Le Mars Kemps workers win strike, raises, pension

Another group of workers won a pension back; it’s spreading!

Around 186 workers at Kemps, a dairy plant in Le Mars, have won raises, a new health care plan, and a defined benefit pension in their first-ever work stoppage at the plant.

The workers, who are organized with Teamsters Local 554, were on strike for 27 hours before coming to a deal with Kemps, according to Teamsters organizer Adrian Macias.

“When these workers came together, they won good wages, good working conditions,” he told me. “We also want to thank the community of Le Mars, Iowa—there’s never been a work stoppage, and we want to give them thanks for that.”

Workers first petitioned to join Teamsters in November, and unionized on a 89-57 vote in December.

They started negotiating their first contract with Kemps, doing business as Dairy Farmers of America, in March, but “couldn’t really get a deal,” Macias said.

Workers decided to strike on Aug. 21 at 6 p.m., and reached a tentative agreement with the company just over a day later.

“We had a plan in place the following week to extend picket lines,” Macias said. “We’re really happy [to fight for a deal], and I think the employer knew that.”

And the deal was a good one: Workers voted 107-1 to ratify it.

It included:

• $3.50 raises for all, retroactive to April 30;
• 75-cent raises in the second year, and 50-cent raises in the third year;
• A new health care plan under the Michigan Conference of Teamsters Welfare Fund starting in January;
• A defined benefit pension that begins in the third year of the contract, with a 50-cent contribution by the company every hour worked up to 40 hours;
• A grievance procedure, just cause language, and a safety committee.

“It’s a great contract for workers and will help stabilize the industry,” said Jesse Case with Teamsters Local 238.

Are pensions coming back for real? Email me.