Thursday, December 16, 2021

Nebraska's Republican governor joins Joe Biden in calling on Kellogg's to negotiate with striking workers: 'Retaining your people should be a priority'

insider@insider.com (Juliana Kaplan)
© Provided by Business Insider
 Keisha Richardson, 15-year Kellogg employee, waves to cars honking as they pass by as she gathers with union workers from Kellogg's while they picket outside the cereal maker's headquarters as they remain on strike in Battle Creek, Michigan,
 U.S REUTERS/Emily Elconin/File Photo

Nebraska Gov. Pete Ricketts, a two-term Republican, is urging Kellogg's to negotiate with strikers.
After more than two months, Kellogg's said it will permanently replace striking union workers.
Ricketts joins politicians like Joe Biden and Bernie Sanders in supporting the workers.

Nebraska governor Pete Ricketts — a Republican serving his second term in office and the former COO of TD Ameritrade — has called upon Kellogg's CEO Steve Cahillane to resume negotiations with striking workers.

In a letter dated December 12, Ricketts said that Nebraskans working in food processing "stepped up to help our state feed the nation and world," noting that workers helped increase Kellogg's revenue in 2020.

"Given the extraordinary commitment displayed by Kellogg's employees over the past two years, the successes they have helped Kellogg's to achieve, and the inflationary pressures they're facing, I urge you to return to the bargaining table," Ricketts said.

On Friday, President Joe Biden said that he was "deeply troubled by reports of Kellogg's plans to permanently replace striking workers," and called on employers to meet unions at the bargaining table. Senator Bernie Sanders has said he'll join a rally with striking Kellogg's workers in Michigan later this week.

Ricketts' letter signals a possible bipartisan shift towards supporting the striking workers. It's a notable move from a Republican governor who previously threatened to withhold federal relief funds for cities if masks were mandated in local government offices, and ended federal unemployment benefits months early in an effort to get workers to return.

Kellogg's workers at four plants — including one in Omaha, Nebraska — have been on strike for over two months. The Bakery, Confectionery, Tobacco Workers and Grain Millers International union workers are pushing back against what they say is an unfair two-tier wage system. On December 7, workers "overwhelmingly voted to reject" the company's latest tentative agreement offer.

After union workers voted down the tentative agreement, Kellogg said "the prolonged work stoppage has left us no choice but to hire permanent replacement employees in positions vacated by striking workers." That meant that 1,400 striking workers were facing replacement.

Ricketts said that he was writing "to express my hope that Kellogg's will reconsider its decision to discontinue negotiations" with the union, and that "retaining your people should be a priority."

"We remain ready and willing to continue negotiations," Kellogg spokesperson Kris Bahner said in a statement to Insider. "We have made every effort to reach a fair agreement, including making six offers to the union throughout negotiations, all of which have included wage and benefits increases for every employee on top of what is already an industry-leading compensation package."

Dan Osborn, president of the local union branch in Omaha, Nebraska, told Insider in a message that Rickett's letter shows this is a truly bipartisan message.

"I would like to express my gratitude on behalf of the 450 members of BCTGM Local 50G to Nebraska Governor Pete Ricketts for acknowledging our cause to save the American blue collar worker," Osborn said.



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