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Grocery workers fear joining the working poor
San Diego Union Tribune ^ | 10-19-03

Posted on 10/19/2003 12:18:42 PM PDT by mikenola

Roxie Bauer has raised a daughter – mostly by herself – paid a mortgage for more than 25 years and paid off her car, all on a checker's paycheck from Vons.

Bauer, after 29 years with the supermarket, earns $17.90 an hour, has good health benefits and a pension plan. But life stories like hers are rare these days, and she knows it.

"We are dinosaurs," Bauer said of herself and others in her position. "I don't have a formal education, but I've been able to eke out a decent living."

Fundamental changes in the economy over the last two decades have forced most people in jobs like Bauer's out of the middle class.

Assembly-line work, residential construction labor, work behind the counter of a bank, among many other relatively low-skill jobs, used to provide a comfortable living for millions of Americans. Now, for the most part, they don't.

Nowhere is this more apparent than in Southern California, said Ruth Milkman, director of the University of California's Institute for Labor and Employment.

"In the last 20 years, there has been a polarization of jobs into low wage and high wage jobs," said Milkman. "In Southern California it has been extreme. This is an attack on the remaining middle."

A generation ago the worker was in a far better position. There was little competition from abroad, industry was just beginning to automate and unions were strong. Over time, however, globalization, advancing technology and union busting allowed companies in many industries to slash benefits and keep pay levels down, experts say.

Supermarket checkers, and in some places janitors and hotel workers, are the last remaining holdouts. But even these workers fear that their days are numbered.

"We will eventually be replaced by technology," Bauer said. "We will go the way of the bank teller and gas station attendant."

They've already lost a lot. Seventy-five percent of the membership of United Food and Commercial Workers Local 135 consists of part-timers, said union president Mickey Kasparian.

Kasparian and other union members say a full-time checker making $17.90 an hour, or $37,000 a year, is the exception. Most grocery workers are not full-time and are not making the top wage. Wages for checkers start at $9.78 an hour, according to the UCFW contract that expired this month.

"This is a strike about whether supermarket workers will be part of the middle class or the working poor," said Harley Shaiken, a University of California Berkeley professor who specializes in labor issues.

The peak of union power was in the late 1940s and 1950s, said Milkman. Membership started declining during the Vietnam War years and dropped sharply in the early 1980s.

A turning point was President Reagan's decision to fire striking air traffic controllers.

"That gave businesses the green light to go after unions," Milkman said.

Then the collapse of the Soviet Union and 1994's North American Free Trade Agreement launched an era of increased globalization. Manufacturers began to have more freedom than ever before to move plants to Mexico, China and other countries where labor is far cheaper.

Grocery checkers and janitors have fared better than workers in other industries mainly because their labor can't be exported and they've had relatively good union representation.

"They can't employ a Chinese supermarket checker, but they can turn it into a low-wage job," Milkman said. "I see it as a deliberate strategy."

Deliberate or not, it is a key to survival for the supermarket chains, said Gary Wright, a Denver retail consultant.

"They either have to drive their labor costs down or go out of business," Wright said. "Wal-Mart has a 20 percent advantage in wage costs."

Whether Wal-Mart and the other "big box" retailers will be able to dominate grocery sales in Southern California like they have in other parts of the country is a bone of contention among experts.

Some say it's only a matter of time before a critical mass of San Diegans begin shopping for groceries at Wal-Mart, Costco or Target. Others argue that the supermarkets have already staked out the prime locations in a mostly built-out county.

But no one disputes the importance of unions to grocery workers.

"The unions are crucial, because there are thousands of immigrants who would love to have those jobs, and would take far less pay," said Barry Bluestone, director of the Center for Urban and Regional Policy in Boston. "But the unions have held the line."

Milkman said retail food is one of the few remaining industries where unions are still strong. Other industries have either busted the unions or restructured, she said.

Residential construction used to be highly unionized, but now it primarily relies on immigrant labor. Manufacturing also has changed drastically. Gone are the large, well-unionized aerospace and other manufacturing plants. Now the industry is dominated by smaller, non-union operations.

"The declining union density in key industries is extremely important," said Donald Cohen, president of the Center on Policy Initiatives. "A high (union) density creates a level playing field in an industry."

Another group that has held its own, at least in some cities, is janitors, Milkman said. Janitorial work, a well-paying job in the 1950s and 1960s, turned into a low-wage job in the late 1970s. Then janitors reorganized in the late 1980s, Milkman said.

Janitors at Harvard University made news last year when they won – with the help of students – a contract with a 16 percent wage increase.

Hotel workers in San Francisco have also done reasonably well in recent years. In 1999 they won a contract that pays room cleaners $15 an hour. The contract expires next summer.

"We anticipate the kind of war Southern California grocery workers are facing now," said union head Mike Casey.

