NEWS RELEASE
COLORADO STATE TREASURER DAVE YOUNG
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After the Federal Trade Commission (FTC) released its decision to block a proposed merger between major grocery chains Kroger and Albertsons, Colorado State Treasurer Dave Young released the following statement:
“The FTC’s action is a huge win for Colorado workers, their families, and our communities,” Colorado State Treasurer Dave Young said. “The risks posed by this merger far outweighed the benefit to the shareholders of Kroger and Albertsons. When consolidation harms workers, lowers accessibility of food and medicine, and results in detrimental impacts to local and state economies, it’s clear the deal is good for c-suite executives and bad for everyone else.”
The proposed merger between two of the largest grocery store chains in the United States had raised concerns on workers’ wages, potential price increases, and reduced competition.
In August, Colorado State Treasurer Dave Young wrote to the FTC, urging a careful review of potential consequences and requesting the FTC to block the merger in order to protect workers and consumers, our local and state economies, and preserve competition in the market.
In the August letter, Treasurer Young stated that the merger posed “a significant threat to the well-being of Colorado residents”, and expressed deep concern and strong opposition to the consolidation between two of the largest grocery store chains in the United States. Read and download the full letter here.
A study from the Economic Policy Institute, found the merger between Kroger and Albertsons would cause 746,000 grocery store workers across over 50 metropolitan areas to lose a staggering $334 million in wages annually.
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