Negotiations Updates

September 18, 2021

New Contract Ratified by BCTGM-Represented Employees

We are pleased to announce that the tentative agreement between Mondelēz International and the BCTGM bargaining committee on new contracts covering employees at the Portland (OR), Richmond (VA) and Chicago (IL) Nabisco bakeries and Aurora (CO), Addison (IL) and Norcross (GA) sales distribution facilities has been ratified by BCTGM-represented employees.

The four-year contracts are retroactive to March 1, 2021 and include a ratification bonus for each employee, hourly wage increases each year of the contract, increased company match to 401(k) contributions, and updates to certain workplace policies. We look forward to welcoming our employees back to work as we transition back to normal operations.

“Our goal has always been to reach agreements that would provide our union-represented colleagues with good wages and competitive benefits, while also positioning our U.S. bakeries and sales distribution facilities for future growth and success,” said Glen Walter, EVP and President, North America, Mondelēz International. “We are pleased that we were able to accomplish that goal with these new contracts and that our colleagues chose to ratify them.  We have a bright future as a snacking leader here in the United States, and our employees at these bakeries and distribution sites play an important part in that future.  We look forward to welcoming back our BCTGM-represented colleagues and returning to normal production and distribution to customers and consumers.” 

The Company has been working with the BCTGM on an orderly process and timeline to bring back BCTGM-represented workers into the bakeries and sales distribution facilities and will be doing so this week. Distribution facility employees will be individually contacted with instructions on when to return, and bakery employees should visit www.Negotiations2021.com to find relevant information for their scheduled return plans.

September 15, 2021

Company and BCTGM Reach Tentative Agreement

We are pleased to announce that we reached a tentative agreement with the BCTGM bargaining committee on new contracts, which has been fully recommended by both parties. Our BCTGM-represented employees at our Portland (OR), Richmond (VA) and Chicago (IL) bakeries and our Aurora (CO), Addison (IL) and Norcross (GA) sales distribution facilities will have the opportunity to vote on ratifying the new contracts in the coming days.

September 8, 2021

Company’s recent Offer for Settlement expired

Yesterday, the Company’s offer to the BCTGM dated August 31, 2021 expired at 11:59pm local time. The Offer for Settlement included no change to healthcare benefits for current employees, a $5,000 ratification bonus per employee, and hourly wage increases each year of the proposed contract term.

We are scheduled to resume in-person bargaining with the BCTGM on September 13-14, 2021. As always, we remain committed to bargaining in good faith to reach new contracts that continue to provide our employees with good wages and competitive benefits, including quality, affordable healthcare, and a 401(k) plan, while also taking steps to update some contract aspects which were written several decades ago.

September 2, 2021

In response to our offer dated August 31, 2021, the BCTGM informed the Company that they are available to meet for continued bargaining on September 13 and 14, 2021. We confirmed our availability on those dates and we remain ready to meet at any time. The Company is committed to continuing to bargain in good faith.

September 2, 2021

Company proposes new offer to BCTGM leadership

The company has shared a new contract offer with the BCTGM leadership.

Our offer to the union includes:

  • No change to healthcare for current employees
  • Ratification bonus of $5,000 per employee
  • Hourly wage increases of $0.60 per year
  • Increase to the Company’s 401k match (from 25% to 50% on first 6% contributed)
  • Increase to the Company-provided Short-Term Disability benefit (two increases over the term)
  • Alternative Work Schedules of 12-hour shifts, alternating 3-4 days per week only on select, high-demand lines in Bakeries
  • For remaining majority of employees on 5x8 schedules: No change to daily overtime (1.5x after 8 hours) or to weekend Premium Pay if you work or have paid time off during the week, including 2x pay on Sunday if not scheduled on Saturday
  • For DSD sites, up to 3 employees to work Tuesday-Saturday schedules to support our customers on weekends and align with many of our other branches in the U.S. who do this today. No other changes proposed to OT or schedules for DSD sites.
  • 4-year term for new contracts
  • Offer expires September 7, 2021

We made this offer as part of our ongoing commitment to bargain in good faith with the BCTGM leadership across our U.S. bakeries and sales distribution facilities to reach new contracts that continue to provide our employees with good wages and competitive benefits, including quality, affordable healthcare, and a 401(k) plan, while also taking steps to modernize some contract aspects which were written several decades ago.

Our employees should have the opportunity to vote, and we encourage them to ask their union leadership to consider this offer before it expires.

