More than a decade after Market Basket employees walked off the job to protest the ousting of their beloved CEO, Arthur T. Demoulas is once again at the center of corporate turmoil.
Demoulas — affectionately known as “Artie T.” — was placed on paid administrative leave Wednesday by the company’s board, which also suspended several of his family members and executive allies. In a letter to employees, the board said it’s investigating “credible allegations” that Demoulas planned a work stoppage and claimed the right to name his children as successors without board approval.
Board members said Demoulas resisted efforts to collaborate on governance issues and said there was evidence that there was organizing for a future, near-term work stoppage.
In response, Demoulas called the probe “a farcical cover for a hostile takeover.” A spokesperson said he was ousted by his sisters and their three board appointees and accused them of trying to wrest control of the company.
The clash echoes the dramatic 2014 standoff, when Demoulas was removed by a rival faction led by cousin Arthur S. Demoulas. That summer, Market Basket employees and loyal shoppers launched massive protests and boycotts until Arthur T. struck a $1.6 billion deal to buy the chain.
Now, 10 years later, the tensions have resurfaced. Demoulas’ spokesperson noted the company paid off that debt in 2024 and highlighted his ongoing popularity, including handing out worker bonuses last summer.
Market Basket’s board insists the company is operating at peak performance and promises no changes for customers or employees during the investigation.
The New England-based grocery chain operates 90 stores across Massachusetts, New Hampshire, Maine, and Rhode Island and employs 30,000 workers.
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