Workers at a Canadian meat processing plant owned by the U.S. agri-food company Cargill have agreed to return to work after negotiating a new pay agreement.
After 41 days on strike, the 960 unionized employees at the Cargill Dunlop beef facility in Guelph, Ontario, ratified a new collective agreement. Represented by the United Food & Commercial Workers union, the workers who began their strike on May 26 are now resuming work, and the facility, which processes about 1,500 cattle daily.
Kelly Tosato, president of UFCW Local 175, stated, “In our union, the power is in the hands of our members through their democratic vote, and the members at Cargill Dunlop used their vote to make their voices heard. It is a tough decision to go on strike and an even more difficult one to end it. But these members stood firm against a large corporation and should be proud of their strength and courage.”
The agreement includes wage increases totaling C$3.75 (USD $2.75) per hour over the duration of the agreement, with $2 per hour in the first year. This initial increase will be paid retroactively for all hours worked, including overtime, since Jan. 1, 2024. Additionally, members will receive a contract renewal incentive payment of $500. Other improvements include enhanced dental coverage and increased bereavement leave.
A spokesperson for Cargill expressed satisfaction to Meat+Poultry reporters with the agreement, stating, “Cargill is pleased to have reached an agreement with the union that our Guelph employees have ratified. The comprehensive, fair, and market-competitive agreement reflects the critical role they play in feeding families across Canada. We believe this positive outcome is in the best interests of our employees, customers, and producers, and we look forward to building a stronger future together.”
Meanwhile, workers at another Cargill meat plant in Calgary voted on Monday whether to accept the company’s latest pay offer, with results anticipated today.
In June, 100 percent of the workers represented by UFCW Local 401 supported strike action if a sufficient pay deal was not provided by Cargill.
Thomas Hesse, president of UFCW Local 401, commented on the Guelph plant resolution, saying, “We owe the members of Local 175 a debt of gratitude. It’s likely that many improvements in our own settlement offer are due to their courage and willingness to fight.”
The UFCW stated that the new proposal for Calgary’s workers includes guaranteed hours for many employees, retroactive pay averaging C$400,000 per employee, and wage improvements. Chris O’Halloran, executive director for UFCW Local 401, acknowledged that while the proposal is “not everything the membership wanted and deserved,” it offers significant improvements to build upon. He added, “The harsh reality is that the employees in Guelph have now settled, and it may not be realistic to believe that 400 case-ready employees can achieve more than 1,100 striking workers did in Guelph after 41 days. It’s Local 401’s job to fight but also to give workers fair and realistic advice.”
