Methuen Mayor David Beauregard issued a letter to the Market Basket Board of Directors on Thursday, calling for an end to the ongoing corporate drama within the company and reinstate the suspended CEO.
“Market Basket is too important to Methuen – and to New England – to be treated like some corporate chessboard,” Beauregard wrote in an address to the board. “My city’s residents rely on those stores to feed their families. Many rely on those jobs to pay their bills. And what they see right now is a company drifting dangerously off course.”
In late May, the dispute began when board members announced an investigation into CEO Arthur T. Demoulas and multiple other employees within the stores, alleging they had engaged in “improper retaliation” and planned a disruptive work stoppage.
The CEO was suspended, while other executives and employees were pushed aside or fired as well.
The corporate power struggle echoes similar events over a decade earlier in 2014, when former owner Arthur S. Demoulas fired his cousin Arthur T. Demoulas. The move brought significant protest and walkout that lasted six weeks.
The dispute was only resolved after the governor got involved and helped broker a $1.5 billion deal, and Arthur T. Demoulas regained control of the company.
Beauregard called the two Methuen store locations “busy, reliable, and essential,” saying the business model feeds thousands of families, employs many locals, and creates “fair prices” that are a “lifeline.”
“But all of that is now at risk because of yet another round of boardroom drama – the same kind of power struggle that nearly brought this company to its knees in 2014,” said Beauregard. “You remember how that ended, right? With customers and employees standing shoulder-to-shoulder to demand the return of Arthur T. Demoulas – the one leader who actually understood what made Market Basket different.”
Related Articles
-
‘Never going to stop fighting for this company’: Fired Market Basket execs speak out
-
Two Market Basket execs fired for ‘insubordination’ amid company turmoil
-
Market Basket sends suspension letter to a customer
-
Three more suspended Market Basket employees speak out as corporate drama continues
-
Letters between Market Basket board members shed light on ongoing company strife
The mayor argued the situation had the “same clear solution.”
“So on behalf of the City of Methuen, I’m calling on the Market Basket board to do the right thing: resolve this internal dispute and bring back Arthur T. Demoulas – before the damage becomes irreversible,” said Beauregard. “Because what’s on the line here isn’t just one man’s title. It’s a business model, a culture, and a community lifeline that’s been built over decades. Don’t be the ones who tear it down.”
