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Safeway averts labor crisis; brings in contractor pledged to honor Teamsters contract, retain workers, at huge Tracy distribution center.


TRACY, Calif.--(BUSINESS WIRE)--Oct. 29, 1996--Representatives of 1,400 Teamsters Union Teamsters Union, U.S. labor union formed in 1903 by the amalgamation of the Team Drivers International Union and the Teamsters National Union. Its full name is the International Brotherhood of Teamsters, Chauffeurs, Warehousemen, and Helpers of America (IBT).  drivers and warehouse workers at Safeway's massive 1.8 million square foot facility in San Joaquin San Joaquin (săn wäkēn`), river, c.320 mi (510 km) long, rising in the Sierra Nevada, E Calif., and flowing W then N through the S Central Valley to form a large delta with the Sacramento River near Suisun Bay, an arm of San Francisco Bay.  County said they were pleased that the grocery chain had selected a new operator pledged to honor their labor agreement and retain current employees.

The selection of the British-based firm Tibbit & Britten Group averts a labor crisis at the warehouse, where workers had expected to receive layoff Layoff

1. When a company eliminates jobs regardless of how good the employees' performance. 2. A risk reduction, made by investment bankers, that minimizes the potential downside associated with a commitment to purchase and sell a stock issue unsubscribed by stockholders holding
 notices before October 31. Teamsters Teamsters

large, powerful union of U. S. truckers. [Am. Hist.: NCE, 2703]

See : Labor
 Local 439 had made no secret of their plans to launch a massive publicity campaign and boycott of Safeway stores if the grocery chain had contracted with a non-union entity and laid off workers.

Local 439 president Bob Gamaza and Secretary-Treasurer Pat Miraglio said they had contacted Tibbit & Britten. The new operators, Gamaza said, agreed to meet with the union to work out the numerous details associated with the takeover of this magnitude, but no date had been set.

Teamsters officials said they would seek a cooperative relationship with the new operator that created more opportunities and job satisfaction for employees, greater productivity for the company and enhanced service Enhanced service is service offered over commercial carrier transmission facilities used in interstate communications, that employs computer processing applications that act on the format, content, code, protocol, or similar aspects of the subscriber's transmitted information;  to Safeway customers.

The new operators have formed a firm called Summit Logistics Inc., to take over the operation currently handled by Specialized Distribution Management Inc. or SDMI (Secure Digital Music Initiative) A set of rules for securely distributing digital music over the Internet. Announced in February 1999, it is backed by the Recording Industry Association of America (RIAA) and Sony, Warner, BMG, EMI and Universal, the top five . Summit Logistics will assume responsibilities of the labor agreement covering Teamsters, Miraglio said. The five-year agreement expires in September 1997.

This is the latest chapter in the sometimes volatile relationship between the Teamsters and Safeway that began in 1992 when the grocery chain announced it would fire workers and close its East Bay distribution centers, then move to Tracy using SDMI and non-union employees. Safeway backed down following a successful boycott campaign that dramatically reduced business at targeted markets. A contract was signed with SDMI. But relations between SDMI and the Teamsters remained tense. In August, Teamsters voted 989-27 to reject a contract proposal offered by SDMI.

CONTACT: Teamsters Local 439

Bob Gamaza (President)

or

Pat Miraglio (Secretary-Treasurer)

or

Pete Easton or Clare Butterfield Reverend Clare Butterfield is a Unitarian Universalist Community minister from central Illinois and executive director of Faith In Place, a project that partners with religious congregations to promote clean energy and sustainable farming. Biography
Rev.
 (Business

Representative), 209/948-9592
COPYRIGHT 1996 Business Wire
No portion of this article can be reproduced without the express written permission from the copyright holder.
Copyright 1996, Gale Group. All rights reserved. Gale Group is a Thomson Corporation Company.

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Publication:Business Wire
Date:Oct 29, 1996
Words:345
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