U.S. Food Crisis 17 July 2015: Haggen conducts mass layoffs after taking over Albertsons & Vons grocery stores!

“The prices are higher and I don’t really like it so far. I wouldn’t go out of my way to shop at this store, not even in my neighborhood.”-Art Webb, California resident pissed off at the new Haggen stores that replaced Albertsons, Vons, Pavilions and Safeway

You knew if had to be, it always happens when one corporation sells out to another.  After taking over Vons and Albertsons stores new owner Haggen is killing jobs, despite previous announcements to the contrary!

Reports out of California say Haggen has begun laying off an undisclosed number of employees and cutting work hours for the rest, after taking over 83 California grocery stores from the recently created Albertsons-Safeway (a total of 146 Albertsons, Vons, Pavilions and Safeway stores across the country were sold to Haggen as part of the Albertsons Safeway merger).

Executives with Haggen finally admitted they cannot keep prices low with all those employees on the payroll.  Grocery industry analysts say Haggen has bitten off more than it can chew with the purchase of 146 stores: “Clearly they are underperforming. This is a clear sign that their sales expectations are not being met.”– Jim Prevor, PerishablePundit.com

Another analyst said get ready for more changes: “This is the biggest conversion in Southern California or anywhere else in the last 15 to 20 years. It’s going to be evolutionary to go through the transition and correct the pricing and everything else that comes up.”-Burt Flickinger 3rd, Strategic Resource Group

Haggen did admit in a press release that they were eliminating jobs in California, Arizona and Nevada. But would only say that the number of layoffs would “vary by store” and blamed “unprecedented” competition.

Albertsons Safeway shuts down forgotten Island store!