Kroger announces big store change amid price gouging accusations

From Yahoo Finance: 2025-06-03 15:13:00

Kroger faces accusations of price gouging after a months-long investigation found overcharging on grocery items. The average overcharge was $1.70 per item. Despite employee efforts to correct errors, many went unnoticed. Class-action lawsuits have been filed in multiple states. Kroger denies widespread pricing issues, promising accurate shelf prices.

Following the investigation, Kroger employees were instructed to correct price tag errors in stores within days. The company is hiring 15,000 new associates to improve customer experience. Kroger offers training, education benefits, tuition reimbursement, and competitive pay to employees. Kroger’s pricing director faced questions in federal court over price hikes above inflation.

Last year, Kroger faced scrutiny over digital price tags sparking concerns of price gouging. Lawmakers launched an investigation into Kroger’s use of digital price tags, worried about potential “dynamic pricing.” They fear the technology could lead to price surges based on factors like time of day or weather. Kroger denies these allegations and defends its pricing strategies.

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