What specific wage proposal did Cargill make to the Fort Morgan plant workers, and how did it compare to what the union was demanding?

Cargill proposed a five-year contract with a 70-cent-per-hour raise in the first year and a 30-cent raise in the fifth year, calling it a $33.4 million investment in employees; the union, represented by Teamsters Local 455, rejected it and demanded a $1-per-hour raise in the first year and a three-year contract instead, citing industry volatility and rising living costs like gasoline prices.

Why did Cargill implement a lockout at its Fort Morgan beef plant, and what operational changes preceded it?

Cargill implemented the lockout after workers rejected its contract proposal, halting pay for about 1,700 employees; this followed a month-long suspension of cattle slaughtering at the plant since April 23, which the company attributed to the facility's costs exceeding returns and inability to operate 'safely and responsibly amid continued uncertainty of a potential work stoppage.'

Cargill Locks Out 1,700 Workers at US Beef Plant in Labor Dispute

May 20, 2026

Cargill locked out 1,700 workers at its Fort Morgan beef plant following rejected contract terms. The dispute highlights industry tensions as record beef prices clash with shrinking cattle herds and rising operational costs.

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