Greater labor-market concentration could suppress wages and bargaining power, the Economic Policy Institute said in a new analysis.
Plans to merge two of the biggest U.S. supermarket chains could blunt grocery-store workers’ bargaining power and lower their wages, according to a new analysis from the left-leaning Economic Policy Institute.
Kroger is fourth in total revenue among U.S. grocers, and the combined companies will remain in that position, CEO Rodney McMullen said during a Senate hearing in November. From the archives : Kroger and Albertsons say their merger will help lower food prices for struggling consumers. Not everyone is convinced.
In a statement sent to MarketWatch, a Kroger spokesperson called the Economic Policy Institute article’s conclusions “erroneous and based on a faulty, biased and poorly sourced analysis that ignores both companies’ long track record of investing in associates.”
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