Unionized REI Stores Secure Pivotal Triumph in Persistent Dispute with Co-op
In a landmark development, REI Co-op and the unions representing its workers - the United Food and Commercial Workers (UFCW) and the Retail, Wholesale and Department Store Union (RWDSU) - have reached an agreement on August 1, 2025. This agreement outlines a new path forward for contract negotiations, establishing a national bargaining structure to guide store-level collective bargaining for the 11 unionized REI stores [1][2][3][4][5].
The key outcomes of this agreement include wage increases and bonuses retroactive to the years 2022-2024 for workers at the represented stores, which had not been previously received [1][2][3][4]. Additionally, the parties agreed to drop Unfair Labor Practice (ULP) charges filed with the National Labor Relations Board (NLRB) against REI [1][4]. The agreement reflects a mutual commitment to continue good faith discussions toward a full collective bargaining agreement [1][2][4].
The 11 unionized REI stores are represented by UFCW Locals 5, 663, 700, 1208, 1445, 3000 and RWDSU Locals 379 and 1102, encompassing 11 locations across the U.S., including SoHo (NY), Berkeley (CA), Cleveland (OH), Chicago (IL), Boston (MA), Durham (NC), Maple Grove (MN), Bellingham (WA), Castleton (IN), Santa Cruz (CA), and Greensboro (NC) [1][2][4].
This agreement was reached after joint meetings held from July 28 to 30, 2025, in Chicago, Illinois, signaling a substantial step forward in the unionization and contract negotiation process at REI Co-op [1][2][5].
The unionization efforts at REI, organised as REI Union, led a "historic" vote in May, where co-op members voted down every nomination to the company's board of directors [6]. The increase in union support is part of a larger movement driven by frustration over income inequality, as expressed by Brandee Morris, president of North Carolina's Local 466 for the American Federation of Government Workers (AFGE) [7].
REI's first store unionized in 2022, and since then, more workers have joined labor unions to boost their compensation and representation. The outdoor industry, which brings in over $1 trillion to the US economy, has seen an increase in unionization [8]. Notably, outdoor celebrities like Pattie Gonia have criticised REI on social media due to oil and gas connections of other REI board members [9].
In January, REI Co-op endorsed Donald Trump's pick for the Department of the Interior, a move that was met with criticism from some of its workers and customers [10]. Mary Beth Laughton, the new president of REI, issued a public apology for this endorsement [11].
This agreement marks a significant milestone in the ongoing journey of REI Co-op and its unionized workers towards a fair and equitable workplace. The negotiations will continue with the aim of finalising a comprehensive collective bargaining agreement.
[1] https://www.reuters.com/business/retail-consumer/rei-coop-unions-reach-agreement-national-bargaining-structure-2025-08-01/ [2] https://www.businessinsider.com/rei-coop-unions-reach-agreement-on-national-bargaining-structure-2025-8 [3] https://www.nbcnews.com/business/business-news/rei-coop-unions-reach-agreement-national-bargaining-structure-2025-08-01 [4] https://www.cnbc.com/2025/08/01/rei-coop-unions-reach-agreement-on-national-bargaining-structure.html [5] https://www.nytimes.com/2025/08/01/business/rei-coop-unions-reach-agreement-on-national-bargaining-structure.html [6] https://www.seattletimes.com/business/rei-union-wins-historic-vote-to-oust-all-board-nominees/ [7] https://www.washingtonpost.com/business/2025/08/01/rei-coop-unions-reach-agreement-national-bargaining-structure/ [8] https://www.outsideonline.com/2510461/outdoor-industry-unionization [9] https://www.outsideonline.com/2509939/pattie-gonia-slams-rei-over-oil-and-gas-connections-of-board-members [10] https://www.cbsnews.com/news/rei-coop-endorses-donald-trump-pick-for-interior-department/ [11] https://www.cnn.com/2025/01/20/business/rei-president-apology-endorsement/index.html
- The agreement reached between REI Co-op and its unions is redefining the landscape of leadership and diversity-and-inclusion in the retail industry, setting a precedent for other small businesses.
- As a result of the agreement, the finance aspects for REI's unionized workers are expected to significantly improve with wage increases and bonuses dating back to 2022.
- The new collective bargaining structure established will foster more career opportunities for workers in the retail sector, bolstering the prospects of entrepreneurship.
- In light of the agreement, the outdoor industry, a multi-trillion dollar sector, may witness increased attention towards diversity-and-inclusion and support for unionization.