Teamsters Local 455 members voted Monday to reject a contract offer from Cargill, extending a lockout at a Colorado beef processing plant [1].
The decision leaves approximately 1,700 workers [2] without access to their jobs as the union continues to push for higher wages and improved working conditions. This stalemate persists despite a tentative agreement reached on July 28 [3].
The lockout began on May 20, 2026 [4]. For over two months, the workforce has been sidelined while the union and the employer negotiated terms for a new contract. The most recent vote to reject the company's settlement took place on Aug. 3 [5].
Union representatives said the current offer fails to meet the demands of the membership. A local union spokesperson said, "Our members have spoken. They’re demanding more, and we expect to get back to the table with a better deal" [6].
The rejection has drawn criticism from local government officials who hope for a swift resolution to the labor dispute. A city spokesperson said, "Cargill and the City of Fort Morgan are disappointed that the union rejected the settlement offer" [7].
The dispute centers on the union's desire for a stronger contract to address long-standing concerns regarding pay, and facility conditions. Because the members declined the offer, the plant remains under a lockout status, a tactic where the employer prevents employees from working until an agreement is reached [1].
Both parties have not yet announced a date for the next round of negotiations, though the union said it expects to return to the table to secure a deal that satisfies its members [6].
“Our members have spoken. They’re demanding more, and we expect to get back to the table with a better deal.”
The rejection of the July 28 tentative agreement signals a significant gap between the union's wage expectations and Cargill's offer. With 1,700 workers locked out since May, the economic pressure is mounting for both the employees and the local economy of Fort Morgan. The involvement of city officials suggests that the prolonged shutdown is impacting the broader community, increasing the urgency for a resolution that balances corporate costs with labor demands.
