Sen. Wyden challenges Kroger-Albertsons merger, warns of harm to consumers, workers
PORTLAND, Ore. (KOIN) – Sen. Ron Wyden (D-OR) is cracking down on an upcoming Kroger-Albertsons merger that could threaten up to 617 stores nationwide – more than 60 in his home state.
According to Sen. Wyden, the merger could bring harm to consumers and workers while contributing to a building monopoly of national grocery chains.
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“A Kroger and Albertsons merger will mean higher prices and an even tougher time finding a pharmacy,” he said in a statement on Monday. “Every measure should be taken to ensure Oregonians can still fill their prescriptions and put food on the table. Blocking this merger would give mom-and-pop shops a strong line of defense against corporate giants—all while protecting our rural communities.”
Rep. Pramila Jayapal (D-WA) joined Wyden in leading a brief that urged the Federal District Court for the District of Oregon to grant the Federal Trade Commission’s request for a preliminary injunction against the Kroger-Albertsons merger on behalf of small businesses.
“There are many questions about what this merger could mean for store closures, or their quality if they remain,” Jayapal said. “There is no doubt that this merger would mean fewer options, and it will likely lead to higher prices, more food deserts, and layoffs of hardworking, union employees. Greater competition, not increased consolidation is better for our economy, consumers, and workers.”
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The brief, filed Aug. 2, said “the proposed merger is part of an alarming trend toward consolidation in the supermarket industry” and cited a report from a 2023 United States Department of Agriculture (USDA) report that found the U.S. has one-third fewer grocery stores than it did 25 years ago.
The FTC accuses the merger of contributing to this elimination of competition, which Wyden said could lead to higher grocery prices and reduce workers’ chances for negotiating a higher wage while reducing product quality and union protection.
In April, Kroger-Albertsons also announced their plan to divest nearly 600 of their stores to the New Hampshire-based grocery chain C&S for $2.9 billion.
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Teamsters Local 162 President Mark Davison said making a deal with C&S is “making a deal with the devil.”
“It’s phony. We got to fight it,” he said. “We got to wake people up to fight and see what we’re doing for working people and for our communities. Go teamsters blocked this merger. “
The complete list of stores owned by both Albertsons and Kroger — including Safeway and QFC branding, among others — that would be sold off includes 62 in Oregon and 124 in Washington. A Washington distribution center in Auburn is also set to close.
In addition to its stores, Kroger-Albertsons also plans to close six distribution centers and one plant in the U.S.
Kroger and Albertsons first announced their merger plans in October 2022.
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