DENVER (KDVR) — A federal court has temporarily blocked a 25 billion dollar merger between Kroger, which owns King Soopers and Albertsons, which owns Safeway.
The United Food & Commercial Workers Union represents more than 100,000 grocery store employees at Albertsons and Kroger-owned stores in 14 states and the District of Columbia.
President Kim Cordova told FOX31 that any deal that eliminates competition would affect how future agreements are made.
“There would be store closures loss of jobs their ability to actually compete it was also going to hurt our ability to negotiate contracts without two equal sides,” she said.
Colorado’s Attorney General Phil Weiser told FOX31 after conducting nearly 20 townhalls across the state that he learned the merger would also hurt farmers and affect the food supply chain.
“Every single consumer in Colorado is better off by having King Soopers and Safeway compete,” said Weiser.
The attorney general emphasizes that the effect of the injunction goes well beyond preventing job losses.
“If they compete that means they’re offering lower prices, promotions, discounts, more local food better customer service,” Weiser said.
A ruling is still pending in a separate Colorado case filed to block the merger and also address what Weiser called an illegal no-poach and no-solicitation agreement between the two companies that happened during the 2022 King Soopers strike.
Shoppers have different opinions about the merger. While some call it “monopolistic” others who spoke with FOX31 said a merger could provide an advantage to customers.
“If there’s equity for the people I support it,” one customer said.
FOX31 reached out to Kroger and Albertsons and has not yet received a response.
