Striking Cargill workers in Cedar Rapids face loss of health insurance benefits

Company says workers can extend health insurance after Oct. 31 through COBRA

Cargill strike workers picket line
Striking Cargill workers walk a picket line outside the company's southeast Cedar Rapids corn milling plant Oct. 10. CREDIT RICHARD PRATT

Striking workers at the Cargill corn milling plant in southeast Cedar Rapids say the company plans to cut off employees’ health insurance by the end of this week.

Representatives of Teamsters Local 238 said in a news release that the “cruel decision comes as workers are fighting for fair wages and respect.”

“We’re out here fighting for dignity, and Cargill’s response is to take away health care from our families,” said Joe Kirchhoff, chief steward for Teamsters Local 238. “This isn’t just about pay anymore, it’s about basic human decency.”

In a statement, a Cargill spokesperson said that striking workers have continued to receive their employee health insurance benefits and will continue to do so through Oct. 31. If employees remain on strike after that point, they will be eligible for health insurance benefits through the provisions of the federal Consolidated Omnibus Budget Reconciliation Act, or COBRA.

“Although we have not reached an agreement with the union committee, we remain open and willing to engage in further negotiations,” the statement adds. “We believe Cargill has offered a fair and competitive package … Cargill continues to safely supply high-quality products to our customers.”

Teamsters Local 238 members voted Oct. 1 to authorize the strike after the company’s three-year contract with the Teamsters expired at midnight Sept. 30 without a new contract in place.

Teamsters union organizer Sami Scheetz said that about 100 workers at the corn milling plant are participating in the strike, and that “a vast majority” of those workers voted at a union meeting Oct. 1 to reject a contract offer from Cargill.

Picketers began marching outside the plant Oct. 1 at 6:30 p.m., and plan to maintain a picket line outside the plant around the clock until a new agreement is ratified.

Mr. Scheetz said the union’s differences with Cargill are based on two factors – wages and “respect” from Cargill management.

Union leaders hosted a strike rally Oct. 10 outside the plant, attracting hundreds of supporters and members of other area unions.

A federal mediator was brought in earlier this month to facilitate negotiations between Cargill and the Teamsters Local 238 union, but to date those talks haven’t produced a resolution to the strike. There are no new negotiations scheduled, Mr. Scheetz said.