Bauer has been on the picket line at the Midway Drive Vons in Point Loma by 6 each morning. She said she is fighting to maintain her lifestyle.

"I've been able to lead a decent and respectable life," Bauer said. "I certainly don't feel rich, but I don't feel poor either."


TOPICS: Business/Economy; Extended News; Front Page News; News/Current Events
KEYWORDS: groceryworkers; strike; unions
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1 posted on 10/19/2003 12:18:42 PM PDT by mikenola
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To: mikenola
maybe they should join the working. If you have read the contract it does not say they will have to pay half of their healthcare. What these schleps problem is they are listening to their union Bosses tell them lies.... WHILE THE UNION BOSSES COLLECT FULL SALARIES. What is the motivation for the Union bosses to settle or tell the truth?
2 posted on 10/19/2003 12:22:02 PM PDT by Walkingfeather
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To: mikenola
Its just a matter of time, 12-36 months, and all these grocery checkers will probably lose their jobs as the bar code replacement chip and self service registers take over...who will then buy the food????
3 posted on 10/19/2003 12:26:10 PM PDT by evolved_rage
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To: mikenola
"They either have to drive their labor costs down or go out of business," Wright said. "Wal-Mart has a 20 percent advantage in wage costs."

Sam Walton - the rapist of America's Middle Class.

4 posted on 10/19/2003 12:26:41 PM PDT by StatesEnemy
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To: mikenola; SortaBichy
Mrs. Batavia and I just got back from our local Ralph's...it was well picketed, but of the dozen or so on the line, only ONE works at that store. The rest must be professional goons.

One suggested we go to Stater Bros, and another chatted us up as we entered.

The store was sadly un-busy. We noticed some fabulous bargains in the prepackaged fresh meat and fish departments (due to sell by dates of tomorrow and Tuesday), so stocked up on several $2.00 and $2.50 roasts and $1.50 salmon fillets....it's nice to have freezer space.

With our receipt was a thingie for $5.00 off next trip, thanking us for our loyalty.

I'm in my fifties and have yet to let a "picket line" infringe on where I want to go.

5 posted on 10/19/2003 12:28:23 PM PDT by ErnBatavia (Why do the Flag postage stamps peel off upside down..infiltrators?)
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To: StatesEnemy
"Wal-Mart has a 20 percent advantage in wage costs."

The one here (non-grocery...regular Wally) starts 'em at $7.25 an hour. That gives them a helluva lot more than a 20 percent advantage.

6 posted on 10/19/2003 12:30:32 PM PDT by ErnBatavia (Why do the Flag postage stamps peel off upside down..infiltrators?)
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To: mikenola
Hate to make illegal immigration the scourge of everything but...

If illegal immigrants did't:
1. drive down wages at the low end, wages in the middle tier wouldn't be depressed.
2. take jobs, ohters would have to do them with a necessary increase in the wage paid.
3 double and triple up on housing, rents wouldn't escalate so fast.

Lot's of unintended consequences of cheap lettuce!
7 posted on 10/19/2003 12:34:32 PM PDT by cousin01
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To: StatesEnemy
There have been studies that show that for every job Wal-Mart creates, it kills off 1.5 jobs. Actually alot of those jobs are very indirect.

It isn't just the mom & pop stores that go out of business, it is them forcing their suppliers to go overseas for labor in order to keep the contract.

Wal-Mart will tell a company that has thousands of american employees, that they can get the entire contract for an item in the thousands of wal-marts, if they sell to wal-mart at a price that can only be met with Chinese labor.

The company closes their factories here, builds in China, and sells to Wal-Mart. So those employees are gone. Then the competitors for that company have to respond in kind to stay in business, because the person distributing to Wal-Mart their chinese made stuff, is also distributing to other retailers with the benefit of Chinese labor.

Wal-Mart for example sells 39% of all diapers sold in this country. Great prices too. However, to get that low price, the companies have had to reduce labor costs.

So anybody who made diapers in the US, or still does, can forget about it. Wal-Mart's 39% share means that no diaper other than high end ones, will be made here in the USA. The local five and dime that sold diapers will not be able to compete.

Think of the math. Wal-Mart is likely selling millions of diapers a day. They are probably selling the diapers for less money that the wholesale price to an independent store who only sells 10 boxes a day. You simply can not compete. It's a spiralling cycle. If you make alot of money, or have alot of money already, this system is great. You have illegals doing the vast majority of labour in construction, you have checkers at $8 an hour, and you can get great bargains. Those who are in these businesses though, are basically moving into the lower class.

It's reality. Good, bad, or indifferent, this is what Wal-Mart is doing.

8 posted on 10/19/2003 12:35:57 PM PDT by dogbyte12
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To: mikenola
A turning point was President Reagan's decision to fire striking air traffic controllers.

