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Contractors Arrive at Kellogg’s Omaha Plant Amid Strike

Contractors Arrive at Kellogg’s Omaha Plant Amid Strike

Third-party contractors are arriving on Monday at Kellogg Co.’s cereal plant in Omaha, Nebraska, which is the company’s largest in the U.S., amid a strike by workers there. 

The maker of Frosted Flakes and Rice Krispies said all four plants that have been affected by strikes are “in various stages of startup and starting to produce food.” It declined to say whether contractors are at the other plants. Managers will be traveling between plants to provide support and resources, the company said. 

Last week, about 1,400 workers represented by the Bakery, Confectionery, Tobacco Workers and Grain Millers International Union went on strike at Kellogg cereal plants in Omaha and in Battle Creek, Michigan; Lancaster, Pennsylvania; and Memphis, Tennessee. The locations produce Rice Krispies, Raisin Bran, Froot Loops, Corn Flakes and other products.

U.S. workers are pressing for better pay as a labor shortage and supply-chain bottlenecks force companies to hike prices and overhaul operations. Employees at essential plants, like those run by packaged-food companies, have also faced difficult conditions since the start of the Covid-19 pandemic. 

Kellogg shares were little changed on Monday. 

©2021 Bloomberg L.P.