Latest news with #EdgarDworsky
Yahoo
16-05-2025
- Business
- Yahoo
You Might Be Overpaying at Kroger, According to a New Pricing Audit
Consumer Reports found widespread pricing errors at Kroger, with outdated sale tags causing shoppers to overpay by an average of 18.4%. Employees and investigators allege Kroger is aware of the issue, but ongoing staffing cuts have made it harder to fix, particularly in stores with the most errors. Consumers are advised to check receipts carefully, take photos of shelf prices, and report discrepancies to store managers or state consumer protection may want to check your receipt if you've recently shopped at your local Kroger. In May, Consumer Reports, in partnership with The Guardian and the Food & Environment Reporting Network (FERN), released a report on the grocery giant's errors in price labeling, which caused consumers to overpay by an average of 18.4%. Consumer Reports became aware of the issue after learning that Kroger workers in Colorado alleged that old sale tags remained on products long after their expiration dates, leading to consumers paying a different cost at the register. The workers, Consumer Reports noted, claim the issue is well-known to the grocery chain's head office. It's also an issue Kroger has faced before in numerous class-action lawsuits in California, Illinois, Ohio, and Utah, Consumer Reports noted. "It's an open secret," Derek Kravitz, an investigative reporter at Consumer Reports, shared with Food & Wine. "Grocery chains, and more specifically dollar stores, have been dinged on this for years." Related: On a Budget? This Tool Can Help Plan Your Grocery Lists To determine the true significance of the problem, the Consumer Reports team recruited volunteers to shop at 24 Kroger or Kroger-owned stores across 14 states over a span of three months. This group of shoppers discovered expired sale labels on more than 150 grocery items, several of which had expired at least 90 days earlier. This resulted in an average overcharge of $1.70 per item, or 18.4%. 'People should pay the price that is being advertised, that's the law,' Edgar Dworsky, a consumer advocate and the founder of Consumer World, shared with Consumer Reports. 'The issue here is that shoppers can't rely on the shelf price being accurate, and that's a big problem.' And while employees are working diligently to correct the tags, it seems that Kroger may be undermining their efforts, as the company has also been conducting layoffs from the top down in recent months, despite reporting record profits. According to Consumer Reports, in the stores where significant errors were found, the average number of employees was reduced by 10.3% between 2019 and 2024. However, in stores with few or no price tag errors, the staffing cuts were only 6.2%. 'It really makes me feel bad because some of [the customers] are on fixed incomes and they're older. They're not going to pay attention,' Joy Alexander, a Kroger employee, told Consumer Reports. 'They think that when they took it off the shelf, it was $2.50. They don't know that they're paying $3.75 for that one item.' For its part, Kroger told Consumer Reports that it is 'committed to affordable and accurate pricing' and also rejected the idea that the price issues were as frequent as they appeared in the report. 'While any error is unacceptable, the characterization of widespread pricing concerns is patently false,' the spokesperson added. Related: These Foods Will Likely Get More Expensive After Trump's Tariffs Take Effect As for what consumers should do, Kravitz said to keep it simple and "take a photo or write down the sales price you see when putting things in a cart. And then check it against the receipt when you're at the register or right before or right after." He warned not to do it days or weeks later, as it may be more difficult to get a refund. "Kroger does have a Make it Right policy with an internal code that they use for their point of sale computer system to fix those errors," Kravitz said. "But they do it on a case-by-case basis, and that's the larger problem that we're flagging because a lot of people don't check or are just too busy." And if that doesn't work, Kravitz says it's time to "complain" to your local or state attorney general. Each state, he said, "typically has a consumer protection division that handles this type of complaint," which could help you and everyone in the neighborhood save more in the future by addressing the problem from the start. See the full report at Read the original article on Food & Wine
Yahoo
15-05-2025
- Business
- Yahoo
Kroger has been overcharging grocery customers for years, report alleges
Kroger has been accused of overcharging customers for basic groceries that were advertised as discounted at its stores across the country, according to a three-month-long investigation conducted by Consumer Reports. After Kroger workers in Colorado alleged the company had widespread price errors and were aware, Consumer Reports sent people to shop at Kroger-owned stores such as Harris Teeter, Ralphs, Fry's and more to determine if the company had overcharged. The report discovered that at 26 stores across 14 states and the District of Columbia, customers were overcharged for more than 150 basic items due to expired sale labels. On average, customers paid $1.70 more than needed for everyday items such as cereal, cold and flu medication, instant coffee, meat and more. A spokesperson for Kroger denied the breadth of the problem, saying, 'The Consumer Reports allegations boil down to misinformation, reviewing a handful of discrete issues from billions of daily transactions.' 'It in no way reflects the seriousness with which we take our transparent and affordable pricing,' the spokesperson added. Kroger is the nation's largest supermarket chain by revenue. It has operations in 35 states. Consumer Reports alleges their investigation found that one-third of sales tags on items were expired by at least 10 days, and at least five products had sales tags expired by 90 days. 'People should pay the price that is being advertised, that's the law,' Edgar Dworsky, the founder of Consumer World, told Consumer Reports. 'The issue here is that shoppers can't rely on the shelf price being accurate, and that's a big problem,' Dworsky added. The pricing mistake was not found at every Kroger store. Fears about consumer prices going up have spread across the country as economists have warned that President Donald Trump's tariffs could cause higher inflation. The Consumer Price Index found that prices rose by 0.2 percent last month, but inflation overall remains the lowest it's been in four years. But that hasn't stopped consumers from worrying about price increases. Customers who had complained told Consumer Reports that Kroger employees were quick to correct pricing errors after they were revealed. Kroger said it's 'committed to affordable and accurate pricing' and that the characterization of widespread pricing was 'patently false.' 'Kroger's 'Make It Right' policy ensures associates can create a customer experience and addresses any situation when we unintentionally fall short of a customer's expectations,' a Kroger spokesperson said. 'Connecting regular technology upgrades and our 'Make It Right' policy to price accuracy is incorrect.'
