The Teamsters recently marked the one-year anniversary of the Bigfoot Beverages strike by–weird flex, but okay–throwing a barbecue near the locally-owned, family-founded drinks distributor’s Oregon headquarters. During this entire conflict, striking workers have been guaranteed only $200 per week strike pay, with no results yet, and maybe never.
Now, this isn’t the longest strike by a few miles. Nor is the bargaining unit particularly large, as this contract dispute involves only 240 workers. This Teamsters strike, however, is emblematic of unions doing their best to steer public narrative after reportedly bypassing a member vote on the “Last, Best, & Final Packaged Proposal” from an employer.
The sticking point: The Teamsters made no secret of their overriding motivation, which was Bigfoot Beverages transitioning workers from a defined-benefit pension to a 401(k) plan. Zero indication has surfaced that workers’ accrued pension benefits will cease to exist, and according to IRS guidelines, that shouldn’t happen. Still, the union predictably lobbed fiery allegations that Bigfoot “stripped away our members’ hard-earned pensions” without providing evidence that workers actually lost anything.
The company position: A Bigfoot Beverages press release made clear that the new 401(k) framework would be a generous deal for workers, since it “guarantee[s] 9% of gross pay company contribution with no requirement for an employee.” Thus, these workers aren’t even required to contribute to receive that 9% company contribution.
As Bigfoot explained, the company felt it “important” to allow workers a plan that (1) Vested as soon as workers finished probation, rather than requiring a years-long wait with a pension; (2) Remains portable in the case that workers move to a different company; (3) Doesn’t depend upon future financial soundness of the company; and (4) Allows workers to guide the investment of their own retirement funds with full transparency.
Doesn’t sound awful, right? In fact, this sounds favorable for workers.
The Teamsters kept going, sort of: After six months of no progress, the union tried to call off the strike before declaring that an “illegal lockout” of employees had taken place with the company “refusing to allow Teamsters to return to work.” At that time, a Bigfoot spokesperson confirmed that striking workers were replaced, so that the business could continue. To do so is legal, although certain parameters and job-return guarantees do exist under the NLRA, depending on the reason for the strike.
Also after six months, some union members moved onto jobs elsewhere, where they almost certainly didn’t receive generous 401(k) contributions like those offered by Bigfoot. Those workers have sadly become casualties of union greed, and that’s especially the case if it’s true that the Teamsters didn’t allow workers to vote on that final company offer.
Meanwhile, the Teamsters have filed at least 15 ULP charges against Bigfoot and accused the company of pulling “every dirty trick in the book, including an illegal action claiming they held a vote to disclaim the Union.” Is that true? A local NBC affiliate reported viewing a letter in which Bigfoot stopped recognizing the union. However, that document sourced from a Teamsters picket line, and the outlet could not verify the letter as authentic.
What’s really happening here? The Teamsters have been spouting their rhetoric to paint a portrait of a greedy employer, and workers are losing out. Meanwhile, a small business is doing what’s possible to survive during a long-running strike. Overall, this conflict provides lessons on the damage that unions inflict, both upon employers and the workers whose interests that the unions claim to represent.
