Senate Bill 248: Big Box Stores

At the request of your Local Union, Senator Carol Ronen, introduced Senate Bill 248 to protect retail workers, small business owners, and communities against the predatory practices of big box stores. Senator Vince Demuzio and Senator Don Harmon are also sponsors of this bill.

If enacted, SB 248 would simply prohibit the construction of big box stores in excess of 100,000 square feet if that store devotes more than 15 percent of its floor space to the sale of items taxed at the food and drug rate of 1 percent.

Local 881 has been educating our elected officials in Springfield about the negative effects big box stores have on working families and our communities. SB 248 is a sensible solution to protect Illinois workers, neighborhoods, and business owners. Local 881 members are encouraged to lend your voices to this important issue by contacting your state Senator and ask them to support working families and retail grocery store owners in Illinois by voting for SB 248.

The most effective way for SB 248 to move forward is for Local 881 members and Union employers to get involved. Working together, we can safeguard your Union wages, benefits, and jobs by protecting your employer.

If you drive throughout the countless communities in the state of Illinois, you will soon recognize the difference between those that have big box stores located nearby and those that don’t. You will notice the difference by looking at the downtown business district. Empty store fronts and open parking spaces illustrate the assault by out-of-state big box retailers on once bustling local businesses.

Because big box stores frequently develop land near the city limits, consumer spending is shifted away from Union grocers and downtown business districts. When existing businesses must close or reduce products and services, customers are forced to drive to the outer edges of communities to the big box retailer.

It is a sad reality when a single big box retailer has more floor space under one roof than in an entire downtown business district. In the face of such daunting competition, good jobs are lost. Studies show that for every two jobs created by mega-retailers, the community loses three.

These big box retailers are lowering the standard of living for all retail workers. When big box stores enter a market, workers at existing retail outlets are often either laid-off or have their hours, wages, and benefits reduced as a consequence of predatory practices of the big box retailer. In addition, big box retailers consistently offer workers lower pay and fewer benefits than Union employers. This fact has become a routine hurdle in Local 881 contract negotiations. Union employers are seeking concessions in wages, benefits, and provisions to “align” their employment package with what is offered by the non-union competition.

The advertised low prices at big box retailers may seem appealing. But we must determine the real cost of these big box stores.

Think of some of the costs to taxpayers. When workers are without health care coverage, they are often forced to turn to government subsidized health care programs. Tax dollars are routinely used to attract a big box store to a community by local elected officials. Your tax dollars are actually used to subsidize big box retailers who then jeopardize your wages and benefits.

Consider the loss of business growth and revenue. When businesses close because of the competition and business owners do not invest in new business opportunities, communities are forced to once again turn to taxpayers to save the downtown area by applying to funding in the Illinois Main Street Program. This also means that selection is limited for consumers when choosing products and services.

The costs of big box stores are high and far-reaching. Illinois needs a statewide plan to protect workers in the retail grocery industry.