At the end of last week, nearly 5,600 workers at Shaw's supermarkets in thirty-eight locations throughout Massachusetts and Rhode Island and at a distribution center in Maine were ready to strike when their contract expired at midnight on Saturday, August 2^nd. Fortunately, a strike was not needed and a fair five-year agreement was reached between the company and United Food and Commercial Workers (UFCW) Local 791on Sunday morning at 5:30 a.m. The agreement was ratified by members of UFCW Local 791 at meetings held in Taunton throughout the day on Sunday.  

 

Some of the primary concerns that remained unresolved heading into the final days of negotiations were the company's proposal to eliminate the defined benefit pension plan for employees, contribute less towards employer provided health insurance plans, and provide substandard wage increases. Shaw's had proposed a system of lump-sum bonuses rather than standard wage increases, which would not have provided a fair and equitable raise in pay for all workers.  

 

The union was able to protect the defined benefit pension plan, guarantee raises for workers instead of lump-sum bonuses, and the company agreed to increase contributions towards employee health care plans. The union also agreed to allow for more flexibility of certain job responsibilities and made concessions on holidays for new hires. The company, the union and its members believe this to be a fair agreement that protects the wages and benefits of Shaw's employees while keeping Shaw's competitive.