According to the recent news, two councilors submitted a proposal to have the city investigate the reasons for the Kroger Corporation’s decision to close three stores in Los Angeles.
Right after the passage of a city decree requiring grocery stores and large pharmacies to deliver an additional $ 5 per hour to employees in risk allowance amid the COVID-19 pandemic.
In addition, “The city has an interest in considering whether legislative action should be taken to address these closings and other grocery store closures in the future, especially in areas of the city known as food deserts,” a suggestion made by council members Marquis Harris – read Dawson and Paul Kuritz.
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In order to do this, the city council should seek information from grocery stores and their executive management to better understand their measures and inform the city council of ways that might protect the city and its residents from the consequences of these types of lockdowns.”
While, Kroger announced on March 10 that it was closing its Food4Less 5420 W. Sunset Blvd. And two Ralphs stores, one at 9616 W. Pico Blvd. The other is at 3300 W. Slauson Ave., On May 15th. Kroger said the three stores were “underperforming”. In the proposal, Kurtz and Harris Dawson noted that Kroger officials said the shutdown had been planned long before the law was enacted, “adding to allegations that these stores are losing millions of dollars annually.” The Cincinnati-based company had already come under fire after announcing on February 1 that it would close Ralphs and Food4Less in Long Beach after passing that city’s $ 4 risk compensation law. These stores are scheduled to close on April 17th.
The official movement will be focused on the city council exercise its authority to question witnesses, compel witnesses to come and present evidence to determine the reason for the Kroger Company’s decision to close stores. Instruct the chief legislative analyst and city clerk, with assistance from the city attorney general, to require store executives to formally appear within 30 days and to issue subpoenas if they refuse to attend. A risk allowance of $ 5 is required for all non-management employees at grocery stores or drug retail stores with more than 300 employees nationwide, or more than 10 on-site employees, as well as retail stores, such as Walmart and Target, that specialize 10% of their sales floor is to grocery stores or drug retail. Let us know what are your thoughts on it? In the comment section below!