Correction: Safeway Makes Final Offer

 Safeway Talks, September 19, 2026

Safeway Makes Final Offer

We’re encouraged to share that we have reached the end of the negotiations with UFCW 401 and the Company has made its Final Offer. We are pleased to hear that the Union will be bringing this offer to you for a vote. This final and best offer reflects the productive and collaborative talks between UFCW 401, your Bargaining Committee and the Company. It includes meaningful improvements for teammates, including job security, wage increases and benefit enhancements.

As UFCW 401 has now shared the agreement with you, it is important that you take time to review the details, ask questions and vote.

If accepted, here’s what the Company’s Final Offer delivers:

Five years of job security for Safeway teammates

  • Teammates can feel secure with a five-year agreement that expires in August 2030
  • Teammates can also be assured by the Company’s commitment to no FreshCo conversions of Safeway stores during this time.
  • If a store closes, we have agreed to an enhanced notice period, enhanced severance and a commitment to meet with the Union.

Wage increases will be maintained

  • All appeals, including the challenge to the Supreme Court of Canada related to the wage reopener, would be withdrawn by the Company and no further action will be taken on that matter. This means that top-rated teammates will continue to be the highest paid employees in the unionized Alberta grocery industry.

Signing bonus and wage increases

Top-rated teammates:

  • $2,000 signing bonus to be paid within 30 days of ratification
  • Wage increases for top-rated teammates in 2027 (2%), 2028 (3%) and 2029 (3%).
  • For a teammate making $23.38 now, this works out to $1.92 of increases between now and August 2029 and a rate by the end of the contract of $25.30.
  • When factoring in the 5% increases from 2023 and 2024, it amounts to an increase of 18% for that period

In-Scale teammates:

  • $500 signing bonus for in-scale teammates to be paid within 30 days of ratification.
  • An immediate 3% off-scale increase for in-scale teammates. For a teammate making $15 per hour this would equal to a 45-cent increase.
  • Additional lump sum payments of $500 in 2027, 2028 and 2029.
  • This is a 3% increase and $2,000 in signing and lump sum payments between now and 2029.

Access to more hours and skills

  • Teammates have been asking for more variety in their work and we’re offering new opportunities to support that interest. Teammates can now choose to be cross trained in other departments, giving them the opportunity to work different areas in the store and have access to more hours. Participation is entirely voluntary and opportunities will be based on seniority.

Improved investment in benefit plan and workplace support

  • Increased funding for Dental trust benefits ensuring the long-term viability of the benefits provided by this fund.
  • Additional funding as required for the Part-Time Health and Welfare trust to ensure the benefits provided by this trust remain funded.
  • Free menstrual products will be made available in all employee washrooms over the next six months.
  • 60 employees per year (as selected by the Union) to receive paid time off to attend to National Day for Truth and Reconciliation Union activities.
  • Ongoing funding of the Walking Steward program.

Retirement allowances

  • We’ve heard from many teammates who are considering retirement that some additional support might make their transition easier. We are offering retirement allowances for eligible teammates based on years of service and awarded by seniority. Eligible teammates would receive an allowance of $1,000 per year of service to a maximum of $25,000 upon retirement. This option will be available to at least 200 retiring teammates over the life of the new agreement.

We firmly believe that this Final Offer represents a fair balance that delivers tremendous value for teammates and supports the future of Safeway in Alberta. It provides more job security, improved compensation and enhanced benefits. This is the Company’s best and final offer. There are no more bargaining dates and there will not be another offer. We strongly encourage you to vote to accept it.

It is important that you take the time to carefully review the offer and cast your vote. Direct any questions about where or how to vote to your Union representative. For scheduling matters that may affect your ability to vote, speak with your Store Manager or your Human Resources Business Partner.

We’ll provide you with an update once the results have been confirmed. We look forward to you ratifying the offer so we can move forward with improvements that have been offered and focus on continuing to build a strong future for Safeway!

 

Post-strike vote: Where are we now?

Safeway Talks, September 14, 2026

Post-strike vote: Where are we now?

On September 14, UFCW 401 confirmed that 86% of teammates in the Retail bargaining unit, 93% in the South Meats bargaining unit and 90% in the North Meats bargaining unit voted in favour of a strike mandate. This result means that the union can implement strike action with as little as 72 hours notice.

We remain committed to bargaining in good faith to reach an agreement that balances your needs and the longevity of Safeway in Alberta. The strike vote doesn’t change that. We’re ready to return to the bargaining table from September 15 to 17 to work towards reaching a deal.

We also understand that the possibility of a labour disruption can create uncertainty. We have contingency plans in place, and our stores will remain open and ready to serve customers.

We’ll continue to provide timely, accurate updates as they become available. In the meantime, please refer to this FAQ document for more information.

 

 

Alberta Safeway – Teammate Information for Strike/Lockout Frequently Asked Questions (FAQ)

General Questions Related to Job Action

Q: Will I get paid by Safeway while on strike/lockout?

A: No, you won’t receive your usual pay cheque if you are on strike. In addition, there will not be any Company contributions to the pension plan, dental plan or benefits programs during a strike, unless the Union opts to make those contributions on teammates’ behalf.

 

Q: If we go on strike, do I get paid by the Union?

A: UFCW 401 has said that only teammates who participate in picketing will receive strike pay. The maximum amount of strike pay is $550 per week for full time and $400 per week for part time. If you have questions about strike pay, you should speak to your Union representative.

