Denison Farmland Workers Reject Contract and Authorize Strike

Workers Overwhelmingly Rejected Contract Proposals That Would Raise Health Care Costs

DENISON, Iowa--(BUSINESS WIRE)--More than 1,400 workers at the Denison Farmland pork processing plant voted by more than 92% today to reject the company’s latest contract proposals that included steep increases in family health care coverage and substandard wages. The workers are members of the United Food and Commercial Workers (UFCW) Local 440 whose bargaining committee recommended that workers reject the proposals and authorized union leaders to call a strike.

“I think our members are going to send Farmland and their parent company, Smithfield, a strong message that we will not give in to a contract that will hurt our families.”

The company’s demands would have significantly increased workers’ share of health care coverage which would make it unaffordable for many workers and force them to forgo coverage for themselves or their families. These increases may force workers to enroll their children in state-funded health care plans because the family coverage is too expensive.

“We all want Farmland to be competitive in the pork market, but there’s no excuse for health care increases that workers can’t afford,” said Leo Kanne, Farmland employee and Local 440 member. “I think our members are going to send Farmland and their parent company, Smithfield, a strong message that we will not give in to a contract that will hurt our families.”

UFCW is ready to resume negotiations and work with Farmland to find solutions that will meet everyone's needs. If negotiations fail to accomplish these goals, UFCW Local 440 will give Farmland a 72-hour notice prior to striking.

UFCW Local 440 bargaining committee members have been meeting with Farmland for the past three months and have offered any number of proposals that would keep health care affordable for workers and allow the company to remain competitive. In any number of recent contracts, the UFCW has worked with employers to reach creative solutions that put real money into workers pockets and keeps health care accessible and affordable. Farmland has been unwilling to discuss the UFCW’s proposals on health care.

Farmland is owned by Smithfield Foods which is the nation’s leading pork processing company. The Denison plant has been recognized as one of the safest and efficient plants in the Smithfield company’s dynasty.

UFCW members at Smithfield-owned plants in Crete, Neb., Mason City, Iowa, Sioux City, Iowa, Longmont, Col., Cudahy, Wis., New Riegel, Ohio, Sioux Falls, S.D., St. Charles, Ill., Springfield, Mass., and Cincinnati, Ohio have been conducting workplace actions in support of the Denison workers. Contracts covering an additional 7,500 UFCW members will expire within the next six months.

“We will do whatever it takes to support our brothers and sisters in Denison, Iowa. Our members know that an attack on one contract is an attack on all of our contracts. We may have miles of highway between our plants, but we will hold the line against Farmland greed no matter where it attacks workers,” said Warren Baker, President of UFCW Local 1142 and John Morrell (Smithfield) worker in Sioux City, Iowa.

The UFCW is the voice for meatpacking workers at Farmland/Smithfield and for 250,000 other packing and processing workers in the U.S. and Canada.

www.fairnessforfoodworkers.org