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Trader Joe's has become the latest major US retailer facing pressure to engage with labor unions, as the National Labor Relations Board (NLRB) seeks an order compelling it to recognize and negotiate with a worker-led union called Trader Joe’s United.
The push comes after allegations that employees were discouraged and threatened in their efforts to unionize.
The dispute centers on a Trader Joe's store on New York’s Lower East Side, where workers narrowly failed to get enough support in a union vote last year.
Despite the loss, the NLRB’s general counsel is calling for the grocery chain to negotiate with the union under a framework introduced in 2023, designed to address unfair labor practices.
The framework, stemming from a precedent set by the NLRB in a case involving the construction company Cemex, allows the board to order companies to recognize unions if they are found to have engaged in illegal practices during union elections.
In the case of Trader Joe’s, the general counsel argues that the company’s actions during the unionization campaign may have violated labor laws, nullifying the results of the election.
Trader Joe legal proceedings
The tied vote in April 2023 left the unionization efforts at the Lower East Side store in limbo, but Trader Joe's United has since filed for a bargaining order under the new NLRB rules. The company now faces legal action, with a consolidated complaint against it and a hearing scheduled for January.
Bridget Arend, a worker and organizer at the New York outlet, claims the company has aggressively opposed their union efforts. “They wouldn’t fight this hard if we didn’t have a lot to gain,” Arend said, citing frustrations over worker safety during the COVID-19 pandemic and reduction in benefits over the years. She also expressed optimism about the latest developments, saying, “To see it actually being dealt with is really exciting.”
Trader Joe's, which operates hundreds of stores nationwide, declined to comment on the current legal proceedings. The retailer, alongside other major companies such as Amazon and Starbucks, has previously challenged the NLRB, arguing the agency is unconstitutional. The company has until October 1 to respond to the NLRB’s complaint.
Sarah Beth Ryther, vice-president of Trader Joe's United and a worker at a unionized store in Minneapolis, emphasized the long-term effort behind their organizing campaign.
"We've built a strong network of advocates over the past two years. While it's a slow process, we're applying as much pressure as we can to ensure workers' rights are respected," Ryther said.
As the labor dispute unfolds, the upcoming ruling by an administrative law judge in January will likely shape the future of unionization efforts within Trader Joe’s and potentially across the retail sector.
