Will Community Groups Pay for Economic Losses of Grocery Store?

Will Community Groups Pay for Economic Losses of Grocery Store?

A group of radicals have decided to sue Kroger grocery stores, owners of Ralphs grocery stores in Southern California.  Krogers had decided that it would not lose any more money on the stores, already money losers, when the government mandated they add $5 an hour to the pay of the grocery store workers.  Now the lawsuit is demanding the stores re-open and that Kroger, not them, take the financial risk and losses.

“A Los Angeles coalition of community leaders plan to file an injunction to block the mega grocery store chain Kroger from closing a South LA Ralphs store. In March, the chain announced the underperforming Hyde Park location — along with two other stores in Hollywood and West LA — will close May 15. The store closures also coincide with a temporary $5 per hour “hero pay” increase passed by the LA City Council and Board of Supervisors in February.

The Ralphs is stationed on the corner of West Slauson and Crenshaw, and the closure could lead to a negative impact to the surrounding Hyde Park community. There’s a lack of other robust grocery operations in the immediate area.

Why is there a lack of grocery stores in the area?  Ask Kroger or other California based grocery stores—shoplifting has skyrocketed since the law was change that now says you can steal up to $950 worth of good s and get nothing more than a ticket—and you do not have to show up in court or ever pay it.  By mandating the extra $5 , government is saying WE control your operation.  If we can raise wages by $5 an hour, we can raise them by $10 an hour, we can tell you where to open stores and need our permission to close the,.  In the end the consumer will pay higher prices for government control and get lower quality of food.  Let those that are suing put up a bond valued at one years’ worth of “heroes” pay—then let the suit go forward.

A Community Group Takes Legal Action to Keep South LA Ralphs From Closing

Gemma/Unsplash

by Mona Holmes, LA Eater,  5/7/21 

A Los Angeles coalition of community leaders plan to file an injunction to block the mega grocery store chain Kroger from closing a South LA Ralphs store. In March, the chain announced the underperforming Hyde Park location — along with two other stores in Hollywood and West LA — will close May 15. The store closures also coincide with a temporary $5 per hour “hero pay” increase passed by the LA City Council and Board of Supervisors in February.

The Ralphs is stationed on the corner of West Slauson and Crenshaw, and the closure could lead to a negative impact to the surrounding Hyde Park community. There’s a lack of other robust grocery operations in the immediate area.

Since January, city councils throughout California have passed temporary “hero pay” ordinances, including LA, Montebello, and Long Beach. The mandated pay increases are designed to compensate grocery workers for essential work during the pandemic, and range from $4 to $5 per hour over a 120 day period. Since these pay increases passed in 2021, labor leaders, grocery chains, community groups, and workers have wondered whether “hero pay” is to blame for the dual shutters, or is Kroger using the ordinance as a scapegoat for planned closures in a crowded market — while keeping worker pay low.

KNX News reports the protesting group includes a coalition of civil rights, community, and labor groups, including the Harriet Tubman Center for Social Justice, Southern Christian Leadership Conference of SoCal, and Baptist Ministers Conference of SoCal.