Updated Frequently Asked Questions

Many teammates have brought forward that the Union is holding a town hall on November 20 with a lawyer, so you can ask questions about legal actions being taken against Sobeys. In addition, many employees are asking us what the next steps are. Please know that we have provided your Union with dates to meet. We are getting concerned because your Union has not yet confirmed any dates with us. 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.

Listed below are some questions that employees have been asking us. Working with the Company’s legal counsel, we are answering your questions below. We encourage you to attend the Union’s town hall to ask questions, as well as to urge your 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 wage 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: 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.

To see additional FAQs shared previously with teammates, click here.

Safeway Reaches Out to UFCW Local 401

Teammates, as we shared with you, a judge overturned the 2023 Wage Reopener decision and ordered that the matter be heard again in a new arbitration.

The 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”.  

The Arbitrator’s original decision may only apply to those at the top of the scale or higher, but it has already put financial pressure on our business and if left unaddressed, will impact the competitiveness and long-term viability of Safeway, creating risk to teammate hours and jobs.

We know this is tough news to hear and this isn’t something we are taking lightly. This is why we have reached out to your Union asking them to meet with us. Please see below the letter sent to UFCW Local 401. We really hope UFCW 401 cares about what matters to you and that they make this a priority so we can find a path forward that works for everyone.

______________________________________________________________________

November 3, 2024

 

Re: Alberta Safeway

To: Thomas Hesse, President, UFCW Local 401

 

Tom,

We appreciate you responding to our request to meet. As we discussed in our meeting this past Tuesday, it’s clear that the Arbitrator’s decision has put financial pressure on our Safeway business and if left unaddressed, will continue to impact our competitiveness and long-term viability, creating risk to our teammate hours and jobs. Like we talked about, the company has no choice but to act quickly to protect the Safeway business.

This letter is to re-confirm that we would like to meet with Local UFCW 401 to work on a path forward.  While we are in discussions and as long as we are working together we are prepared to hold off on reverting wage rates and collecting the overpayment from team members until January 26th, 2025. We are hopeful that between now and January 26th, 2025, we are able to reach a fully ratified settlement that addresses the wants of our teammates and the Company’s significant competitive disadvantage. As we discussed, we will need to be focused to a very limited number of topics, including the extension of the collective agreement. Our labour relations team is prepared to meet and we have cleared our calendars to meet with you. Below we have provided all the dates we are available.

  • November 12th, 13th, 14th, 15th
  • November 18th, 19th, 20th and 21st
  • December 9th ,10th, 11th, 12th, 13th
  • December 16th, 17th, 18th, 19th, 20th

Timing is critical and we must find a solution that works for everyone.

Our path forward: new agreements with UFCW 1518 and UFCW 247

The Company’s bargaining committee has been at the table with UFCW 1518 and UFCW 247 since January, working towards fair collective bargaining agreements. On October 20, the majority of B.C. Safeway teammates voted in favour of new contracts with both Unions.

These agreements include wage increases, modernized language, and a path towards full time jobs for Grid B employees, making it possible for our teammates to build long-term careers with Safeway and FreshCo Pharmacy.

We’re working quickly to implement all changes in accordance with the new agreements and will provide updates through Store Managers on the implementation plan and timing of retroactivity payments. We appreciate your patience as we work through the implementation process.

We’re also pleased to announce a tentative agreement reached with BCTGM Local 468, which is subject to ratification on November 1. If you’re a member of this bargaining unit and have questions on the agreement or the ratification process, please reach out to the Union directly. Please ensure that you’re informed on the tentative agreement and exercise your right to vote in the ratification process.

We’d like to thank all involved for their efforts towards solidifying agreements that help us to continue serving B.C. families. We’re proud to continue building a strong future for Safeway in the province.