Bargaining Updates
February 24, 2008


Ottumwa Cargil workers ratify new deal


Workers at Cargil in Ottumwa, Iowa and members of UFCW Local 231 have overwhelmingly ratified a new 4 year, 11 month deal. In addition to the improvements below, the company has also agreed to pay for a full time walking union steward for the plant.

The contract:

Maintains affordable health care: There will be slight increases in workers cost beginning in 2009, but those increases bring improved benefits. Among other improvements, the plan changes will increase dental preventive care coverage from 80% to 100% and increase preventive care coverage maximum to $1000. And there will be no changes in deductible or maximum out of pocket charges.

Improves time off: The contract adds a fifth week of vacation for employees with 25 years or more service, and allows employees with 10 years or more seniority to take up to two weeks vacation in single day periods (instead of having to take a whole week at a time). Holiday pay was also made more fair and employees can now get three consecutive days off for funeral leave.

Increases wages: Base rate increases from $11.95 to $12.50. By the end of the contract, base rate will be $13.65. Contract upgrades 17 job titles which will increase the pay of more than 500 workers. Workers get raises of $1.70 over the life of the contract—including $0.55 the first year, $0.25 the second year, $0.30 the second, third, and fourth years. In addition, two grades were added which will start at $3.00 and $3.75 over base rate.