The Independent
15-05-2025
- Business
- The Independent
Kroger has been overcharging grocery customers for years, report alleges
Kroger has been accused of overcharging customers for basic groceries that were advertised as discounted at its stores across the country, according to a three-month-long investigation conducted by Consumer Reports. After Kroger workers in Colorado alleged the company had widespread price errors and were aware, Consumer Reports sent people to shop at Kroger-owned stores such as Harris Teeter, Ralphs, Fry's and more to determine if the company had overcharged. The report discovered that at 26 stores across 14 states and the District of Columbia, customers were overcharged for more than 150 basic items due to expired sale labels. On average, customers paid $1.70 more than needed for everyday items such as cereal, cold and flu medication, instant coffee, meat and more. A spokesperson for Kroger denied the breadth of the problem, saying, 'The Consumer Reports allegations boil down to misinformation, reviewing a handful of discrete issues from billions of daily transactions.' 'It in no way reflects the seriousness with which we take our transparent and affordable pricing,' the spokesperson added. Kroger is the nation's largest supermarket chain by revenue. It has operations in 35 states. Consumer Reports alleges their investigation found that one-third of sales tags on items were expired by at least 10 days, and at least five products had sales tags expired by 90 days. 'People should pay the price that is being advertised, that's the law,' Edgar Dworsky, the founder of Consumer World, told Consumer Reports. 'The issue here is that shoppers can't rely on the shelf price being accurate, and that's a big problem,' Dworsky added. The pricing mistake was not found at every Kroger store. Fears about consumer prices going up have spread across the country as economists have warned that President Donald Trump's tariffs could cause higher inflation. The Consumer Price Index found that prices rose by 0.2 percent last month, but inflation overall remains the lowest it's been in four years. But that hasn't stopped consumers from worrying about price increases. Customers who had complained told Consumer Reports that Kroger employees were quick to correct pricing errors after they were revealed. Kroger said it's 'committed to affordable and accurate pricing' and that the characterization of widespread pricing was 'patently false.' 'Kroger's 'Make It Right' policy ensures associates can create a customer experience and addresses any situation when we unintentionally fall short of a customer's expectations,' a Kroger spokesperson said. 'Connecting regular technology upgrades and our 'Make It Right' policy to price accuracy is incorrect.'
Yahoo
15-05-2025
- Business
- Yahoo
Investigation finds major grocery chain overcharging on sale items
A recent Consumer Reports (CR) investigation found that more than half of the stores tested by shoppers at a major grocery chain had overcharged for sale items. The report published Wednesday alleges Kroger shoppers have been unknowingly paying full price at checkout for items that were advertised as discounted or on sale. CR said it began a monthlong investigation 'to document the size and breadth of the problem.' The nonprofit organization recruited people to shop at 26 Kroger and Kroger-owned stores in 14 states and the District of Columbia in March, April and May. 'The shoppers found expired sales labels that led to overcharges on more than 150 grocery items, including Cheerios cereal, Mucinex cold and flu medication, Nescafé instant coffee, boneless beef, salmon, and dog food,' the report stated. The investigation also found that roughly one-third of the sales tags were out of date by at least 10 days, and some had passed their expiration date months ago. CR reported that the average overcharge was $1.70 per item. 'People should pay the price that is being advertised, that's the law,' Consumer World founder Edgar Dworsky told CR. 'The issue here is that shoppers can't rely on the shelf price being accurate, and that's a big problem.' The shoppers found that Kroger employees worked quickly to correct pricing errors once they were pointed out, but CR says that for many shoppers, those mistakes 'undoubtedly go unnoticed.' A Kroger representative responded to the findings, saying that the company regularly conducts checks to ensure prices are accurate. and that CR cited a 'few dozen examples across several years out of billions of customer transactions annually.' The company also said, 'While any error is unacceptable, the characterization of widespread pricing concerns is patently false.' Other retailers, including Walmart and Vons, have been hit with similar overcharging allegations recently, and Albertsons agreed to pay $4 million in October to settle a lawsuit accusing the California chain of selling items for more than its lowest advertised price. Shoppers can take measures to make sure they aren't overcharged by checking receipts to make sure they match the sales price and by looking at the expiration dates on the sales tags. Copyright 2025 Nexstar Media, Inc. All rights reserved. This material may not be published, broadcast, rewritten, or redistributed.
