Market Basket CEO Placed on Leave Amid Family Feud

WOBURN, Mass. — A long-standing family feud within the Market Basket supermarket chain has escalated as the company’s board placed CEO Arthur T. Demoulas on paid leave. This development comes a decade after a previous attempt to oust him was thwarted by employee protests.

The board’s decision was made public amid ongoing concerns about Demoulas’s governance style and disputed succession plans. The board alleges that Demoulas has suggested organizing a work stoppage in retaliation for their insistence on proper corporate oversight and succession planning.

Market Basket, a beloved grocery chain in New England, was founded by immigrant Athanasios “Arthur” Demoulas in 1917. The chain now operates at least 90 stores across Massachusetts, New Hampshire, and Maine, providing affordable prices and quality products to its loyal customer base.

Arthur T. Demoulas, often referred to as “ATD,” has led the company since 2008, except for a brief period in 2014 when he was laid off and later reinstated after a public outcry that included employee walkouts and customer boycotts. Many employees credit him with creating a positive work environment.

In contrast, the board expressed frustration over Demoulas’s alleged unwillingness to cooperate on discussions regarding the future leadership of the company. Board chair Jay Hachigian stated that despite repeated requests, Demoulas has not allowed discussions about succession plans or engaged with the potential successors he wishes to appoint.

Demoulas’s sisters, Frances, Glorianne, and Caren, who collectively own about 60 percent of the company, support the board’s actions and have a vested interest in overseeing the company’s future. Arthur T. Demoulas, conversely, maintains he has discussed succession planning and has recommended his children take over as his successors.

As the company faces this internal turmoil, sources close to the situation suggest it could lead to litigation, continuing a cycle of family disputes that has marked the Demoulas legacy for decades. The board’s statement assured that this internal situation would not affect employee pay or benefits.

As Market Basket navigates this crisis, the future of its leadership and potentially its operational culture remains uncertain. The company is not only fighting for its governance but also to maintain its cherished status among customers.