Teamsters Secure Victory in Nestlé Purina Strike, Setting New Labor Benchmarks
Over 350 union workers at Nestlé Purina’s Davenport, Iowa plant have ratified a new contract following a 15-week strike, marking a significant labor relations moment for the FMCG industry. Represented by Teamsters Local 238, the workers secured substantial wage increases, improved healthcare contributions, and enhanced workplace conditions—signaling growing momentum in labor negotiations across major CPG manufacturers.
The ratified agreement delivers an immediate $3 hourly wage increase, retroactive to January 1, 2024. Over the life of the five-year contract, wages will climb an additional $6 per hour. Nestlé Purina also agreed to reduce employees’ healthcare contributions and address long-standing concerns regarding working conditions and job protections.
The strike, which began January 14, stemmed from dissatisfaction with what Teamsters described as Nestlé’s “low-ball” initial offer. The conflict generated national attention, especially following the company’s reported profits of $12.6 billion in 2023 and increased executive compensation packages. Teamsters General President Sean M. O’Brien noted the union’s readiness to escalate the dispute, including potential nationwide strike action, had an agreement not been reached.
Nestlé Purina, a key player in the pet care category, had begun outsourcing production during the strike, actions the union viewed as attempts to undercut collective bargaining. The ultimate contract resolution may reshape labor expectations within the wider pet food and FMCG manufacturing sectors, particularly at a time of heightened labor activism and unionization efforts across the U.S.
“This fight captured the attention of our members at every company we represent,” said O’Brien. “The Teamsters are done settling for weak contracts, and this win proves we will hold even the largest multinationals accountable.”
Nestlé Purina’s Iowa facility, which produces popular pet food brands, plays a strategic role in the company’s North American supply chain. The new agreement ensures operational continuity while potentially raising labor standards across the sector.
Contract ratification voting concluded on April 20. Production resumed at the plant following the vote.