NEW YORK (AP) — Kellogg’s employees have voted to ratify a ten- tative labor contract at the company’s four U.S. cereal plants.
The contract covers approximately 1,400 workers represented by the union at plants in Michigan, Nebraska, Pennsylvania and Ten- nessee.
The workers have been on strike since Oct. 5.
THIS IS A BREAKING NEWS UPDATE. AP’s earlier story follows below.
NEW YORK (AP) — It’s expected to be known Tuesday whether striking Kellogg’s workers have accepted or rejected the cereal mak- er’s latest contract offer.
Over the weekend, about 1,400 members of the Bakery, Con- fectionary, Tobacco Workers and Grain Millers International Union voted on the new offer that includes cost-of-living adjustments and a $1.10 per hour raise for all employees.
Earlier this month, an overwhelming majority of workers voted down a five-year offer that would have provided 3% raises and cost of living adjustments in the later years of the deal to most but not all of the workers. That offer also would have preserved employees’ current health benefits.
The workers have been on strike since Oct. 5 at plants in Battle Creek, Michigan; Omaha, Nebraska; Lancaster, Pennsylvania; and Memphis, Tennessee. They make all of the company’s well-known brands of cereal, including Apple Jacks and Frosted Flakes.
Kellogg’s said most workers at its cereal plants earned an aver- age of $120,000 last year, though union members have said they work more than 80 hours a week to earn that, and those wages are only available to longtime workers. Under the two-tiered pay system the company uses, newer workers are paid less and receive fewer benefits.
That pay system has been a sticking point during the negotia- tions, and Kellogg’s offer didn’t change on that part of the contract. The company has said it will allow all workers with at least four years of experience move up to the higher legacy pay level as part of this contract. Union officials previously said that plan wouldn’t let other workers move up quickly enough. The company has also proposed eliminating the current 30% cap on the number of work- ers at each plant who receive the lower wages.
The new agreement would also preserve employees health care benefits.
The workers have been holding out for more partly because they believe the ongoing worker shortages across the country gave them leverage in the negotiations. And workers have said they deserve raises after keeping the plants running throughout the coronavirus pandemic.
Throughout the strike Kellogg’s has been trying to keep its plants operating with salaried employees and outside workers, and the company said late last month that it planned to start hiring perma- nent replacements for the striking workers.
President Joe Biden sharply criticized Kellogg’s for threatening to permanently replace workers, saying that doing that would under- mine the collective bargaining process.