Meat + Poultry - May 2008 - 19

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CMS workers ratify contract
This past month, workers at the Cargill Meat Solutions processing plant in Albert Lea, Minn. agreed to a contract that includes provisions for pay increases,
improved health care benefits and increased retirement security. According to
the United Food and Commercial Workers International Union, the majority of
approximately 300 employees voted to ratify the new contract. Provisions of the
contract will increase the base
pay at the plant to $13.20 per
hour over the four-year term of
the agreement and will reduce
the cost of deductibles and copayments for health care-related
expenses. The contract also guarantees retirees a pension of $22.50 per month,
per year of service, an amount that will increase to $25 in 2011.
"We were able to negotiate an enormously better health plan, with significant
cost savings for our members," said Pat Neilon, president of U.F.C.W. Local 6. He
added: "The new defined benefit pension plan will be better for our members
because it guarantees income in retirement and it doesn't take any money out
of workers' pockets."

s,
4

Cargill Meat Solutions acquires
Willow Brook Foods

Industry-Specialized

Cargill Value Added Meats, a division of Cargill Meat Solutions, Wichita, Kan., announced in late March its acquisition of Willow Brook Foods' turkey processing
operations in Springfield Mo. and its Schweigert Foods cooked meat operation in
Albert Lea, Minn. Willow Brook reportedly approached CMS this past year about
negotiating a deal in the face of
rising feed and energy costs. The
transaction includes all of Willow Brook's brands.
"High feed and energy-related
costs have made it difficult for
Willow Brook to continue operating," said Mike Briggs, president of Willow Brook.
A processor of turkey, poultry
and pork for retail and foodservice companies, Willow Brook's
sales in 2007 were approximately
$157.5 million. The company has
been owned by Willow Brook Management and an investment group comprised of
McClain Enterprises, Powell & Powell Milling and Springfield Underground since
2002. Operations at Willow Brook's two Springfield facilities, which employed
about 780 workers, are being shifted to Cargill's poultry plants in California, Mo.
and Springdale, Ark. Willow Brook's contract turkey production and feed mill in
Butterfield, Mo. will continue operating as will its cooked-meats plant in Albert
Lea, where it further processes beef, pork and poultry products.
"Closing the two Springfield plants is a difficult decision," said John O'Carroll,
CVAM president. "But we are encouraging Springfield employees to apply for
jobs at CVAM's facilities, including the plants in California, Mo., and Springdale,
Ark., and we will offer relocation packages."

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May 2008

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Meat + Poultry - May 2008

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