BATTLE CREEK, Mich.,
Aug. 1, 2015 /PRNewswire/ -- Kellogg
Company and the Bakery, Confectionery, Tobacco and Grain Millers
(BCTGM) union today announced the ratification of a new five-year
master contract that covers the company's four Ready-To-Eat Cereal
(RTEC) plants in Battle Creek, MI;
Memphis, TN; Omaha, NE; and Lancaster, PA. The current contract is
scheduled to expire on Oct. 3.
The master contract ratification vote comes after Kellogg and
BCTGM leadership successfully reached a tentative agreement on
July 24, 2015. Approximately 1,300
employees are covered under this new contract, which will allow the
company to further invest in innovation and brand growth.
"We are pleased we were able to work with the BCTGM to agree on
a contract that helps ensure our U.S. plants will continue to be
more competitive in our global manufacturing network," said
Alistair Hirst, Sr. Vice President,
Kellogg Global Supply Chain. "For our employees and for Kellogg, we
remain committed to the future of this business and focusing
together on producing the high-quality, nutritious foods that give
people a better start to their day."
The contract narrows the gap in labor costs at the company's
RTEC locations across its manufacturing network and in the
industry. It includes significant concessions on future healthcare
costs and there will be no retiree health care for new hires. There
also will be a new transitional employee classification that will
provide more competitive wages and benefits along with the
opportunity to reach regular employee status.
Finally, while the contract includes Kellogg's commitment to
keep all four of its U.S. RTEC plants open for at least the next
five years, we have the flexibility to optimize production lines as
the category continues to evolve.
"This fair and competitive contract recognizes the important
work of Kellogg's employees and helps to ensure the long-term
success of the company's RTEC plants and business," Hirst
continued.
About Kellogg Company
At Kellogg Company (NYSE: K), we are driven to enrich and delight
the world through foods and brands that matter. With 2014 sales of
$14.6 billion and more than 1,600
foods, Kellogg is the world's leading cereal company; second
largest producer of cookies, crackers and savory snacks; and a
leading North American frozen foods company. Our brands –
Kellogg's®, Keebler®, Special K®, Pringles®, Kellogg's Frosted
Flakes®, Pop-Tarts®, Kellogg's Corn Flakes®, Rice Krispies®,
Cheez-It®, Eggo®, Mini-Wheats® and more – nourish families so
they can flourish and thrive. Through our Breakfasts for Better
DaysTM initiative, we're providing 1 billion
servings of cereal and snacks – more than half of which are
breakfasts – to children and families in need around the world by
the end of 2016. To learn more, visit www.kelloggcompany.com or
follow us on Twitter @KelloggCompany, YouTube and on Social K.
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SOURCE Kellogg Company