Sobeys to close 10 Safeway stores in British Columbia

Craig Patterson
Craig Patterson
Now located in Toronto, Craig is a retail analyst and consultant at the Retail Council of Canada. He's also the Director of Applied Research at the University of Alberta School of Retailing in Edmonton. He has studied the Canadian retail landscape for the past 25 years and he holds Bachelor of Commerce and Bachelor of Laws Degrees. He is also President & CEO of Vancouver-based Retail Insider Media Ltd.

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(Photo: http://kunyuan.ca) (Photo: http://kunyuan.ca) 

(Photo: http://kunyuan.ca) 

By Grocery Business

Sobeys plans to close 10 Safeway stores in British Columbia, according to a report issued by the United Food and Commercial Workers Union Local 1518  in the province.

According to the union, Sobeys has indicated that if it gets favourable terms and conditions for its FreshCo discount banner, it may open FreshCo stores at five of the closed Safeway locations. 

Approximately 1,000 people will be impacted by the store closures, according to Ivan Lipright, president of UFCW 1518.

“Hundreds of our members will lose their jobs. Hundreds more will be displaced through the transfer process. And Sobeys barely gave us a courtesy call,” he said. “That won’t fly in bargaining, though. We’ve told the company that we need all of the information on decisions they’ve made that will impact our members. It’s time to stop the games and start respectful negotiations.”

Sobeys spokesperson Jacquelin Corrado said in a statement to Grocery Business magazine that the company had invited Union Local 1518 to the table “to review stores that are under financial pressure in June and then again in October of last year, so that we could talk about ways to help our unprofitable stores turn the corner to protect jobs and continue to serve our customers. Unfortunately they declined to engage in the conversation both times.

“We’re looking forward to the upcoming negotiations and agree 100 per cent with the union statement that it’s time for respectful dialogue. We agree with the union that it’s time to stop the games and start respectful negotiations.”

She adds that Sobeys is “always open to working with the unions or any of our stakeholders to make our stores more successful.”

The Safeway locations slated for closure in the province include:

Vancouver

-4575 W 10th Ave (Point Grey)

City Square

Burnaby

Lougheed Town Centre

-Royal Oak (5235 Kingsway)

Richmond

-6140 Blundell Road

-Broadmoor (10151 No 3 Rd)

Coquitlam: 

Sunwood Square 

Surrey: 

-Strawberry Hills (7450 120 St)

Newton Town Centre

Mission: 

-32520 Lougheed Hwy

All stores will close on May 5, except for the City Square store which will close on July 28. 

Five of the shuttered locations could reopen under Sobeys’ discount brand, FreshCo, including the Blundel, Broadmoor, Newton Town Centre, Strawberry Hill and Mission stores. 

*This article originally appeared in Grocery Business [Subscribe for Grocery Business Updates]

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