Kroger closes two stores in California after being forced to pay employees an additional $ 4 an hour, “paid hero” during the pandemic
- Ralph’s and Food 4 Less in Long Beach had their doors closed on Saturday
- The city approved an ordinance in January that required the retail chain to pay employees a higher salary because of the dangers of working in a pandemic.
- Kroger says it’s financially impossible to keep “struggling” stores open
The Kroger retail chain has closed two local grocery stores in Southern California, claiming it cannot afford to pay workers an additional $ 4 an hour for the “hero” during the coronavirus pandemic.
Ralph and Food 4 Less in Long Beach had their doors closed and their shelves empty on Saturday after Kroger insisted it was impossible for them to operate what they called “poorly performing stores.”
The city approved a coronavirus “hero” ordinance in January that required retail stores and pharmacies with 300 or more employees in total, or more than 15 employees per location, to pay employees a higher salary because of work hazards. pandemic.
At Kroger stores, which include Ralph’s and Food 4 Less, this meant that eligible employees received an additional $ 4 per hour for at least 120 days.
Kroger closed two of its stores in California, including a Ralph store (pictured), after being asked to pay employees an additional $ 4 per hour for “paid hero” during the pandemic.
In February, Kroger replied that it would be financially impossible to keep these stores open with “long struggles” if he were forced to pay the high salaries for four months.
“The irreparable harm that will be done to employees and local citizens as a direct result of Long Beach’s attempt to choose winners and losers is deeply unfortunate,” the company said in a statement.
“We are really saddened that our associates and customers will eventually be the real victims of the mayor’s actions.”
Santiago Vasquez has been working part-time at Ralph’s for about a year, he told CBSLA that all his colleagues were offered jobs elsewhere, but the transfer didn’t make much sense to him.
“I was offered to stay with the company in Huntington Beach and Seal Beach,” he said. “But I’d rather work with a minimum wage around where I live.”
In February, Kroger said it would be financially impossible to keep these stores “long-term” open if he were forced to pay high salaries for four months.
Ralph’s and Food 4 Less had their doors closed and their shelves empty on Saturday after Kroger insisted it was impossible for them to operate what they called “poorly performing stores.”
Before signing the ordinance in January, Long Beach Mayor Robert Garcia wrote on Twitter that food workers “have been at the forefront of this pandemic and deserve this support.” He also wrote that the grocers obtained record profits due to the pandemic.
FOX11 reported that the issue was at the center of several protests with participating union members, residents, community activists and employees.
The union leaders said that by closing, Kroger would only punish the workers and communities around these stores, and the closures would have an estimated impact on 200 workers.
Other cities in California have also approved measures requiring companies to adopt a “hero pay” for employees working during the pandemic.
Long Beach Food 4 Less, which is also owned by the Kroger retail chain, closed its doors on Saturday, just weeks after the “paid hero” order was issued.
There were several protests over the “paying the hero” ordinance, with union members participating, residents, community activists and employees disagreeing.
In March, Los Angeles City Council passed an ordinance requiring companies to pay another $ 5 an hour to their non-managerial employees.
The California Grocers Association was among those who opposed the “hero’s payment,” arguing that the overpayments would hurt customers and workers without doing anything to increase their safety.
Just over a year ago, Kroger announced that it would introduce a “hero bonus” to thank all its employees working on the coronavirus front line, but that was only $ 2 per hour.
The largest independent grocery store in the country provided additional payment to staff in their stores, as well as those working as part of the supply chain, in the manufacturing industry and in pharmacies and call centers for exchanges between March 29 and April 18, 2020.