Cargill has initiated a lockout at its beef processing plant in Fort Morgan, Colorado, after workers rejected the company’s latest contract proposal amid ongoing labor negotiations with Teamsters Local 455.
The lockout began May 20 following months of bargaining and an employee vote in which union leaders said 85% of members rejected the company’s offer. The plant has not been harvesting cattle since April 23 because of concerns over a possible work stoppage during negotiations.
“The best-kept secret in the packing industry has been the potential strike at Fort Morgan in Colorado,” David Ericson of Ag Optimus told the Rural Radio Network.
Cargill said the lockout was driven by “continued uncertainty” surrounding labor talks and concerns about safely operating the facility during a potential strike, according to Drovers.
The Fort Morgan facility, which can process up to 4,700 cattle per day, had recently been operating at about 4,000 head daily before production stopped. The company said the halt is not expected to impact its overall weekly harvest totals because production is being shifted to other facilities in its network, according to Drovers.
Union officials criticized the offer and said workers are seeking better terms.
“The members at Cargill have spoken loud and clear,” a union leader wrote on social media. “Unity and solidarity sent a strong message that the membership deserves better.”