Rhode Island has become the first state to enact legislation imposing labor requirements on supermarket self-checkout lanes. Governor Dan McKee signed a bill into law that mandates supermarkets assign at least one employee to every three self-checkout kiosks. The law will take effect on January 1, 2027.
Supporters of the measure state it is designed to improve customer service and combat retail theft. The United Food and Commercial Workers Local 328 (UFCW) noted that Rhode Island retailers lost an estimated $244 million to theft in 2022, according to a Capital One report. California, Connecticut, Massachusetts, New York, Ohio, and Washington are among the states reportedly considering similar restrictions.
The new regulations will exempt stores from staffing requirements before 8 a.m. and after 8 p.m. During peak hours, employees assigned to self-checkout areas will be prohibited from undertaking other duties, including operating traditional checkout lanes. Retailers violating the law will initially receive a written warning, followed by financial penalties for repeat offenses at the same location. Fines are capped at $500 per day and will be calculated based on four hours of wages at the highest hourly rate paid to retail clerks for each day a violation occurs.
This legislation represents a recent victory for the UFCW, which has also advocated for regulations on electronic shelf labels and challenged pricing practices it deems unfair. The staffing law is part of the union's broader campaign addressing the increasing automation in grocery stores. The union has also lobbied lawmakers to regulate electronic shelf labels, citing concerns that the technology could facilitate dynamic pricing, threaten retail jobs, and raise privacy issues. Retailers, such as Walmart, are accelerating the rollout of digital price tags, with Walmart planning to install them in all of its 4,600 U.S. stores by the end of the year. Walmart has stated that these labels are intended for efficiency and do not serve as a tool for surveillance pricing.
Lawmakers in several states are reportedly considering restrictions on digital shelf labels amid concerns about their potential use for dynamic or personalized pricing.