Yahoo
14-05-2025
- Business
- Yahoo
Kroger customers overcharged for items on sale, Consumer Reports finds
Kroger shoppers might be paying more at checkout than they bargained for. A new investigation found price tag errors at the supermarket giant's stores leading to customers being overcharged on many items marked as discounted or on sale. Expired discount tags were found on everyday products ranging from Cheerios cereal to Nescafé instant coffee, according to an investigation by Consumer Reports, The Guardian and the Food & Environment Reporting Network (FERN). The probe stems from allegations made by Kroger employees in Colorado who are currently in labor negotiations with the supermarket chain. "People should pay the price that is being advertised, that's the law," Edgar Dworsky, a consumer advocate and former assistant attorney general in Massachusetts, who runs the Consumer World website, told Consumer Reports. "The issue here is that shoppers can't rely on the shelf price being accurate, and that's a big problem." Kroger operates roughly 2,700 stores throughout the U.S., according to the company's website, and owns a suite of supermarkets that includes Harris Teeter, Fred Meyer, Fry's and Ralphs. To conduct the investigation, Consumer Reports, The Guardian and FERN recruited people to shop at more than two dozen Kroger and Kroger-owned stores in 14 states and the District of Columbia over a roughly three-month period this year. The investigation found that expired sales labels led to overcharges on more than 150 grocery items, with an average overcharge of $1.70 per item, or 18.4%. For instance, a bag of Mission Flour Tortillas at a Harris Teeter in Alexandria, Virginia, was advertised as on sale for $2.99, while customers were charged $4.99. Although pricing mistakes were not found at all the Kroger stores in the investigation, the probe found issues at over half of the 26 locations it examined. Kroger took issue with the findings, saying the investigation greatly overstates the pricing issues. The "characterization of widespread pricing concerns is patently false," a Kroger spokesperson said in an email to CBS MoneyWatch, adding that the errors cited by the investigators represented only a "few dozen examples across several years out of billions of customer transactions annually." Although Consumer Price Index data shows the rate of inflation and grocery prices eased last month, Americans continue to face higher costs for household goods. "Even if the incidents are careless rather than calculated, it creates a perception that Kroger is ripping people off," said Neil Saunders, an analyst with retail industry research firm GlobalData in an email to CBS MoneyWatch. "That's not what any grocery retailer wants or needs when the consumer is looking to maximize value for money." Kroger not alone in overcharging claims The overcharging problem is not unique to Kroger: Retailers like Walmart, Safeway, Albertsons and Vons have been hit with similar allegations. Grocery giant Albertsons in October agreed to pay $4 million to settle a lawsuit accusing the California chain of selling items for more than their lowest advertised price. But the Kroger case stand out for several reasons said Derek Kravitz, an investigative journalist and author of the Consumer Reports story. One is that in states in the Midwest and the South, where the retailer has a strong foothold, Kroger is often one of just a few places to choose from for grocery shopping. Kravitz also pointed to the persistent flow of complaints from Kroger customers over out-of-date sales prices, dating back to the COVID-19 pandemic. In Ohio, for example, the attorney general's office has received nearly 60 complaints of price tag and overcharge issues at Kroger since 2021. "Almost every single time I go in the store, the listed price of an item is NOT what rings up at the register," Belpre resident Allison Hadfield noted in one of three complaints she and her husband, Derek, filed against their local Kroger store, according to Consumer Reports. In addition to individual complaints, customers have also filed multiple class-action lawsuits alleging pricing errors at Kroger locations, with cases ongoing in California, Ohio and Illinois, according to The Guardian. Kroger said it has taken steps to fix price discrepancies. That includes instituting a policy that gives employees the authority to fix price problems on the spot. "Kroger is committed to affordable and accurate pricing, and we conduct robust price check processes that reviews millions of items weekly to ensure our shelf prices are accurate," a spokesperson told CBS MoneyWatch. Potential staffing issues Between 2019 and 2024, the average number of employees at the Kroger-owned stores that the researchers focused on fell by 10.3%, or 17 employees per store, according to the report, which cites data from the Occupational Safety and Health Administration. The average number of hours worked also fell by 2.7 hours per week. "There are simply not enough employees to manually switch out price labels on shelves because some stores have tens of thousands of price tags hanging at any one time," Kravitz wrote in the report. Kroger denies there is a problem with understaffing. In a statement to CBS MoneyWatch, the Kroger spokesperson said work hours and staffing at its stores have not been reduced. "We intentionally staff our stores to keep them running smoothly while creating an enjoyable place to shop," the spokesperson said. "Our staffing decisions are data-driven to balance workload and schedules." The investigation on overcharging comes as the grocery giant reports record sales and profits. Kroger reported $3.8 billion in operating profit last year, according to a March earnings report. Sneak peek: Fatal First Date Trump teases "good news" on Russia-Ukraine war RFK Jr. says he doesn't think people should take medical advice from him
