Kellogg Is Importing Cereal Into U.S. During Strike, CEO Says
(Bloomberg) -- Kellogg Co. is bringing in cereal from abroad to help supply the U.S. market as workers at its four cereal plants in the country strike.
“We have plants in Mexico, Canada, the U.K. -- Manchester is a very big cereal plant -- and even as far away as Australia,” Chief Executive Officer Steve Cahillane in an interview. “So we’ll leverage the totality of our global network.”
The U.S. plants affected by the strike are being operated by a combination of replacement workers and salaried staff. “All four plants are running and increasing their output on a daily basis and that will continue as long as necessary,” Cahillane said.
See also: Kellogg posts sales, earnings that beat estimates
On Wednesday, the Bakery, Confectionery, Tobacco Workers and Grain Millers International Union said it would not recommend the company’s latest proposal -- which was characterized by the company as its “last, best, final offer” -- and would not bring it to workers for a vote. The company countered that the union’s proposals are “unsustainable and unrealistic.” It’s unclear when talks will resume.
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