Yeah. ATCs who were breaking the law by striking.

Unions continue to fight a losing battle against technology, and the simple fact that people want the best product at the lowest cost.

9 posted on 10/19/2003 12:35:57 PM PDT by sinkspur (Adopt a dog or a cat from a shelter! Save a life, and maybe you'll save your own, too!)
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To: mikenola
The sad truth is that the US will more and more resemble and function like a third world country in the future. Too many people who, through circumstance or laziness, do not get the skills needed to compete for fewer good paying jobs. Make your own work, be prepared to work long hours, or be content with your lot.
10 posted on 10/19/2003 12:37:11 PM PDT by novacation
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To: mikenola
"They can't employ a Chinese supermarket checker...."

Why not?

With the bar coding as good as it is, they could employ a Chinese, Mexican, Korean, etc., check out clerk - as long as they can make change.

11 posted on 10/19/2003 12:40:26 PM PDT by spectre
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To: evolved_rage
I just used self-service check-out at Home Depot for the first time. It works just fine. Union grocery checkers haven't done their homework on buggy whips.

Meanwhile I checked 4th quarter earnings for Safeway and Kroger (Ralphs). Both are down about 28% year on year. They will do whatever is economically necessary to stay profitably in business. Their stockholders will demand it.

12 posted on 10/19/2003 12:41:45 PM PDT by Bernard Marx
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To: Joe Hadenuf
I don't think this article was laying blame at anyone's feet in particular, it was simply noting the trend of people going from the middle class to the working poor.

Plenty of "blame" to go all around (greedy unions, inept management), but ultimately, responsibility lays at the feet of the consumer who values the "lowest price in town" over all other considerations.
13 posted on 10/19/2003 1:04:40 PM PDT by ambrose (I Support Governor Jeb Bush!)
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To: mikenola; ambrose
This was in responce to a post in another thread that was locked by some ADMIM MODERATOR locked because he wanted to disrupt the flow of ideas. Who really cares if it is a duplicate thread? A post can be simply made to inform us that we can look at the other thread if you care to.

The unions have held the line against allowing equal opportunity to non-white people?

That is what unions have done best. Where do you think the system of apartheid in South Africa came from?

From businesses who did not want to hire the cheapest labor available, so they could not be as profitable as possible.

or

From White labor unions who did not want blacks taking over "their" jobs, so they pushed for a system that legally excluded blacks from the job market.

14 posted on 10/19/2003 1:10:53 PM PDT by Mark was here (My fan club: You're a plague on this forum and I hope you find reason to leave.)
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To: mikenola
Residential construction used to be highly unionized, but now it primarily relies on immigrant labor. Manufacturing also has changed drastically.

Who says these illegal immigrants are just taking jobs that "no American" will do?

Illegal immigration is simply killing the lower-middle working class and changing the job structure of our country.

15 posted on 10/19/2003 1:11:01 PM PDT by Gritty
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To: ambrose
Sign of the times, the middle class is going southbound, lower wages, little or no benefits, bad trade policies, less jobs, out sourcing of jobs and companies, bleeding wide open borders, corrupt politicians, etc.

This is all just a sign of the times....

But hey, the great Wal-mart has low prices......

16 posted on 10/19/2003 1:13:57 PM PDT by Joe Hadenuf (I failed anger management class, they decided to give me a passing grade anyway)
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To: Mrs Mark
I asked them mod to lock it (I posted it)... annoying to have two dupe threads posted only minutes apart.
17 posted on 10/19/2003 1:14:36 PM PDT by ambrose (I Support Governor Jeb Bush!)
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To: ambrose
"Plenty of "blame" to go all around (greedy unions, inept management), but ultimately, responsibility lays at the feet of the consumer who values the "lowest price in town" over all other considerations.

Walmart is the last place I would shop for food..its cheaper for a reason. When I lived in So Cal. I used to buy my Veggies from an independant "Green Grocer" and bought my meat from independant Butchers. The Quality was far superior to produce selected by Union workers or Non Union employees of Big Supermarkets. It was the same thing when I lived in Arizona. I wish I had those options where I live now.

18 posted on 10/19/2003 1:15:41 PM PDT by mylife
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To: ambrose
I suppose :)

It just knocks the cheese off my cracker to come up with another "brilliant" post only to find the thread locked...

19 posted on 10/19/2003 1:18:05 PM PDT by Mark was here (My fan club: You're a plague on this forum and I hope you find reason to leave.)
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To: Gritty
Illegal immigration is simply killing the lower-middle working class and changing the job structure of our country.

But think of the bright side, were dumping billions into Iraq to help them. New trash trucks, burger kings, new police cars......What a country.....

20 posted on 10/19/2003 1:21:16 PM PDT by Joe Hadenuf (I failed anger management class, they decided to give me a passing grade anyway)
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