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Bargaining Updates
January 15, 2008
Workers in Knoxville, Iowa reach agreement with Hormel
More than 100 Hormel workers in Knoxville, Iowa and members
of UFCW Local 431 have ratified a new contract with the company.
The four-year contract provides:
- considerable wage increases, including $1.40/hr base wage
increase over four years for production workers and $1.80/hr base wage
increase for maintenance workers. The increases bring the average wage for
production workers to $15.75 an hour - the top of the industry.
- significant improvements in preventive health care, well baby and well
child care, hospice care, home health care, vision care, mental health and
substance abuse care, and cancer screening as well as big improvements in
dental care. These improvements were achieved with no increase in
deductible, and only a minimal increase in co-premiums.
- improved retirement security including increased "pension multipliers"
which will mean a greater than 10 % increase in pension checks.
Workers and the company agreed to the essentially the same terms and
conditions as the groundbreaking chain agreement ratified at the end of last
year. That agreement covered more than 4000 workers in five locations which
set a new standard for wages and benefits in the meat industry.
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