2021;
  • Union Grievances designated as GR-20230614-3802, 3806, and 3807;
  • Union Grievances designated as GR-20230704-3892, 3894, 3895 and GR- 20230706-3903; and
  • Union Grievances designated as GR-20221125-2377, 2378, 2379, and
  • Company defamation grievance

The parties have agreed to take this Memorandum of Agreement to their respective principals with a unanimous recommendation for ratification.

This Memorandum of Agreement when ratified, in conjunction with the previously mentioned Province Wide Collective Agreements, will form a new set of Province Wide Collective Agreements between the parties and will fully extinguish the parties’ rights to serve notice to bargain in relation to the Province Wide Collective Agreements in 2025.

The parties agree that all items in the existing Province Wide Collective Agreements including Letters of Understandings will remain in force in accordance with the Province Wide Collective Agreements or only as modified in this Memorandum of Agreement dated (Insert Date).

All changes noted in the Memorandum of Agreement are effective August 10, 2025, and not retroactive unless otherwise stated.

Any legitimate errors in this Memorandum of Agreement shall be subject to correction by the parties.

 

Employer Proposal #2: (Add New)

LETTER OF UNDERSTANDING

Between

SOBEYS CAPITAL INCORPORATED (SAFEWAY OPERATIONS)

And

UNITED FOOD AND COMMERCIAL WORKERS CANADA UNION, LOCAL NO. 401

The Company and the Union will meet in good faith to discuss cross-functional opportunities and potential management structure changes.

 

Employer Proposal #3: Letter of Understanding # 27 – Walking Stewards

Delete effective August 9, 2025, and replace with the following:

“The Employer will make four (4) lump sum contributions to the UFCW Local 401 of $375,000 on the first pay period of August 2025, 2026, 2027 and 2028. The Employer will maintain its current practice regarding requests for union leave of absences.”

 

Employer Proposal #4: Wages

Top Rated and Over Scale Wage Rates:

Notwithstanding the Judicial Review Decision of the Alberta Court of King’s Bench dated October 18, 2024, the top rated and overscale wage rates awarded by Arbitrator Mia Norrie in the Final Offer Selection Award dated November 19, 2023, shall be deemed to have been incorporated into the Province Wide Collective Agreements effective as of August 7, 2023. Consequently, no wage overpayments will result from the Company’s decision to implement these wage rates prior to the release of the Judicial Review Decision.

Wages:

All active top-rate and over-scale employees on the payroll of the Employer on the following effective dates, shall receive:

Effective August 8, 2027

2% wage increase Effective August 13, 2028

2% wage increase

All active in-scale employees on the payroll of the Employer on the following effective dates, shall receive:

Effective August 10, 2025

Five-hundred-dollar ($500.00) lump sum payment, less statutory deductions. Effective August 9, 2026

Five-hundred-dollar ($500.00) lump sum payment, less statutory deductions.

Effective August 8, 2027

Five-hundred-dollar ($500.00) lump sum payment, less statutory deductions. Effective August 13, 2028

Five-hundred-dollar ($500.00) lump sum payment, less statutory deductions.

The lump sum payments shall be paid within thirty (30) calendar days from the effective dates set out above.

The words “on the payroll of the Employer” shall include all employees who are currently on vacation, authorized leave of absence, sick leave, injury leave, Short Term Disability, Long Term Disability, Workers’ Compensation, maternity leave, or parental leave. Employees on a bona fide leave shall receive their lump sums upon their return from leave.

 

Employer Proposal # 5: Article 22 – Expiration and Renewal

Add the following:

The parties agree to a four (4) year extension of the current Province Wide Collective Agreements between Sobeys Capital Incorporated (Safeway Operations) and UFCW Local No. 401 which will all have expiry dates of August 11, 2029.

