WASHINGTON -- Although the Teamsters here claimed victory last week following the resolution of the 15-day strike against Atlanta-based United Parcel Service, supermarket industry observers contacted by SN did not believe the outcome would strengthen unions in the food industry.
"I don't think it will have any bearing on the [supermarket industry's] dealings with its unions," said Bonnie Zwickel, an analyst with CS First Boston, New York.
Zwickel said that unlike the UPS strike, which had the same issues nationwide, supermarket labor concerns often vary market by market. "Each local has its own issues," she said. "I don't think there's any carryover."
Meredith Adler, an equities analyst with Lehman Bros., New York, said as retailers are doing better financially, they feel more comfortable "going into battle" with unions.
"There has been immense growth in nonunion operators," Adler said. "Unions realize they have to make the unionized chains competitive."
Adler added that consumers are less likely these days to sympathize with picketers over benefits they don't have themselves -- like 100% company-paid health benefits.
Jonathan Ziegler, a San Francisco-based securities analyst with Salomon Brothers, New York, said there was tremendous pressure on UPS to settle the strike that probably would not be felt by a supermarket operator. However, he said, the settlement was good for the morale of organized labor.
While the UPS strike did not hamper the delivery of food, it did affect the supplies in supermarket video departments. (See story, Page 39.)
Some labor leaders, however, believe the resolution of the strike will rejuvenate the labor movement after years of demoralization that began when President Reagan fired striking air traffic controllers in 1981.
"This is a springboard," said Larry Kudla, recording secretary of Teamsters Local 282, which authorized a strike against King Kullen, Westbury, N.Y. (For more on King Kullen, see Page 2).
