Letter comes after Kroger, which owns Fry’s Food Stores in Arizona, was found to be leaving up old discount tags and overcharging customers
WASHINGTON – Today, Senator Ruben Gallego (D-AZ) is demanding answers and accountability from Kroger CEO, Ronald Sargent, after a recent investigation found that discount tags in 14 states, including Arizona, had expired sale tags for which Kroger was charging more than the sale price at the time of checkout. The investigation revealed that this practice was occurring on over 150 items, producing average overcharges of about $1.70 per item, an average 18% markup over the discount price consumers were expecting to pay.
READ MORE: Kroger Stores Overcharging Shoppers on Sale Items, CR Price Check Finds
“At a time when American families are facing high costs for essentials, unexpected food price increases can cause significant strain on family budgets. We write to urge you to create a plan with union partners to prevent overcharging from occurring in the future, compensate consumers who have been overcharged, and ensure sufficient staffing at stores to prevent overcharging,” the Senator wrote.
“This consumer overcharging issue follows other reports of questionable consumer practices at the company,” the Senator continued. “For example, in October 2024, it was reported that Kroger tested facial recognition software and is increasing use of digital price tags, which can facilitate surge pricing. These practices could be used to manipulate consumers into paying more than they otherwise would at the store.”
Senator Gallego noted that the failure to remove tags is likely the result of understaffing, something the union representing many grocery workers at Kroger stores have made a key negotiating point during contract negotiations.
To ensure Kroger is taking the necessary steps to rectify this issue, the Senator requested answers to the following questions:
- Does Kroger have plans to identify and compensate past consumers who have wrongly faced overcharging issues?
- What concrete staffing and non-staffing plans does Kroger have to prevent overcharging going forward?
- Will Kroger commit to work with union partners to develop a “tag integrity department?”
- Will Kroger commit to negotiate with union partners over hour increases for current union members and staffing level increases as part of present and future collective bargaining to prevent future overcharging issues?
Read the full letter HERE.
6/18/25