NEW ENGLAND (MyKeeneNow) Market Basket, the New England grocery chain known for its fiercely loyal workforce and customer base, is once again embroiled in internal conflict as its CEO, Arthur T. Demoulas, has been placed on paid administrative leave.
The decision, made by the company’s board of directors, comes amid accusations that Demoulas was planning to disrupt company operations—charges that have reignited memories of the company’s infamous 2014 leadership crisis that inspired a documentary film.
In a memo to employees, the board’s executive committee cited “credible allegations” that Demoulas and several colleagues, including family members, were preparing to initiate a work stoppage. The alleged move was described as retaliatory, stemming from ongoing disputes over governance and decision-making authority. According to the board, Demoulas resisted collaboration and had begun to sidestep the company’s agreed-upon succession planning.
The suspension of Demoulas includes key family allies within the company, such as his daughter, Madeline; and son, Telemachus, who were also placed on leave. The board emphasized that despite the leadership shake-up, no employee jobs or benefits are at risk, and store operations are expected to continue without interruption under the existing management team.
This latest upheaval revives unresolved tensions within the Demoulas family, who have long wrestled for control of the business. In 2014, a similar power struggle led to weeks of worker walkouts and customer boycotts, ultimately culminating in Arthur T. buying out the company for $1.5 billion to reclaim his position. That move came after mass protests by employees and shoppers who rallied behind him, citing his leadership style and commitment to workers.
Since then, Demoulas has steered Market Basket through significant growth. Under his guidance, the company reportedly retired $1.6 billion in acquisition debt by the end of 2024 and has been operating at what his camp describes as peak performance.
Still, the board insists that the current action is necessary to ensure corporate accountability and protect the chain’s long-term stability. An internal investigation will proceed while Demoulas remains on leave.


