New Research Reveals Grocery Industry’s Agenda Behind Electronic Shelf Labels, as Poll Finds Americans Want Predatory Technology Banned in Stores

Research exposes how corporate executives sell ESLs to the grocery industry: "Drive price up in order to maximize margin"
65 percent worry that electronic shelf labels will cause grocery prices to increase; 67 percent support banning this technology and surveillance pricing in grocery stores, with strong support across party lines

POLLING MEMO AVAILABLE

WASHINGTON, D.C. - Today, the United Food and Commercial Workers (UFCW) International Union released a poll from GBAO Strategies that shows overwhelming bipartisan support nationwide for banning surveillance pricing and electronic shelf labels (ESLs) in grocery stores. This comes as new research exposes how ESLs enable corporations to use AI and algorithms to set prices at a moment's notice based on shoppers' personal data, the weather, or a variety of factors. While grocers rush to outfit their stores with this equipment, lawmakers across the country are considering legislation to ban these price gouging technologies and practices in grocery stores.

UFCW International Vice President Ademola Oyefeso said:

"Electronic shelf labels are a tool for price gouging Americans - full stop - and tech companies market it as such repeatedly. The ESL industry sells the prospect of higher prices and job losses as positives. Across the country, families are having to make tough choices in the grocery aisle every day as a result of sky-high prices, and polling clearly shows that they want these predatory technologies banned.

"Federal and state lawmakers know these practices are wrong, and the UFCW urges them to get ahead of them before they appear in every store. Any lawmaker that is serious about cutting costs for hard-working families must support a ban on electronic shelf labels and surveillance pricing in grocery stores."

As part of UFCW's "Affordable Groceries and Good Jobs Campaign," Congress and legislatures in 12 states have introduced bills to ban ESLs and surveillance pricing in grocery stores, with the New York State Senate leading the way by passing legislation earlier this month.

New research exposes how technology allows corporations to raise prices for consumers in real time and eliminate grocery industry jobs:

Email [email protected] to speak with a spokesperson about the threat that ESLs and surveillance pricing pose to fair grocery prices and good, union jobs. The polling memo is available here, and the industry's promotional materials are available: Video #1, Video #2, Video #3, Video #4 - interested parties are urged to download them before they are taken down.

BACKGROUND

• The poll finds that 65 percent of American voters think ESLs and 68 percent think surveillance pricing will cause grocery prices to increase. 67 percent of voters are in favor of banning this technology and practices in grocery stores, with support cutting across party lines.

• ESLs enable retailers to change prices instantaneously, and corporations are racing to deploy them. Walmart, for example, plans to replace traditional paper price tags with digital ones across all of its stores by the end of 2026. The corporation also recently secured patents to use shoppers' personal data to update prices at scale.

• ESLs also threaten the livelihoods of grocery workers. These systems could replace the skilled work of grocery clerks or, at the very least, leave them to explain a company's actions to rightfully angry shoppers. The UFCW represents more than 800,000 grocery workers across North America. UFCW members are essential to keeping our communities fed, and they know how disruptive ESLs could be for workers and shoppers alike.

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The UFCW International is the largest private sector union in the United States, representing 1.2 million workers and their families in grocery, meatpacking, food processing, health care, cannabis, retail, and other essential industries. UFCW members serve our communities in all 50 states, Canada, and Puerto Rico. Learn more about the UFCW at ufcw.org.

CONTACT: Finn Storer [email protected]