BP 4 -B- Amend the language in the Retail Article 7.1, Northern Meats Article 8.1, and Southern Meats 7.1

Funeral/Bereavement Leave

In the event of death in the immediate family of an employee, the employee will be granted leave of absence with pay, with consideration given to travel time for the purpose of attending the funeral. The length of such absence shall be at the discretion of the Employer. The term “immediate family” shall mean: spouse, parent/step parent, child, brother, sister, mother-in-law, father-in-law, sister-in- law, brother-in-law, son-in-law, daughter-in-law, grandmother, grandmother-in- law, grandfather, grandfather-in-law, and grandchildren, or any relative living in the household of the employee. In the event of the demise of an aunt or uncle, nephew or niece, an employee will be granted one (1) day leave of absence with pay to attend the funeral.

Notwithstanding the foregoing, if the death is a case of a spouse, father, mother, sibling, or child, the employee shall be entitled to, up to one (1) week’s leave of absence with pay at the time of bereavement.

It is understood that in the case of a part-time employee, the time off, with pay, shall be determined on the basis of the hours that the employee was originally scheduled to work during the leave.

Common law, adult interdependent partner, and same sex spouses are to be recognized by the Employer for the provisions of this article.

An employee’s day off will not be used to circumvent funeral/bereavement leave.

In addition to the foregoing, an employee shall be entitled to any unpaid leave they are eligible for under Employment Standards legislation including bereavement leave for a person the employee is not related to but considers to be like a close relative.

BP3 -B- Dental Funds:

The Company agrees to increase the dental contributions listed in Article 8.10 of the Retail CBA, Article 20 of the Northern Meats CBA, and Article 8.15 of the Southern Meats CBA by one ($0.01) cent each year of the contract. Effective August 10, 2025, contributions will increase to forty-four ($0.44) cents per hour, effective Augst 9, 2026, contributions will increase to forty-five ($0.45) cents per hour, effective August 8, 2027, contributions will increase to forty-six ($0.46) cents per hour, and effective August 13, 2028, contributions will increase to forty-seven ($0.47) cents per hour.

BP3-D- Retirement Allowance

 

Add New Letter of Understanding: Retirement Allowance

LETTER OF UNDERSTANDING

Between

SOBEYS CAPITAL INCORPORATED (SAFEWAY OPERATIONS)

And

UNITED FOOD AND COMMERCIAL WORKERS CANADA UNION, LOCAL NO. 401

 

At the Employer’s discretion, employees in certain stores may be offered a retirement allowance once during the life of the Collective Agreement, expiring August 11, 2029.

The features of the retirement allowance will include:

  • The retirement allowance may be offered to Full-Time and Part-Time employees (excluding Pharmacy Assistants, Registered Pharmacy Technicians, Bakers, Cake Decorators, and Cutters).
  • The Company reserves the right to make the final determination as to the number of employees who may participate in the program and their departure dates. Where the Company approves a number of applications in a particular store and a particular classification, those approvals will be granted based on
  • The retirement allowance will be calculated as follows:
  • One-thousand ($1000.00) dollars for each full year of continuous service, less statutory deductions.
  • In the event an employee is absent on an approved leave of absence, they shall receive their retirement allowance, upon their full return to work, provided they return within twenty-four (24) months of their retirement allowance being approved.
  • Employees who receive the retirement allowance will not be eligible for any credit for previous experience, if rehired at a later date.

THE EMPLOYER RESERVES THE RIGHT TO ADD TO, DELETE OR MODIFY ANY OF THE FOREGOING PROPOSALS.

RESPECTFULLY SUBMITTED ON BEHALF OF SOBEYS CAPITAL INCORPORATED – SAFEWAY OPERATIONS – ALBERTA.

Safeway Judicial Review: Frequently Asked Questions

Posted on by Daniela Travierso

Teammates,

We have been receiving many questions since our last Safeway Talks communication. Many employees are asking why the Company challenged the November 20, 2023, Final Offer Selection (FOS) decision, in the first place. As we have mentioned previously, the FOS decision put significant financial pressure on our business and if left unaddressed, would have continued to impact the competitiveness and long-term viability of Safeway.

