Academic journal article Monthly Labor Review

Giant, Safeway Keep Health Benefits

Academic journal article Monthly Labor Review

Giant, Safeway Keep Health Benefits

Article excerpt

Negotiators for Giant Food, Inc. and Safeway, Inc. and Local 400 of the Food and Commercial Workers recently signed a 4-year labor contract that retains fully paid health care benefits for about 20,000 grocery workers in the Washington, DC, area in exchange for delaying wage increases payable under the new contract. The accord was expected to serve as a pattern for an additional 8,000 grocery workers, 1,000 at Super Fresh stores in the Washington, DC, area and 7,000 Giant and Safeway workers in Baltimore, MD, represented by the union's Local 27. Local 400 coordinated bargaining with Local 27.

Terms of the agreement provided wage increases of 25 cents an hour in the first year of the contract and 35 cents an hour in each of the last 3 years. The top rate for assistant managers was $15.25 an hour at the expiration of the previous contract; for clerks, $12.65 an hour; and for journey-level meatcutters, $14.64.

Health care terms included continuation of company-paid health insurance premiums; establishment of a rehabilitation program for employees and their dependents for carrdiovascular or cerebrovascular accidents, closed head and spinal cord injuries, and neurological disorders; coverage for periodontal work at the 50-percent level for employees and their dependents; extension of orthodontia coverage to all employees; and an increase in employee copayments for prescription drugs, from 50 cents for each prescription to 5 percent of the cost if the drug is purchased at Giant or Safeway, or 10 percent if purchased elsewhere. …

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