Union Relations

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    IBP currently employs about 700 Bosnian workers. According to United Food and Commercial Workers union business representative Bob Kallenburger, most of these are members of the Local 431. The increased number of Bosnians in the area presents the UFCW with some disadvantages, but in the long run Bosnian union members could be beneficial for the Local 431. The union runs into some problems in dealing with the Bosnians because of cultural differences. The Bosnians who came over from a communist country are often not content with the fact that some workers make more money than other workers do. Many become upset over the amount of money they receive if they go on leave for pregnancy or things of this nature. Kallenburger believes that with more education and a better understanding of the American system problems in dealing with Bosnian union members will be diminished. The Bosnian workforce is highly motivated and more intent on permanent settlement in Waterloo so they are in position to greatly impact IBP, the local UFCW, and the city of Waterloo as a whole. Bosnian workers can be particularly valuable because they provide a steady workforce that is union represented. When it comes time to negotiate with IBP the union will gain the advantage of having experienced workers, rather than a workforce that is constantly changing because of high turnover rates.

    According to Kallenburger, the Local 431 has had a difficult time in keeping the union strong because of IBP's high turnover rate. IBP has been cooperative though in letting the union present their case to new employees. Union representatives usually get 15-30 minutes to talk at new employee orientation sessions. The Local 431 in Waterloo has about 1,200 members that belong to it and about 1,800 bargaining unit employees. Kallenburger, who has been with the Local 431 in Waterloo since 1990, has seen the working relationship with IBP improve since he has been there.

    However, there have been some rocky spots in dealing with the meatpacker. In 1994, when the union contract was up, the Local 431 came close to striking because the two sides could not agree on how much money the employees would make. The contract that was finally accepted in 1994 was a decent contract for the industry. According to Kallenburger it usually takes a company 4-6 contracts to get up to industry standards in terms of pay. In this regard, IBP is not doing as bad as many people would think in terms of paying its employees. In the last 20 years, the pork industry as a whole has undergone a major change. Kallenburger, who worked at the Oscar Meyer plant in Davenport, saw a base rate of $10.69 in 1980. Eighteen years later base rates are now just approaching $10 at the IBP plant in Waterloo. Kallenburger attributes the exploitation of meatpacking workers to the policy of Ronald Reagan in the early 1980s that showed corporations how to manipulate the system. With workers making less money now than they were 20 years ago, one has to wonder if it is time for the government to start regulating the pork industry more carefully.

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