Kellogg Company Urges U.S. Cereal Employees Demand the Opportunity to Vote
Battle Creek, Mich., Nov. 5, 2021 - Kellogg Company is today addressing its continued commitment to reach a contract with the Bakery, Confectionary, Tobacco Workers and Grain Millers International Union, urging cereal employees demand the union put forth the offer for a vote.
Since Sept. 8, the company has been in negotiations with the union representing employees at its four cereal plants in Battle Creek, Mich., Omaha, Neb., Lancaster, Pa. and Memphis, Tenn. On Oct. 5, the union struck at all four plants without providing Kellogg employees the chance to vote on the company's comprehensive offer for a new, four-year contract.
"We are deeply concerned about the impact of the strike on our employees," said Kellogg Company Chairman and CEO, Steve Cahillane.
"They have been away from work for a month now, putting good people and their families in a difficult financial position. Since the beginning of the strike,
our number one priority has been to get back to the negotiations table and reach a contract, so our employees can get back to their jobs and their lives."
In negotiations, Kellogg has consistently addressed what the union says are their primary concerns, providing increases to wages, benefits and retirement, on top of what was already one of the most generous contracts in the industry.
"At Kellogg we always say that people are our competitive advantage," said Cahillane. "We greatly value our employees and the work they do, especially during the pandemic, when it's never been more important to ensure access to good, affordable food for so many."
On November 3, Kellogg put forth a compelling "Last Best Final Offer" to the union. This includes:
No longer proposing a permanent two-tiered structure.
Offering to continue the current pathway to Legacy wages and benefits, but with significant wage increases for current and future Transitional employees.
Proposing to maintain the Cost of Living Adjustment for Legacy employees.
Proposing enhanced benefits for all employees.
"We asked the union to allow our employees to vote the offer," Cahillane said. "The union immediately rejected it and told us they would not put it before employees for a vote. We implore our cereal employees to demand their union put forth the offer for a vote."
"The union continues to insist on proposals that are unsustainable and unrealistic," Cahillane added. "They've proposed adding costs that would threaten the future success of our plants and cereal business."
In the meantime, Kellogg has a responsibility to its business, customers and consumers to run its plants, despite the strike. The company is continuing operations at all four plants with other resources and hopes to reach an agreement soon. Kellogg remains ready and willing to consider any realistic offers from the union.
For more information and regular updates, visit Kellogg's negotiations website at kelloggsnegotiations.com.
About Kellogg Company
At Kellogg Company (NYSE: K), our vision is a good and just world where people are not just fed but fulfilled. We are creating better days and a place at the table for everyone through our trusted food brands. Our beloved brands include Pringles®, Cheez-It®, Special K®, Kellogg's Frosted Flakes®, Pop-Tarts®, Kellogg's Corn Flakes®, Rice Krispies®, Eggo®, Mini-Wheats®, Kashi®, RXBAR®, MorningStar Farms® and more. Net sales in 2020 were approximately $13.8 billion, comprised principally of snacks and convenience foods like cereal, frozen foods, and noodles. As part of our Kellogg's® Better Days purpose platform, we're helping to end hunger and are committed to creating Better Days for 3 billion people by the end of 2030. Visit www.KelloggCompany.com or www.OpenforBreakfast.com.