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 Judicial Review: Frequently Asked Questions

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.

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.

Decision Made: Challenge of the Wage Reopener Ruling

As you are aware, we challenged the Arbitrator’s ruling on the Wage Reopener and we’re committed to keeping you informed on the process. As a reminder, we challenged this ruling because it put us in an uncompetitive position in the Alberta market, with top-rate wages more than 8% higher than our major competitors. We had no choice but to continue to work through the process to protect our Safeway business.

Today, we received news that the Judge determined that the Arbitrator made multiple errors in their decision, including the error of relying on wage settlements that were not part of Safeway’s competitive environment and information that was factually incorrect.  As a result, the Judge has overturned the Arbitrator’s decision and has ordered that the matter be heard again in a new arbitration.

The court recognized the errors and we are optimistic that the new Arbitrator will focus on the Alberta market and the competitive landscape in which we operate.

We recognize that this decision will cause uncertainty for our top-rated teammates. We assure you that we will share more on our path forward in the coming days.

Let’s fundraise — our Family of Support checkstand campaign starts today!

Today we kick off our fifth annual Family of Support fundraising campaign (September 19 – October 6) in support of Canadian children’s hospital foundations.

Since 2020, Family of Support has raised and donated $17 million to 13 children’s hospital foundations. These funds have helped to:

  • add dozens of treatment spaces
  • train nearly 13,000 mental health professionals and community care providers
  • treat and assess over 150,000 children and youth

These assessments are the first step to help connect kids with the right support, while the training of providers helps ensure sound, evidence-based care. The number of patients served reflects our commitment to support our partners as they meet the surging demand for mental health care.

Watch our revamped Clear the Clouds TV spot that shares the difference we’re making. These aren’t just numbers or stats — these are lives changed.

A big thank you to you, our Safeway teammates, for leading the charge in raising crucial funds to help provide mental health support for kids when they need it most. Every dollar raised will stay local, directly benefiting children’s hospital foundations in your community.

We’re so grateful for everything you continue to do to make this campaign a success!

Resources:

  • Learn more about Family of Support at familyofsupport.com.
  • Sign up year-round for our Healthier Tomorrows Giving Program, where you can donate directly from your paycheque to your choice of over 30 charities, including the 13 children’s hospital foundations we’re supporting through Family of Support.
  • Your wellbeing, and the wellbeing of your family, is so important to us. If you’re feeling overwhelmed or need support, please visit sobeysmentalwellbeing.com. For immediate help, text WELLNESS to 741741 or call 911 if you or someone you know needs urgent assistance.

Why challenge the Arbitrator’s ruling?

As shared with you in August, top-rated teammates were awarded their second wage increase. This said, Safeway continues to challenge the Arbitrator’s ruling on the Wage Reopener, and there may need to be difficult decisions taken.

It can’t be reiterated enough that the wage increases for top-rated teammates have negatively impacted the profitability of the stores and resulted in many locations becoming unprofitable. Safeway is now in an extremely uncompetitive position compared to the rest of the Alberta grocery industry.

As a result, the organization is required to assess if further action is needed to address this challenging position. All options are being considered including closures, conversions, and hours reductions — any of which could result in the potential loss of jobs.

Having to make any of these choices would be extremely difficult, and the organization doesn’t take the evaluation process lightly given the potential magnitude of impact. It’s because of this reluctance to make any of these tough choices that Safeway has no other option than to continue to challenge the Arbitrator’s ruling.

Further updates and details on the judicial review process and any difficult choices that must be made will be shared with you.

Last chance! Share words of encouragement for our athletes to win a Feed The Dream lunchbox!

As the much-anticipated Paralympic Games kicked off last Wednesday, we picked things back up with our Feed The Dream lunchbox contest. And in the midst of all the excitement, our Team Empire Paralympic athletes have earned three medals so far!

If you haven’t entered the Feed The Dream lunchbox contest yet, this is your last shot! You have until the Paralympic Closing Ceremony on September 8 to share words of encouragement for our Team Canada Paralympic athletes.

Just head on over to the Teammate Hub to enter today!

And remember, if you entered the contest during the Olympic Games, but haven’t yet won a lunchbox, you’re still in the running to win (no need to enter again!). Following the Paralympic Games, 500 additional lunchboxes will be randomly awarded, on top of the 500 given out during the Olympic Games.

