Grocery Chain Workers Want Their CEO Back Arthur T. Demoulas, chief executive of the New England grocery chain Market Basket, was pushed out by his cousin in a boardroom struggle. Protesting employees have brought business to a standstill.
NPR logo

Grocery Chain Workers Want Their CEO Back

  • Download
  • <iframe src="https://www.npr.org/player/embed/336570037/336603482" width="100%" height="290" frameborder="0" scrolling="no" title="NPR embedded audio player">
  • Transcript
Grocery Chain Workers Want Their CEO Back

Grocery Chain Workers Want Their CEO Back

  • Download
  • <iframe src="https://www.npr.org/player/embed/336570037/336603482" width="100%" height="290" frameborder="0" scrolling="no" title="NPR embedded audio player">
  • Transcript

AUDIE CORNISH, HOST:

If your boss was fired, would you walk off the job in protest? That's what's happening at a New England grocery store chain. Business at Market Basket stores has slowed to a trickle as workers disrupt operations. Some are asking shoppers to stay away. As Curt Nickisch reports from member station WBUR in Boston, they want their CEO back.

(CAR HONKING)

CURT NICKISCH, BYLINE: Outside the Market Basket store in Somerville, Massachusetts, a dozen workers are waving signs featuring the bald head of their ousted CEO, Arthur T. DeMoulas. Gabriel Pinto, a grocery bagger, says he wants the new top executives gone.

GABRIEL PINTO: We're here to get support from all the customers and try to make sure no comes in. We want Artie T. back, you know?

NICKISCH: That's Arthur T., not his cousin and boardroom rival Arthur S. DeMoulas. Their battle for control of the company has now spilled over into the 71 supermarkets. Inside the store in Somerville, only three checkout aisles are open, none of them have lines. The entire produce section is barren.

LEONARDO: Take that big Swiss out of there. It don't belong there.

NICKISCH: At the deli counter at the back of the score, Adelaide Leonardo is stocking the display case with cheese that may just end up spoiling. Flyers are taped to the glass - one says, boycott Market Basket, another says, bring back ATD, our one true leader. Leonardo agrees.

LEONARDO: We know everybody. We know the customers - joke around with us. We are family here.

NICKISCH: Yet family is the reason Market Basket is in a muddle. Cousins Arthur T. and Arthur S. are both grandsons of a Greek immigrant, also named Arthur DeMoulas, who opened a small grocery in working-class Lowell, Massachusetts nearly a century ago. Two of his sons grew it into a regional supermarket chain. Their sons have been feuding for decades. An epic legal battle between the two in the '90s featured a courtroom fistfight. Last month, Arthur S. gained control of the board and ousted Arthur T. That's when workers surprised themselves with their power to grind business to a standstill.

DANIEL RIVERA: We're going to survive. We'll stay strong.

NICKISCH: Store manager and 24-year employee Daniel Rivera says workers are fiercely loyal to the ousted CEO for treating them well. Everyone gets quarterly bonuses. The pays is decent. Rivera says Arthur T. DeMoulas often came through the stores, making it clear he cares more about people than money.

RIVERA: Like I said, I've worked in different companies before. I've never had owners come in to me and say, how you doing today? Or how's your family? It's great.

NICKISCH: Now those loyal workers have brought the company to its knees. Market Basket is losing estimated $10 million per day. John Davis, the head of the Families in Business Program at Harvard Business School, says there's still time for the two DeMoulas cousins to put their side their egos and save the company.

JOHN DAVIS: Hopefully, there's enough love in this family - not for one another anymore, but for the legacy of their fathers - that this family will do the right thing and re-create a stable ownership group.

NICKISCH: As the deadlock drags on into its second week, the Market Basket board is discussing its options behind closed doors. This afternoon, company executives told employees to return to work on Monday, saying those who come back will be welcomed and not penalized. For NPR News, I'm Curt Nickisch in Boston.

Copyright © 2014 NPR. All rights reserved. Visit our website terms of use and permissions pages at www.npr.org for further information.

NPR transcripts are created on a rush deadline by Verb8tm, Inc., an NPR contractor, and produced using a proprietary transcription process developed with NPR. This text may not be in its final form and may be updated or revised in the future. Accuracy and availability may vary. The authoritative record of NPR’s programming is the audio record.