Monday, February 26, 2024

MICHIGAN
What new union contracts mean for Meijer employees


by: Madalyn Buursma
Updated: Feb 23, 2024 

GRAND RAPIDS, Mich. (WOOD) — Raises and more paid time off are coming for Meijer employees after the union voted to ratify new contracts.

The United Food and Commercial Workers Local 951 ratified the contracts late Thursday night, the union says. The UFCW 951 represents more than 25,000 Meijer workers.

The ratification of the contracts came shortly after the repeal of Michigan’s right-to-work law took effect. Prior to the repeal, employees could not be obligated to join or pay for a union.

Michigan’s right-to-work repeal takes effect

Under the new union contracts, new Meijer hires in Michigan must either join the UFCW 951 or pay a service fee. Non-union members who are already employed by Meijer have until June 15 to either become a member, pay the fee or quit, the union says.

There aren’t many employees who aren’t already part of the union, John Cakmakci, president of UFCW Local 951, told News 8.

“We’re proud of that,” he said.

He expects the new requirement will make the union stronger.

The three separate contracts cover retail, distribution center/transportation and retail facilities maintenance workers. They include immediate raises of up to $1.50 an hour, plus more paid time off for those who were hired after Oct. 23, 2005.

There will also be a 25% increase in Meijer’s 401(k) match, employees will be eligible for healthcare benefits after 30 days instead of 60 days, and there will be a new paid family care leave for employees to take paid time off to take care of a family member with a serious illness.

Employees will also be guaranteed a raise for every 700 hours they work, down from the 1,000 hours previously required.

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“There were significant wage increases for our members in the distribution center as well as in the retail, premium improvements and paid time off. And some working language improvements as well,” Cakmakci told News 8.

The new contracts also give employees more opportunities to get a full-time position, along with increased shift, job classification and building premiums.

“We’re excited to have reached an agreement that includes significant investments in our team and demonstrates how much we value and care about our team members,” Ken Barton, the vice president of labor relations for Meijer, said in a statement. “This agreement also positions Meijer to continue providing great services to the communities we support.”

Cakmakci said the bargaining process took about four and a half months. While he said the union has a good relationship with Meijer, having three contracts makes the process “fairly complicated.”


Union workers ratify new Meijer contracts with wage increases, more time off

Union workers ratify new Meijer contracts with wage increases, more time off
Meijer Inc. store in Grand Haven. Credit: Mark Sanchez

Members of the United Food and Commercial Workers (UFCW) Local 951 voted this week to ratify new contracts with Meijer that contain improvements to wages, paid time off, 401(k), health care and pay for more than 25,000 Meijer employees. 

The three separate, four-year contracts approved this week are effective Feb. 25. The contracts cover employees working in retail, distribution centers and transportation and retail facility maintenance and offer immediate wage increases of up to $1.50 per hour. 

Other contract improvements include: 

    • More paid time off for employees hired after Oct. 23, 2005;
    • A 25% increase in the company’s 401(k) match;
    • A shortened waiting period for health care benefits eligibility for full-time employees, from 60 days to 30 days; 
    • New paid family care leave, which provides paid time off for employees to care for family members with a serious illness;
    • More opportunities for employees to obtain full-time positions;
    • Guaranteed wage increases for every 700 hours worked in retail units as opposed to a prior 1,000 hours; and
    • Increased premiums for various shifts, job classifications and locations.
John Cakmakci, UFCW Local 951. Credit: Courtesy photo

“Not only are our members receiving significant wage increases, but the length of time it takes them to get to the top rate has been reduced due to the closing of gaps in the wage scale,” UFCW Local 951 President John Cakmakci said in a statement. “I am proud of the members who served on the bargaining committee and worked together to achieve contract gains that improve the lives of their fellow members.”

Cakmakci characterized the new contract as a win for workers represented by UFCW 951, the largest private sector union in the state. 

“We’re excited to have reached an agreement that includes significant investments in our team and demonstrates how much we value and care about our team members,” Ken Barton, vice president of labor relations at Meijer, said in a statement. “This agreement also positions Meijer to continue providing great services to the communities we support.”

The union began negotiations with Meijer months ago. Cakmakci noted at the time that improvements in paid time off and more affordable medical care were among the union’s top priorities in contract negotiations with the supercenter retailer, the first after the effects of the COVID-19 pandemic subsided. 

The previous contract, which was ratified in 2020, expired this month. 

“With everything that people have gone through in the last three years with COVID and everything, I think our members felt like they were forgotten,” Cakmakci said in a November report. 

Cakmakci said at the time that Meijer has historically set a standard for negotiations with other retail employers.

“It’s been a long process, but I’m very excited for this new contract,” said Steve Speare, who works at Meijer distribution center 882 in Monroe County and served on the bargaining committee for UFCW 951. “Everything we did is about getting what you work for, making a living, and I was comfortable with how everything turned out.” 

The new contract also comes during a period of changing Michigan laws concerning union membership. 

Michigan’s right-to-work law ended Feb. 13, making it the first state in 58 years to repeal such a law. Right to work had allowed workers covered by a collective bargaining agreement to opt out of joining the union. 

To reflect this repeal, the new UFCW 951 contacts with Meijer will require all new hires to join the union or pay a service fee as a condition of their employment with Meijer. Existing Meijer workers who have opted not to join the union will have until June 15 to become a union member, pay the service fee or leave the company, according to a statement.

Cakmakci sees the right-to-work repeal as a victory, noting the “detrimental impact right-to-work has had on our state.”

“Right-to-work laws are about increasing the power of corporations while restricting the power of workers to join together in unions, rather than worker freedom or job creation,” he said. “Unions are one of the few organized groups that have the capacity to successfully advocate for the economic interests of working people, so the ability for workers to be in a union must be protected.”

EDITOR’S NOTE: This story has been updated from its original version to include comment from Meijer.

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