This paper examines Kroger Corporation's human resources practices through a phone interview with an Administrative Assistant in Kroger's HR department. Drawing on responses from a ten-question interview, the paper explores how the company handles seniority in layoffs and promotions, reduction-in-force procedures, employee recall rights, technological change and retraining, disciplinary processes, and grounds for termination. The findings are supplemented by references to the Kroger Employee Manual and the collective bargaining agreement between Kroger and UFCW Local 876. Together, these sources provide a practical overview of how one of America's largest retailers manages its largely unionized workforce.
Kroger Company is an American retailer founded in 1883. It is currently the second-largest general retailer by revenue, the largest grocery store chain in America, and the fourth-largest retailer globally. The company operates over 2,500 stores across 31 U.S. states. In 2012, Kroger grossed nearly $100 billion in revenue. The majority of Kroger's workforce is unionized, with approximately 75% of employees represented by the United Food and Commercial Workers (UFCW) union (Kroger Company, 2013).
The following findings are drawn from a phone interview conducted with an Administrative Assistant for Human Resources at Kroger Corporation, Cincinnati, Ohio, on October 9, 2013. Responses are paraphrased rather than quoted directly. See also: UFCW 876 (2010).
Does seniority play a role in promotion and job security? Employees must be with Kroger for more than six months to receive notice in the event of layoffs or similar workforce actions. The greater an employee's seniority, the more severance pay or benefits they are eligible to receive β up to a maximum of six weeks. Employees who accept severance pay do not retain seniority or recall rights.
When selecting a candidate for an in-house promotion, is the decision based on seniority or ability? There is a balance between skill set and seniority. If the position requires a high level of skill, greater weight is placed on the candidate's qualifications. If multiple employees have equivalent or similar skills, seniority and job-performance evaluations factor into the final decision.
Does the company have a seniority credit program, and can credits transfer across departments? The applicability of any seniority credit program depends on the specific job and required skill set. Kroger does maintain an agreement that it will not employ two or more part-time employees in situations where a single full-time employee working 40 hours per week could fulfill the role.
When a layoff is implemented, who is let go first and why? Positions are evaluated by a Human Resources committee. Reductions in Force (RIFs) are made only when circumstances make them unavoidable β for example, when a store closes unexpectedly in a given area β and no other option is available.
Are employees placed on a recall or rehiring roster, and is the process last-in, first-out? Yes. In the event of a Reduction in Force, both seniority and expertise are considered in determining eligibility for rehire.
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