GROCERY STORES Kroger, union OK contract extension



The union has scheduled a strike vote Wednesday.
CINCINNATI (AP) -- Kroger Co. and the union representing 8,500 workers at 70 stores in three states have agreed to indefinitely extend their contract that had been set to expire Saturday.
A federal mediator suggested the extension of the five-year contract so that both sides can continue working on a new deal, said John Marrone, spokesman for Local 1099 of the United Food & amp; Commercial Workers.
"It's a good sign that both sides are going to stay at the table to get something worked out," Kroger spokesman Gary Rhodes said.
Either side is allowed to break off the contract with four days' notice.
Cashiers, grocery baggers and clerks in meat, produce and delicatessen departments at 70 stores in the Cincinnati area, northern Kentucky and southeastern Indiana are covered by the contract.
Strike vote set
Despite the extension, the union plans to go ahead with a strike vote Wednesday. A two-thirds majority of members voting is needed to authorize a strike.
Both sides have reported little progress in talks so far.
Cincinnati-based Kroger wants workers to start paying some of their health-insurance premiums. It also wants to eliminate some situations where it pays overtime, cap the number of full-time workers and liberalize work rules.
Marrone said the company and the union disagree on significant issues, including wages, health care and pensions.
The company and the union have learned that labor disputes can hurt both sides.
A 141-day strike and lockout in southern California this year cost Kroger and two other supermarket chains $1.5 billion in sales, and the union lost members who could not afford to wait out the strike.
Kroger and the union have agreed to seven contracts across the country since April. All involved the extension of contracts while talks continued.