Global foodservice distributor Sysco is calling on the International Brotherhood of Teamsters (IBT) to stop threatening strikes at its companies in multiple U.S. states, as the Teamsters Local 988 union in Houston, Texas, U.S.A., said it is “preparing to strike for a fair contract after the company abandoned negotiations.”
The potential strikes could impact deliveries of seafood and other products to hundreds of restaurants – including seafood-centric Pappas Restaurants and Cheesecake Factory – along with hospitals and other foodservice sites, as has happened during past Teamsters’ strikes against Sysco.
The Teamsters’ contract expires on 17 January, and the union claimed the company is “being charged with multiple violations of federal law.”
“We’ve been bargaining in good faith for months, but the wage package Sysco has proposed is insulting, unrealistic, and fails to reflect the value of our members’ hard work,” Teamsters Local 988 President Robert Mele said. “This is a multibillion-dollar corporation exploiting its workers. We’re ready to take a stand against Sysco’s blatant corporate greed. We won’t back down until our members get the contract they deserve.”
Sysco said it has been negotiating in good faith for several months, with the goal of reaching an agreement before the 17 January expiration, and pushed the union to stop threatening a strike.
“Their actions harm our colleagues, their families, and our community partners, including hospitals, nursing homes, and schools,” Houston-based Sysco said.
The threat to engage in a multi-site strike is “part of a coordinated national strategy by the IBT aimed at gaining attention and promoting the interest of the union rather than benefiting its local members,” Sysco Executive Vice President and Chief Human Resources Officer Ron Phillips said. “Rather than negotiate responsibly to benefit our Sysco colleagues, the Teamsters have chosen to attack our business, prevent our colleagues from enjoying immediate, substantial wage increases, and harm our communities."
Sysco said it is committed to reaching an agreement that “rewards our Houston colleagues with generous wage increases and improved benefits while balancing the company’s business needs.”
Director of the Teamsters Warehouse Division Tom Erickson said the union is “ready to shut this company down, if that’s what it takes.”
“Teamsters across the country stand with our Houston brothers and sisters. If necessary, we’ll take action to ensure these workers get the same benefits and protections that other Sysco Teamsters have fought for and won,” Erickson said.
The union said that Sysco proposed “minimal raises for workers who already are underpaid and well below other Sysco facilities.”
Additionally, the foodservice distributor rejected the Teamsters’ health care proposal and, instead, urged union members to accept a company plan with high deductibles and poor coverage.
Sysco said the Teamsters’ allegations are “false and misleading” and that it is offering workers “unprecedented” wage increases. In the first year, warehouse employees would have an 8.5 percent wage increase, while delivery partners would have a 9 percent wage increase. Then, over the life of the contract, employees will see wages increase by 20 percent, according to Sysco.
“In addition, this offer would award them additional vacation time, double time for over 60 hours of work, lower health care costs, and receive nearly all other demands made by the union,” Sysco said.
Phillips called on the Teamsters to “negotiate seriously and represent their members.”
The IBT represents more than 10,000 Sysco workers nationwide.