Safeway to lay off delivery drivers, transition to app-based delivery

California

SAN FRANCISCO, Calif. (KRON) – Delivery drivers for stores owned by Albertsons Companies, like Safeway, will be laid off beginning February 27.

The company will transition to using third-party companies who specialize in delivery services, like delivery apps.

The human resources team is working to place those drivers impacted into stores, plants, and distribution centers.

A statement released by Wendy Gutshall, a Northern California Safeway representative, says:

“This decision will allow us to compete in the growing home delivery market more effectively. Since the COVID-19 outbreak, our eCommerce business has risen to new heights and has become more strategically important to Albertsons Companies. Our goal is to truly make eCommerce a competitive advantage.”

Wendy Gutshall
Director, Public and Government Affairs

In regards to the employees being laid off, Gutshall said it’s too soon to know how many of the drivers will accept the new positions offered.

“We can tell you that all associates who stay in their current roles through the end of this transition but choose to leave may be eligible to receive severance benefits according to the company’s plan – we will work with them on their individual situation,” Gutshall said.

An incentive bonus is also being offered to those who stay through Feb. 27.

Gutshall said that the ‘eliminated positions are non-union, and the transition is being done irrespective of Prop 22.

Proposition 22 passed which allows app-based drivers, like Uber and Lyft services, to be classified as independent contractors. This also creates new labor and wage policies for workers.

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