 

Q: Do the terms of the current Collective Agreement still apply during a strike/lockout?

A: No, once either party initiates legal job action (including a strike/lockout), the Collective Agreement no longer applies.

 


Q: I am on probation; do I have the right to strike?

A: Yes, you have the right to strike even if you’re on probation.

 


Q: Can I keep coming to work if there is a strike?

A: Yes. Teammates will still be allowed to come to work if there is a strike. If this is something you want to do, please contact your store manager.

 

Q: If I am locked out, can I still come to work?

A: Yes. Teammates will still be allowed to come to work if there is a lockout. If this is something you want to do, please contact your store manager.

 

Q: The union is telling me I will be fined if I come to work during a strike.

A: You can work during a strike, if you would like to. Following the last Safeway strike, in 1997, the Company and the Union signed a Return To Work Agreement which provided that no fines would be imposed on employees who crossed the picket line.

 

Q: If I come to work during the strike or lockout, will my wage go down?

A: No, there will be no change in your current wage.

 

Q: If I come to work during the strike or lockout, will I receive Company provided benefits?

A: Yes, if you come to work during the strike, you will continue to receive Company provided benefits if you meet eligibility requirements.

 

Q: What is the impact on international students or teammates on a work permit if there is a strike or lock out?

A: There is no impact to either of these groups with respect to their ability to work in Canada in the event of a lawfully authorized strike or lockout. If teammates have specific questions on the impact of their work permits, they should contact Service Canada at 1800-622-6232 or the federal government’s Immigration and Citizenship Help Centre at this link:

https://www.cic.gc.ca/english/helpcentre/index-featured-can.asp

 

Q: Why did Safeway apply to the Alberta Labour Relations Board (LRB) for a “lockout poll”?

A: We applied for a “lockout poll” in response to the Union’s strike vote. Once the Union secures a strike vote the Union is only required to provide 72 hours’ notice of a strike. For the Company to be prepared for all potential outcomes, we conducted a “lockout poll” which is a requirement of the Alberta LRB. In the event UFCW Local 401 issues “strike notice”, the Company will respond with a “lockout notice” to ensure that we have all legal options available to protect our business.

We are hopeful that this step will not be required. We are committed to working with your union and the bargaining committee at the table from September 15 to 17 to reach an agreement that meets the needs of the teammates and the Safeway business.

 

Issuance of Records of Employment (ROE)

Q: Can I collect EI while on strike/lockout?

A: No, EI has advised that teammates are not eligible for EI benefits while on strike/lockout.

 

GROUP BENEFIT COVERAGE

Q: Do my company provided benefits continue while on strike?

A: No, Company provided benefits like Group Insurance and Weekly Indemnity would be cancelled during a strike.

The Union may choose to pay premiums for teammates on strike. If the Union does choose to pay the premiums you will be marked SP (self-pay) so that the system does not disqualify you from the plans once the strike ends.

 

Q: Are Employee Assistance Program (EFAP) services still available to teammates who are on strike or lockout?

A: Yes. EFAP services continue to be available to teammates on strike. Confidential support can be accessed anytime through TELUS Health by calling 1-833-531-4178 (24/7/365) or by visiting one.telushealth.com.

 

WI, LTD and WCB Claims:

Q: I am currently on a WI, LTD or WCB claim, do my benefits continue?

A: Yes, established claims continue during period of the strike provided medical evidence continues to support disability.

 

Union Dues

Q: Do I still pay union dues when on strike/lockout?

A: As you will not be paid by the Employer, union dues will not be taken off your pay. Please contact your Union directly for more information.

 

Vacations

Q: I have vacation scheduled during the strike/lockout; will I still be paid?

A: No, all vacations will be cancelled and rescheduled once the strike is over. You will not be entitled to any vacation pay during a strike as all payments by the Company cease during that time.

 

Q: If I come to work during a strike or lockout, can I still take vacation and get paid.

A: No, all vacations will be cancelled and rescheduled once the strike or lockout is over.

 

Q: What happens if I cannot take all my vacation before the end of the year because of the strike or lockout?

A: If your vacation is cancelled due to a strike or lockout, you can carry your vacation allotment into the 2027 vacation planning year.

 

Sick Time

Q: Can I take sick time while on strike?

A: No, you are not eligible to receive sick leave or pay while on strike.

 

Miscellaneous

Q: How do I get more information?

A: Go to www.safewaytalks.ca for regular updates.

 

Q: What should I do if I am approached by the media?

A: Direct all media requests to media@sobeys.com. Only authorized spokespeople may speak to the media about company-related issues.

Your vote matters. Exercise this right.

As noted in our last update, UFCW Local 401 requested an end to formal mediation and has since scheduled a strike vote.

Between September 8 – 11, your union has asked you to cast your vote to authorize strike action.

The decision is yours. Whatever your perspective, we encourage you to attend the strike vote meeting, review the information being presented, ask questions, and cast your vote.
Every voice counts. Not voting means you’re leaving a critical decision about your job in the hands of others.

For questions about how to vote or where to vote, please speak directly with your union representative.

Store Managers can help with scheduling concerns that could affect your ability to attend the meeting or answer any questions.

Please make sure you get out and vote and make your voice heard.

We remain committed to bargaining in good faith to reach an agreement that balances your needs and the longevity of Safeway in Alberta. A strike vote will not change that. We’re eager to return to the bargaining table later this month to work towards reaching a deal.

Thank you for continuing to support one another and our customers during this process.