The FOS decision was overturned in part because of inaccurate and irrelevant information submitted by your Union. The court recognized that the Arbitrator’s wage decision was “based on facts not supported by the evidence.” Further, the judge recognized that the Arbitrator’s decision was “unreasonably” based on market comparators of which “none are part of Sobeys’ competitive climate.” 

We had no choice but to take action on the FOS decision to protect the Safeway business.

We have contacted your Union and provided a number of dates for the parties to meet and discuss a resolution that could benefit all parties.

We urge you to fill out the Union’s survey; encouraging the Union to meet with the Company.

We are confident that we have the ability to reach a deal that works for all employees; including employees who are not at top-rate or overscale. This is why it is in the best interest of all employees, for the Company and the Union to meet.

We will continue to keep you updated as we proceed. In the meantime, here is an FAQ document that addresses the questions that have come to our attention.

Frequently Asked Questions – Alberta Safeway Judicial Review Next Steps

Posted on by Daniela Travierso

Q: What is a Final Offer Selection (“FOS”) and how did it affect me?

A: Final Offer Selection (FOS) is the legal process that was written into the Collective Agreement after the last round of negotiations. The language in the Collective Agreement was agreed to by the Union and the Company and was ultimately ratified by employees in 2020.

The FOS language in the Collective Agreement states that if the Company and the Union are unable to come to an agreement regarding top-rate and overscale wages for the 2023 and 2024 wage reopener, an Arbitration will occur. The Arbitrator essentially acts as the ‘judge and jury’ and must choose between the Union’s wage position or the Company’s wage position.

The Final Offer Selection Decision came out on November 20, 2023.

 

Q: What is a Judicial Review and why did the Company pursue it?

A: A Judicial Review is an application to the Court to have an arbitration award overturned.  We challenged this award because the FOS decision put significant financial pressure on our business and if left unaddressed, would have continued to impact the competitiveness and long-term viability of Safeway.

The Judge overturned the FOS decision in part because of inaccurate and irrelevant information submitted by your Union. The court recognized that the Arbitrator’s wage decision was “based on facts not supported by the evidence.” Further, the Judge recognized that the Arbitrator’s decision was “unreasonably” based on market comparators of which “none are part of Sobeys’ competitive climate.” 

We had no choice but to take action on the FOS decision to protect the Safeway business.

 

Q: What did the Court order?

A: The Court overturned the FOS decision and ordered the FOS be reheard. In the Judge’s ruling, he specifically noted that the Arbitrator unreasonably based the decision on market comparators which were not part of our competitive climate. In addition, the Arbitrator based her decision on inaccurate information provided by the Union with respect to one of our competitors.

 

Q: If the Company reverts wages back to pre FOS rates, can they legally collect the over payment and for what period of time?

A: Yes. With the overturn of the FOS decision, it means the decision is no longer in place and the Company can revert wages to what they were prior to the award. In addition, the Company can collect the over payment from August 2023 up to the date of the Judicial Review (October 18, 2024).

 

Q: The Union has stated they are appealing the Judge’s decision, what does this mean?

A: The Union has made an application to the Court of Appeal. This means that another hearing will take place. The Union is asking that the Court of Appeal reinstate the Arbitrator’s ruling or, in the alternative, have the FOS go back to the same Arbitrator.

 

Q: How long can the Appeal process take?

A: Hearing dates for matters such as these typically take a long time to get booked. Our best guess is that we will be booking dates into the fall/winter of 2025. This is yet another reason why we believe it is in the best interest of all teammates for the Company and the Union to meet to discuss a resolution that could benefit all parties involved.

 

Q: Who are the relevant competitors for Safeway in Alberta?

A: There are many competitors in Alberta in the grocery industry. In the full-service grocery segment, the major competitors are Sobeys, Safeway, Walmart, Real Canadian Superstore, Co-Op and Save On, amongst others.

 

Q: Why isn’t Metro in Ontario a relevant comparator?

A: Metro operates grocery stores in Ontario and Quebec. They do not compete in the Alberta grocery market.

 

Q: When is the earliest that bargaining for a new Collective Agreement could commence?

