CINCINNATI, May 15, 2020 /PRNewswire/ -- The Kroger Co.
(NYSE: KR) Family of Companies today announced that it will provide
a special Thank You Pay to hourly frontline grocery, supply chain,
manufacturing, pharmacy and call center associates to acknowledge
their dedication to maintaining safe, clean and stocked stores.
"Our associates have been instrumental in feeding America while
also helping to flatten the curve during the initial phases of the
pandemic. To recognize and thank our associates for their
incredible work during this historic time, we offered special pay
in March, April and May," said Rodney
McMullen, Kroger's chairman and CEO.
"As the country moves toward reopening, we will continue to
safeguard our associates' health and well-being and recognize their
work. At the same time, we will continue running a sustainable
business that provides steady employment and opportunities to learn
and grow for over half a million associates."
The Kroger Family of Companies' new $130
million Thank You Pay bookends an
Appreciation Pay first provided to frontline workers for
their efforts at the start of the pandemic in March. It also
follows multiple Hero Bonuses that were paid in April through
mid-May, with a final payment by May
23.
The one-time Thank You Pay, which will be $400 for qualified full-time associates and
$200 for qualified part-time
associates, will be paid out in two installments on May 30 and June
18.
Continues Paid Emergency Leave Guidelines
As part of its ongoing investment in associate and customer
safety, the Kroger Family of Companies also announced today that it
will continue its COVID-19 Emergency Leave guidelines to provide
paid time off to associates most directly affected by the virus or
experiencing related symptoms.
"We want our associates to continue to feel supported in
prioritizing their health," said Tim
Massa, Kroger's senior vice president and chief people
officer. "Our associates should only be working if they are healthy
and symptom free. By continuing paid emergency leave, our
associates most directly affected by the virus or experiencing
related symptoms should feel supported in staying home, promoting a
safer environment to work and shop in."
The new Thank You Pay of $130
million and extended paid COVID-19 Emergency Leave are in
addition to the $700 million the
Kroger Family of Companies has invested since March to reward
associates and safeguard associates, customers and communities, all
of which was contemplated in the guidance provided in a business
update on April 1.
Ways the Kroger Family of Companies will continue to invest
in, support and protect its associates:
- Offering COVID-19 testing to associates based on symptoms and
medical need
- Providing COVID-19 Emergency Leave to associates most directly
affected by the virus or experiencing related symptoms and
providing paid time off
- Supplying masks for all associates and encouraging them to stay
home if they are sick
- Encouraging customers to wear masks in stores, or
alternatively, use ecommerce services
- Providing comprehensive benefits packages, including healthcare
coverage and retirement benefits
- Offering $5 million through the
organization's Helping Hands fund to provide financial
support to certain associates experiencing hardships due to
COVID-19, including childcare costs
- Making mental health resources readily available
- Continuing implementation of customer capacity limits and
special shopping hour for senior shoppers and higher-risk
customers
- Continuing the use of plexiglass partitions and physical
distancing floor decals
- Expanding contact-free payment solutions like Scan, Bag,
Go and Kroger Pay
- Offering a no-contact delivery option, low-contact pickup
service and ship-to-home orders
To download Kroger photography and b-roll assets,
visit here.
This press release contains certain statements that constitute
"forward-looking statements" about the future performance of the
company. These statements are based on management's assumptions and
beliefs in light of the information currently available to it. Such
statements are indicated by words or phrases such as
"guidance." Various uncertainties and other factors could
cause actual results to differ materially from those contained in
the forward-looking statements. These include the specific risk
factors identified in "Risk Factors" in our annual report on Form
10-K for our last fiscal year and any subsequent filings as well as
the following:
- Kroger's ability to achieve sales, earnings, incremental FIFO
operating profit, and adjusted free cash flow goals may be affected
by: labor negotiations or disputes; changes in the types and
numbers of businesses that compete with Kroger; pricing and
promotional activities of existing and new competitors, including
non-traditional competitors, and the aggressiveness of that
competition; Kroger's response to these actions; the state of the
economy, including interest rates, the inflationary and
deflationary trends in certain commodities, changes in tariffs, and
the unemployment rate; the effect that fuel costs have on consumer
spending; volatility of fuel margins; changes in government-funded
benefit programs; manufacturing commodity costs; diesel fuel costs
related to Kroger's logistics operations; trends in consumer
spending; the extent to which Kroger's customers exercise caution
in their purchasing in response to economic conditions; the
uncertain pace of economic growth; changes in inflation or
deflation in product and operating costs; stock repurchases;
Kroger's ability to retain pharmacy sales from third party payors;
consolidation in the healthcare industry, including pharmacy
benefit managers; Kroger's ability to negotiate modifications to
multi-employer pension plans; natural disasters or adverse weather
conditions; the effect of public health crises or other significant
catastrophic events, including the coronavirus; the potential costs
and risks associated with potential cyber-attacks or data security
breaches; the success of Kroger's future growth plans; the ability
to execute on Restock Kroger; and the successful integration of
merged companies and new partnerships. Our ability to achieve these
goals may also be affected by our ability to manage the factors
identified above. Our ability to execute our financial strategy may
be affected by our ability to generate cash flow.
- Kroger's ability to achieve these goals may also be affected by
Kroger's ability to manage the factors identified above.
About The Kroger Co.
At The Kroger Co. (NYSE: KR), we are Fresh for Everyone™ and
dedicated to our Purpose: To Feed the Human Spirit®. We are,
across our family of companies, nearly half a million associates
who serve over 11 million customers daily through a seamless
shopping experience under a variety of banner names. We are
committed to creating #ZeroHungerZeroWaste communities by 2025. To
learn more about us, visit our newsroom and investor
relations site.
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SOURCE The Kroger Co.