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Kellogg Company and the Bakery, Confectionery, Tobacco Workers and Grain Millers International Union are engaged in negotiations to finalize a master labor contract for our four U.S. Ready to Eat Cereal (RTEC) plants. We are disappointed by the union’s decision to strike. Kellogg provides compensation and benefits for our U.S. RTEC employees that are among the industry’s best. Our offer includes increases to pay and benefits for our employees, while helping us meet the challenges of the changing cereal business.

Kellogg’s Media Statement

Highlights of Kellogg’s Comprehensive Offer for Settlement

Negotiations Update

October 25, 2021

For the second time since Oct. 4, just before the Union decided to strike, Kellogg Company reached out directly to union leaders today asking to resume bargaining and suggesting that happen this week.

Our request emailed this morning to union leaders read, “As we have stated from the beginning, the Company is willing to consider any proposals from the Union including proposals that would preserve a pathway for transitionals to legacy wages and benefits.  At the end of the day, we have a responsibility to these employees – which is to engage in good faith bargaining toward a replacement agreement that gets them back to work.”

We are hopeful that the Union will respond favorably to our invitation, so that we can resume the process of reaching a new agreement, and returning our employees to work.

 

Negotiations Update

October 15, 2021

One question we continue to receive is “what is the current state of negotiations?” Our number one priority is to get back to the negotiations table and reach a contract, so our employees can get back to their jobs and their lives.

In a communication to the union on October 4, we asked the union for dates they would like to return to the table and no dates have been provided in response.

The union appears unwilling to resume negotiations unless Kellogg first agrees to provide 100% free healthcare and pension benefits to employees who do not currently receive those benefits. The union agreed in 2015 to a more current, market-based health and retirement plan. Now they want to go back on that deal.

We have no such pre-conditions to returning to the negotiations table and remain ready, willing and able to meet.

We have contacted a federal mediator to seek assistance in getting the union back to the table to engage in good faith negotiations.

In the meantime, we continue to implement contingency plans at our four cereal plants, including using salaried employees and third-party resources to produce food. We are proud of those teams and their commitment to producing great food for our customers.

Negotiations Update

October 8, 2021

Today, we sent the letter below to our RTEC employees.

Dear RTEC Employees,

We are disappointed that the union decided to strike on October 5; and are especially disappointed that the Union did so without allowing you to vote on the Company’s October 1 offer.

We recognize that being away from work puts you and your family in a difficult position and can create financial hardships.

As I’m sure you can appreciate, we have a responsibility to our business, customers and consumers to continue running our plants, despite the strike. To that end, we are continuing operations and we want to remind you that you have the choice to return to work.

We have plans in place to ensure the safety of our employees who wish to return to work.  If you have any questions about returning to work, please call your plant HR manager.  Please know that we will respect your decision either way.

Make sure you check the Kellogg’s Negotiations website regularly for updates on negotiations, company proposals, frequently asked questions and other related information.

Negotiations Update

October 6, 2021

Negotiations have not yet resumed, but we are ready, willing and able to meet and have repeatedly communicated that to the union. In the meantime, we are implementing contingency plans to mitigate supply disruptions, including using salaried employees and third-party resources to produce food.

Negotiations Update

October 5, 2021

Kellogg Company and the Bakery, Confectionery, Tobacco Workers and Grain Millers International Union are engaged in negotiations to finalize a master labor contract for our four U.S. Ready to Eat Cereal (RTEC) plants.  We are disappointed by the union’s decision to strike. Kellogg provides compensation and benefits for our U.S. RTEC employees that are among the industry’s best. Our offer includes increases to pay and benefits for our employees, while helping us meet the challenges of the changing cereal business.

Highlights of Kellogg’s Comprehensive Offer for Settlement

Negotiations Update

October 1, 2021

This morning, the Company emailed and hand-delivered its “Comprehensive Offer for Settlement” where we put our best foot forward to try to reach an agreement.  The Company proposal is compelling in many ways, with significant enhancements for all employees and a first-ever one week off with pay from 10/5-10/11 if it is voted and ratified by midnight 10/4.

The Union has refused to meet with us to review or respond to our Comprehensive Offer for Settlement, and has not made any counterproposals but we remain ready, willing and able to bargain.

At 3:30 PM the union gave their strike notice and informed us that their bargaining committee intends to leave the negotiations location tomorrow morning.

NEGOTIATIONS UPDATE

September 30, 2021

Today the Company told the Union it had new proposals with additional wage and benefit increases. The Union said it is not willing to meet unless we agree to a Transitional progression to 100% company paid healthcare and pension.  We have proposed a clear 7-year progression for employees to the full wage rates, but not legacy benefits.  As a result of the Union’s statement, the bargaining the bargaining committees did not meet committees did not meet.

The Company informed the Union it remains ready and willing to negotiate further.

NEGOTIATIONS UPDATE

September 28, 2021 

During today’s negotiations, at 10:30 am, the Company provided a comprehensive counterproposal on all issues, which featured additional pay and benefits. At 1pm, the Union responded with two counterproposals on language issues, withdrew two proposals, and continued to reject the Company’s core substantive proposals. Late this afternoon, we exchanged proposals on peripheral language issues and adjourned for the day.

Negotiations Update

Sep 25, 2021

During last week’s negotiations, the parties discussed various proposals, the state of the cereal business, and the need to be responsible to improve the sustainability of the business and cereal plant jobs. This week’s negotiations concluded at 2:30 pm on Friday. Negotiations will resume Monday morning.

Negotiations Update

September 8, 2021

Kellogg and the BCTGM union entered into contract negotiations for the RTEC (Ready-to-eat cereal) Master Contract.