Electronic shelf labels likely to cost jobs and drive up grocery prices, US report warns
AFL-CIO calls for ban on such labels to protect consumers and workers from surveillance pricing and job cuts
TL;DR
- Universal adoption of electronic shelf labels in US grocery stores could result in the loss of 44,223 to 191,633 jobs.
- Lost wages due to job displacement could range from $1.6 billion to $6.9 billion annually.
- Electronic shelf labels facilitate dynamic and surveillance pricing, which could further increase grocery costs.
- Manufacturers market these labels for data collection, profit increases, and labor cost reductions.
- The report links electronic shelf labels to algorithmic pricing systems used by online retailers, enabling rapid price changes.
- Several states, including Maryland, Connecticut, and New Jersey, have already introduced legislation to ban surveillance pricing and electronic shelf labels.
- A poll indicated that a majority of Americans believe digital price tags will increase grocery costs and support a ban on them and surveillance pricing.
- Labor cuts associated with electronic shelf labels are expected to occur gradually, impacting full-time and part-time positions.