Kellogg, union reaches tentative deal after two-month strike
The union expects employees to vote on the latest tentative agreement on Dec. 5
Kellogg has reached an tentative agreement with a labor union that would end a two-month-long strike.
The deal calls for a five-year contract for the company's employees at several breakfast cereal plants in the U.S., according to Reuters.
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The union representing more than 1,400 striking cereal workers resumed contract negotiations this week after the two sides failed to reach another agreement right before the Thanksgiving holiday.
The Bakery, Confectionery, Tobacco Workers and Grain Millers International Union covers employees at plants in Omaha, Nebraska; Battle Creek, Michigan; Lancaster, Pennsylvania; and Memphis, Tennessee.
Union workers from Kellogg's picket outside the cereal maker's headquarters as they remain on strike in Battle Creek, Michigan, Oct. 21, 2021. (Reuters / Reuters Photos)
The deal includes wage increases and benefits for all employees and "defined path" to legacy wages and benefits for temporary workers, the company said.
The union expects employees to vote on the latest tentative agreement on Sunday, Kellogg said.
| Ticker | Security | Last | Change | Change % |
|---|---|---|---|---|
| K | KELLANOVA | 81.17 | +0.15 | +0.19% |
The strike began Oct. 5 after their contracts expired, as negotiations over payment and benefits stalled.
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Kellogg had hired permanent replacements for some of its plant workers who were on strike, after the union rejected a revised offer from the company earlier last month.
FOX Business' Daniella Genovese contributed to this report.