August 23, 2021

Mondelēz International Statement on Local BCTGM Union Strikes

We are disappointed by the decision of the local BCTGM unions at our Portland (OR), Richmond (VA) and Chicago (IL) bakeries and our Aurora (CO), Addison (IL) and Norcross (GA) sales distribution facilities to go on strike.

Our goal has been — and continues to be — to bargain in good faith with the BCTGM leadership across our U.S. bakeries and sales distribution facilities to reach new contracts that continue to provide our employees with good wages and competitive benefits, including quality, affordable healthcare, and company-sponsored Enhanced Thrift Investment 401(k) Plan, while also taking steps to modernize some contract aspects which were written several decades ago.

The company’s most recent contract proposals, which were shared with [and rejected by] union leadership during our most recent bargaining sessions with the BCTGM in July, focused on narrowing the issues and setting up our U.S. bakeries for future investment and long-term success.

Our offer to the union committee included:

  • No change to healthcare benefits for current employees (e.g., no employee deductibles, no employee premium contributions)
  • Annual wage increases
  • Ratification bonus
  • Increase to the 401(k) match
  • Increase to the Company-provided Short-Term Disability benefit
  • For Bakeries: Alternative Work Schedules on select high-demand lines, alternating 3-4 days per week, enabling better work/life balance 
  • For Sales Distribution Facilities: Alternative Work Schedules with up to 5 employees in each Branch working a Tuesday – Saturday work schedule 
  • Revised Overtime rules, paying premiums to employees on the 6th and 7th day who work their scheduled hours during the week
  • 4-year term for new contracts

In addition, the offer withdrew a previously introduced proposal that would have allowed the use of temporary employees.

We have activated our robust business continuity plan and are committed to continuing to supply our delicious snacks to retailers and consumers.

Furthermore, the BCTGM negotiations underway for new collective bargaining agreements are separate and distinct from the Atlanta and Fair Lawn bakery closures, which were announced in February and have now been completed.  As we respond to changing consumer needs and snacking growth opportunities, we are focusing our U.S. biscuit operations on strategically located owned-and-operated bakeries on the East Coast, Midwest, and West Coast of the United States. This includes our bakeries in Portland, OR, Richmond, VA and Chicago/Naperville, IL, further supported by U.S.-based external manufacturing. No U.S. jobs went to Mexico related to the Atlanta and Fair Lawn closures.

July 19-23, 2021

Numerous bargaining sessions between the Company and the BCTGM took place over a period of five days. The parties exchanged proposals and engaged in productive dialogue on national economic issues.

July 8, 2021

Negotiations continued today between the Company and the BCTGM. The parties continued productive dialogue and reached tentative agreement on several local issues.

June 4, 2021

This week, the three manufacturing plants and three distribution branches covered by the five expired contracts currently being negotiated between the Company and the BCTGM continued to be open and operating, despite excessive absenteeism. The Company is disappointed by the decision of the local unions in these sites to encourage sickouts. Our goal has been — and continues to be — to bargain in good faith with the BCTGM leadership across our U.S. bakeries and sales distribution facilities to reach new contracts that continue to provide our employees with good wages and competitive benefits, including quality, affordable healthcare, and company-sponsored Enhanced Thrift Investment 401(k) Plan, while also taking steps to modernize some contract aspects which were written several decades ago.

May 31, 2021

The contracts between the BCTGM and Mondelēz Global LLC covering represented workers at three bakeries and three distribution sites expired at 11:59 pm local time.

May 4-13, 2021

Numerous bargaining sessions between the Company and the BCTGM took place over a period of nine days. The parties exchanged proposals and engaged in productive dialogue on both local and national economic issues.

May 4, 2021

Negotiations Begin

Mondelēz Global LLC met with BCTGM leadership to begin formal negotiations to reach mutually beneficial agreements that recognize the contributions of our represented workers. This was the first in what we expect will be a series of bargaining sessions with the BCTGM International. It continues to be important to build our relationship with the BCTGM during these sessions, as we focus on working towards new agreements for the future.

April 14, 2020

Contracts Ratified and Extended

The contracts between the BCTGM and Mondelēz Global LLC covering represented workers at three bakeries and three distribution sites from March 1, 2016, through February 29, 2020, were settled and ratified to cover the time period from March 1, 2016, through February 29, 2020, and extended an additional year through February 28, 2021.The contracts were subsequently extended for an additional three months through May 31, 2021.