A Smithfield Foods contract proposal offered to more than 1,400 employees at the company’s Denison, Ia. processing facility was overwhelmingly rejected on Sunday. The announcement was made by the United Food and Commercial Workers' Local 440 in Denison. The Denison plant is part of Smithfield's Farmland Foods unit.
According to the union, 92 percent of employees voted against the company's offer. One of the union’s biggest objections was the company's proposed increases in employees’ costs of health care.
The union also authorized a strike saying it would give Smithfield 72 hours' notice of a strike at the plant. The UFCW did not give Smithfiled a deadline. The UFCW covers some 7,500 workers at other Smithfield facilities, whose contracts are set to expire in the next six months.