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BloombergBy Jack Kaskey
Dec. 2 (Bloomberg) -- Safeway Inc., the third-biggest U.S. grocery chain, agreed to a four-year contract with a union representing more than 25,000 northern California employees, averting a threatened strike.
The tentative agreement with United Food and Commercial Workers Locals 5, 8, 101 and 648 covers retail clerks and meat and deli personnel, Pleasanton, California-based Safeway said today in a statement. Details were withheld pending union members' ratification, Safeway said.
The previous contract expired yesterday, and the union had said votes to authorize a strike would be held early this week. The deal gives workers ``substantial'' pay increases, avoids employee premiums for medical benefits and protects pension and benefits, said Jacques Loveall, president of UFCW 8-Golden State.
``This model contract sets the standard for workers in the supermarket industry,'' Loveall said in a statement posted on the union Web site. ``Next we will focus our energies on bringing these benefits to non-union workers doing the same work for less.''
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