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Kellogg Company is committed to the long-term health of our cereal network in the U.S. For many years, employees at our cereal plants have been making high-quality, nutritious foods so people can have a better start to their day. And we want them to continue doing so for many years to come.
However, given the current environment, that's become increasingly difficult. The cereal category continues to decline – not just for us, but for our competitors – and that leaves Kellogg with far more production capacity than we need in our U.S. cereal network.
To help address these significant challenges, we proposed a plan – a Memorandum of Agreement (MOA) – with the Bakery, Confectionary, Tobacco and Grain Millers (BCTGM) Union that not only addresses the immediate needs of the business, but also guarantees jobs at our cereal plants for at least the next four years.
Importantly, the MOA also would continue to provide our cereal employees the best wages and benefits in the industry. They currently earn approximately $28/per hour – an average of $100,000 annually, with overtime – and that would not change. Additionally, pension would remain the same for current employees and they would continue to pay no premiums for their health care benefits.
Much to our disappointment, the MOA was not ratified when voted upon by union members in December. It is our hope is that the union members — our employees — will reconsider their position. We believe the ratification of the MOA is the best path forward.
We have spent a considerable amount of time evaluating our U.S. cereal plants — as well as expansion opportunities at our Belleville, Ontario plant — and we're at a pivotal fork in the road. We must ensure that we are operating the right number of plants — in the right locations — to better meet our current and future production needs, and the evolving needs of our retail customers.
However, Kellogg will have no choice but to announce the closure of at least one U.S. cereal plant in the very near future if our challenges continue to go unaddressed. This is absolutely not what we want, but we must make changes to remain viable.
We urge the communities in which we operate RTEC plants to implore local union leaders (contact information to the right) to provide their membership another chance to be heard and to preserve jobs in their hometown. We ask our RTEC employees to carefully consider the options before them and ask their union leaders for another opportunity to vote on the proposed MOA.
Click a location name below for news, resources, and a negotiations timeline specific to that location.
An Administrative Law Judge (ALJ), in Memphis ruled late Thursday in favor of Kellogg Company, concluding that the lockout there is lawful and that our proposals are appropriate for supplemental – or local – negotiations. Read More.
The union and Kellogg met to negotiate Tuesday, July 22 through Thursday, July 24. Read More.
To be announced.
To be announced.
Please click a location name (to the left) for news & resources specific to that location.
Trevor Bidelman, President, Local 3G
Local 3G Union Hall
1006 N. Raymond Rd.
Battle Creek, MI 49014
John Dredla, President, Local 50G
BCTGM Local 50-G
8984 J St 100
Omaha, NE 68127
Rodney Brown, President, Local 374G
3543 Marietta Ave.
Lancaster, PA 17601
Kevin Bradshaw, President, Local 252G
3035 Directors Row 1310
Memphis, TN 38131