A: The parties can voluntarily agree to commence bargaining for a new Collective Agreement at any time. But the only way one party can force the other to the table is by serving a notice to commence collective bargaining. The Collective Agreement provides that the earliest either party can serve notice to commence collective bargaining is 120 days prior to the expiry of the Agreement (August 9, 2025), which would be April 11, 2025.

 

Q: When is the earliest a strike could occur?

A: A legal strike can only take place after a legal strike vote has occurred. A legal strike vote can only take place after all of the following has occurred: a notice to commence bargaining has been provided, the Collective Agreement has expired (August 9, 2025) and bargaining has occurred.

 

Q: Will the Company revert wage rates and take back overpayments?

A: We need to act quickly to address this challenging situation. We have advised UFCW 401 that we will hold off on taking any action on wages until January 26, 2025 in order to provide time for the parties to find a solution. If one cannot be found, the wages would revert on January 26, 2025 and the Company will seek to collect the overpayments.

 

Q: How will the collection of the overpayments work?

A: The Company will follow its normal process of sending individual letters to employees, outlining the overpayment and providing various options for repayment.

 

Q: I don’t want my wage rate to change or an overpayment to be collected, what can I do?

A: It is very important you speak with your Union representative and encourage them to negotiate with the Company.

We urge you to fill out the Union survey; encouraging the Union to meet with the Company.

 

Q: Can the Company and the Union agree to extend the Collective Agreement before it expires in August?

A: Yes, we can extend the Collective Agreement now, provided both parties agree to negotiate.

 

Q: Can the parties finalize the 2023/2024 wage rates for top rated and overscale employees as part of those negotiations?

A: Yes. The parties can finalize those wage rates as part of their negotiations instead of continuing with the Court proceedings and potentially having to do another Final Offer Selection (FOS) arbitration.

 

Q: The Union keeps asking if I am prepared to go on strike and implying that the strike can occur after the Company rolls back wages on January 26, 2025. Does this mean a strike will happen on January 27, 2025?

A: No. Regardless of whether an agreement to extend the contract is achieved or not, you are unable to legally go on strike on January 27, 2025. As a reminder, the Collective Agreement does not expire until August 9, 2025. Any strike before then would be illegal and the consequences of participating in this type of illegal strike activity would be discipline (up to and including the possibility of termination) and potential damages against the Union.

 

Q: Can the Union call a strike after the Collective Agreement expires in August to restore the 2023/2024 wage increases that were overturned by the Judge?

A: No. The Union cannot call a strike to restore the 2023/2024 wage increases. The Union can only call a strike to determine what will be included in the new Collective Agreement (i.e., the wages rates for 2025 and going forward). If the parties cannot agree on the 2023/2024 wage increases, they will have to continue with their Court proceedings and potentially conduct a new FOS arbitration.

 

Q: Can the Union call a strike before the Collective Agreements expires if the Company starts to collect the overpayments from the top rated and overscale employees? 

A: No, even if the Union believes the Company’s collection activities are illegal, it cannot call a strike. The Labour Relations Code does not permit a union to strike whenever it thinks an employer has done something wrong. There are legal procedures for raising objections that must be followed. That’s why our Collective Agreements have a grievance procedure.

 

Q: The Union has advised that they are appealing the Judge’s decision to the Court of Appeal. What is the Court of Appeal?

A: The Court of Appeal is the highest level of Court in Alberta. It hears appeals from decisions made in the lower Courts, such as the Judge’s decision on the Company’s Judicial Review application.

 

Q: How long could it take for the Union’s appeal to be heard and decided by the Court of Appeal?

A: There is no set timeline, but it could take up to a year for the appeal to be heard and even longer for it to be decided.

 

Q: Is the Court of Appeal the last step in this process?

A: Unfortunately, no. If either party is unhappy with the decision of the Court of Appeal, they could seek leave to appeal to the Supreme Court of Canada. The Supreme Court of Canada would then have to decide whether it would hear the matter. This would likely take many more months.