While you’re on the Teammate Hub, don’t forget to:

  • Read the heartfelt notes of support written by your own teammates.
  • See what our Feed The Dream Correspondents are up to in Paris and follow along on their journey.
  • Take our monthly Trivia Challenge. You could score yourself a Lululemon Team Canada prize pack or Scene+ points.

Good luck, team!

The Paralympic Games are on! Don’t miss your last chance to WIN a Feed The Dream lunchbox!

It’s time to get loud and proud once again! The Paralympic Games (August 28 – September 8) have begun — and we can’t wait to watch our Team Canada and Team Empire Paralympic athletes, like Stefan Daniel and Kamylle Frenette, compete for a coveted spot on the podium.

Here at home, you too, have a chance to win big! We’re sure you’ve heard the buzz about the Feed The Dream lunchbox contest by now and that we’ve awarded 500 lunchboxes to date. Want to get in on the action but haven’t entered yet? Well, lucky for you, there’s still time.

All you have to do is head on over to the Teammate Hub and submit a note of encouragement for our Paralympic athletes.

And don’t worry — if you entered the contest during the Olympic Games, but haven’t yet won a lunchbox, you’re still in the running to win (no need to enter again!).

While on the Teammate Hub:

  • Have a look at the heartfelt notes of support written by your colleagues.
  • Check out our digital scrapbook, A View from the Games, to see what our correspondents are up to at the Paralympic Games.
  • Take our monthly Trivia Challenge, too. You could also score yourself a Lululemon Team Canada prize pack or Scene+ points.

Good luck…and let’s get ready to cheer on Team Canada!

Wage reopener arbitration update

In December 2023, we informed you about our challenge of the Arbitrator’s decision on the Wage Reopener. In our view, there were several critical errors made in the ruling. The information the Arbitrator relied on to base their decision was partially inaccurate and was not in line with the Alberta market and competitive landscape.

This decision, which rewards only top-rated teammates, has now put significant negative pressure on our business and creates future risks for all teammates. We can’t stress enough that these wage increases have put Safeway in an extremely uncompetitive position compared to the rest of the Alberta grocery industry.

The impact of the decision has made several of our stores unprofitable. As a result, we may have to make difficult choices to address this situation. It is for this reason that we continue to challenge the Arbitrator’s ruling.

What we want is a decision that is fair and market competitive which enables us to continue to run profitable stores while providing opportunities for all of our teammates well into the future.

As required, we implemented the first wage increase for top-rated teammates last August. At that time, we communicated that the second increase for top-rated teammates would occur this August. We are honouring that commitment and these teammates will receive their increase on their next pay.

We can’t stress enough that these wage increases for top-rated teammates have placed us in an extremely difficult position compared to our competitors. We will continue to be transparent in communicating the impact of the Arbitrator’s decision on our business and any difficult choices we may need to make as we move forward.

Introducing the Passionfruit No-jito in support of the Special Olympics Canada Winter Games

In continuation of our longstanding support for the Special Olympics movement, Safeway proudly stands as a platinum level sponsor of the upcoming Special Olympics Canada Winter Games in Calgary (February 27 – March 2, 2024). This reaffirms our commitment to making a positive impact on the communities we serve.

And if that’s not enough, we’re also bubbling over with excitement as we announce a delicious addition to our Alberta store shelves that’s sure to make a splash! Introducing Burwood Distillery’s Passionfruit No-jito, exclusive to our Alberta Safeway stores and Safeway Liquor locations.

Crafted to perfection, the Passionfruit No-jito is a non-alcoholic drink that not only promises to tantalize taste buds, but also supports a cause close to our hearts—the Special Olympics Winter Games. For every four-pack sold in our stores between January 30 and March 31, Burwood Distillery will generously donate $3, with a spirited goal of raising $90,000 to back this incredible event.

 

 

 

 

 

 

 

 

Join us in making a difference

The Passionfruit No-jito isn’t just a beverage—it’s an opportunity to contribute to a great cause while offering our customers a unique and refreshing experience. We encourage our teammates to create eye-catching displays to showcase this exclusive mocktail. Your enthusiasm and dedication are key to making this initiative a resounding success.

Cheers to making a difference, one can at a time!