Teamsters Union leaders, elected officials and representatives of Safeway announced an agreement to stop the closure of the Safeway Collington Distribution Center in Prince George’s County, Maryland. The agreement will save more than 700 Teamster warehouse jobs and add an additional 25 jobs at the center.
The agreement also paves the way for possible expansion in the future as Safeway’s parent company, Albertsons, continues to grow its footprint on the East Coast.
C&S Wholesale Grocers, Inc., the firm that operates the Safeway distribution center and employs its workers, originally planned to move its warehouse operations to Pennsylvania, which would have displaced more than 700 workers, most of whom live in Prince George’s County. Under the terms of the agreement, Safeway will take over operation of the Collington Distribution Center and current C&S employees—represented by Teamsters Locals 730 and 639 in Washington, D.C.—will become Safeway employees.
In two separate votes, Teamsters members voted overwhelmingly in favor of an agreement that preserves their jobs. Local 730 members voted 205-18 and Local 639 members voted 135-4 to approve the agreement. The new collective bargaining agreement with Safeway guarantees no outsourcing of jobs during the term of the contract which expires in May of 2022.
“We are very pleased to know that, through unity, anything is possible,” said Robert Washington, a Local 730 shop steward who works at Safeway.
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In an October letter, Teamsters General President Jim Hoffa called upon Robert Miller, the CEO of Albertsons Companies, Inc., which recently acquired Safeway, to enact a moratorium on the closures.
Maryland State Senator C. Anthony Muse and former State Delegate Aisha N. Braveboy, Esq., also urged C&S and Safeway to recall the notices sent to employees stating that layoffs would begin the week before Christmas. The layoff notices were delayed until mid-February, allowing time for all parties to work together to find an alternative to the closure.
“This agreement allows skilled employees to continue to work for a company that they loved and sacrificed for, some for more than 30 years,” said Ritchie Brooks, President of Local 730. “The key to this is that everyone banded together. Labor, political leaders and the community all came together to show Safeway our solidarity.”
Local and state officials have pledged nearly $1.5 million in financial incentives to keep the warehouse in the county through the term of the collective bargaining agreement.
Gourmet Guru, the first all natural and organic food retail distribution company in New York City, celebrates its 20th anniversary this year. Launched as a sole-proprietor, one-truck operation in 1996, Gourmet Guru distributed mostly local items and imported cheese exclusively to independent accounts in the New York City market at that time. The organization has steadily grown to be an award-winning vertically integrated sales, marketing and logistics company now covering territory from Washington, D.C. to Maine.
Since its inception, Guru has focused on bringing only the most innovative and high-quality natural and organic products to market with a proud track record of having launched several emerging (and now major) categories such as: USDA organic, Greek yogurt, natural/organic deli and meats and functional beverages for companies that have become the leading CPG brands in those categories.
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As Guru embarks on the upcoming year, the company will be launching a number of events that demonstrate its holistic approach to business and the world around us. The themes will highlight Guru’s passion for innovation and mutualism as well as an appreciation for customers and producer partners. These will include 20 new lines or line extensions in natural, organic categories, customer and producer appreciation awards for those maintaining 20 years of loyal partnership and 20 community give-back events as well as a 20th anniversary food show.
KeHE Distributors opened its newest, LEED Certified, distribution facility in Portland, Oregon, on December 23. This new state-of-the-art distribution center is an important addition to the company’s expansion strategy and key to its growth plan in the northwest region. With more than 100,000 square feet of refrigerated and 57,000 square feet of freezer space, the Portland facility has the capacity to serve KeHE’s customers who increasingly demand product assortments in all three temperature zones.
“Sustainability is a top priority of ours as we build, stock and operate our facilities,” said Gene Carter, Chief Operating Officer, KeHE. “We are designing our new facilities from the ground up, which allows us to focus on the environment and our people as well.” The Portland distribution center will be highly-efficient; estimates are 100 tons of cardboard will be recycled annually and more than 30 tons of petroleum will be saved by recycling plastic. In addition, the entire facility will utilize motion-operated LED lighting. “It is exciting to see how our Portland team has embraced the upgraded facility,” continued Carter. “We think our customers will also.”
As KeHE expands its national network of distribution centers, proximity has been optimized. Service-levels to customers will continue to improve and carbon footprint reduced.
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“We are excited about our new facility. It strategically aligns with our long-term growth strategy and demonstrates our commitment to our increased customer base on the West Coast. Our customers continue to receive the benefits of our growing, national organization,” said Mike Leone, Chief Commercial Officer, KeHE.
KeHE’s vendor community has also taken notice, as they are experiencing more efficient shipping and points of distribution. The distribution centers are larger and carry a wider assortment of products. These synergies and expertise within vendor management have helped improve fill rates.