Unions Call for Review of Aldi Winn-Dixie Merger

Today the United Food and Commercial Workers International Union (UFCW) is urging the Federal Trade Commission to review the proposed merger of Southeastern Retail Grocers, Aldi, Winn-Dixie, and Harveys Supermarket. The statement was released following the announcement of the merge, and UFCW International President Marc Perrone is arguing it has the potential to be detrimental to both consumer and essential grocery worker alike.

The UFCW International represents 1.3 million workers and their families in the United States, in industries ranging from grocery to meatpacking, food processing, healthcare, cannabis, and retail. According to Perrone, “We are firmly against the Aldi Winn-Dixie proposed merger, and any merger that further consolidates the grocery industry, at the expense of essential workers, our communities, and customers. With food inflation at record levels, consumers need more choices, not fewer, and more food access, not less. Given the role of essential grocery workers in our communities, it is inexplicable that one would propose mergers that will lead to a loss of these critical jobs.”

According to the union, grocery store mergers often lead to a decrease in competition, resulting in lower wages for workers, higher food prices for customers, and more food deserts in underserved communities. Perrone added, “The fact that companies like Aldi and Winn-Dixie seek to hide is that when large grocery chains merge, it not only threatens competition but leads to lower wages, higher food prices, and more food deserts for rural and underserved communities. We urge the Federal Trade Commission (FTC) to review this merger critically – especially given the proposed Kroger Albertsons megamerger – to determine what the negative impacts will be for workers, consumers, and communities.”

The proposed merger has been met with criticism, both from unions like UFCW and community members who oppose its potential consequences. While both sides of the debate agree something must be done to ensure fairness for both workers and consumers, the UFCW International is drawing attention to the potential risks associated with the success of this merger. At this time, the Federal Trade Commission is still evaluating the situation and processing the potential merger.

Source: Super Market News