INLAND EMPIRE, CA — On the heels of 63 layoffs, the Stater Bros. grocery chain leader blames the fear of inflation as the root cause, according to a recent video announcement to workers.
CEO Chairman of the Board Pete Van Helden attempted to explain his position to workers still employed at his store, saying that “it’s impactful to everyone who hears the word ‘layoff.'”
“One year ago, a dozen eggs cost $5.19. Now, eggs are selling for $9.02 a dozen,” he said. “We sell them for $8.99, so we lose money on eggs.” Still, the company has been forced to raise prices, affecting consumers’ pocketbooks.
Instead of passing along cost increases to customers, the 171-store chain made a decision it had never made before: it laid off clerks to lower the cost of operations.
“Those 63 jobs are a cost reduction, and with that, we can hold the line on pricing and not raise our prices if we can,” he said.
Who is paying the price of the recent layoffs? The Courtesy Clerks.
You may not notice them when you’re checking out, but check-out clerks and customers will likely feel their absence. Courtesy clerks at Stater Bros. are paid approximately $16.50 an hour to bag groceries and load purchases into customer vehicles.
Inland Empire workers were fired in Grand Terrace and Ontario, as well as Costa Mesa and Orange in Orange County. On Wednesday, Orange County fired workers and supporters picketed, urging the company to rehire them.
Many are young, in high school or college. Several who spoke with the Press Enterprise during the picketing had never experienced a layoff.
During the video, he blamed inflation, tariffs, and non-unionized grocery outlets like Walmart and Aldi for offering lower-priced products.
“At Stater Bros., customers put fewer items in their basket and have to choose what to purchase. What used to cost $100 now costs $130, and no one got a 30% raise,” he said.
Stater Bros. keeps less than two cents per dollar it earns. “We don’t need more, but can’t grow or survive with less.”
While the company explores various ways to reduce costs, adding solar panels to lower energy prices is one option. Another is reducing corporate workers. He added, “I’m certain we are going to have to reduce more jobs.”