COSTCO TEAMSTERS SUSPEND NATIONAL CONTRACT NEGOTIATIONS

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International Brotherhood of Teamsters

Aug 21, 2024, 19:20 ET

Over 18,000 Teamsters Fight to Hold Costco Accountable, Contract Expires January 31, 2025

WASHINGTON, Aug. 21, 2024 /PRNewswire/ -- Costco Teamsters were forced to suspend negotiations for a new National Master Agreement after the wholesale giant, despite its claims of being pro-union, refused to accept a card check agreement that would make it easier for nonunion Costco workers to join the Teamsters. The current national contract, first negotiated in 2022, is up for renewal and protects more than 18,000 workers across the country. The contract expires January 31, 2025.

Despite Costco's public reputation as a "worker-friendly" company, the wholesaler has undergone a troubling shift in its corporate culture and governance. Increasingly, Costco has been catering to Wall Street shareholders at the expense of workers.

"Costco's so-called 'pro-worker' image is now nothing more than a talking point for investors," said Teamsters General President Sean M. O'Brien. "We are not here for empty rhetoric — we're here to win an industry-leading contract that stops Costco's corporate backsliding and guarantees workers the right to organize with a card-check agreement."

Nationwide, Costco workers face deteriorating working conditions, a trend worsened by the COVID-19 pandemic and shifts in the company's leadership. This decline has driven an increasing number of nonunion Costco workers to start organizing with the Teamsters. Hundreds of Costco workers in Virginia and Washington recently joined the union.

"This is not the Costco I joined 37 years ago. Something has changed, and not for the better," said Christopher Reed, a front-end cashier at Costco's Glen Burnie, Maryland location and a member of Teamsters Local 570. "We can all feel the shift in the corporate culture. Management has become disconnected and dismissive, eroding the appreciation and respect we once had. The top executives have chosen to prioritize corporate shareholders over the very workers who drive this company's success."

Costco is ranked as the 11th largest U.S. corporation on the Fortune 500 and reported $242 billion in revenue and $29.7 billion in annual gross profits in 2023.

"The Teamsters are here to push for a contract that goes above and beyond, ensuring Costco's workers get what they truly deserve," said Tom Erickson, Director of the Teamsters Warehouse Division and Teamsters Central Region International Vice President. "Our national agreement at Costco will put the power back in the hands of the people who built this company."

Founded in 1903, the International Brotherhood of Teamsters represents 1.3 million hardworking people in the U.S., Canada, and Puerto Rico. Visit Teamster.org for more information. Follow us on Twitter @Teamsters and "like" us on Facebook at Facebook.com/teamsters.

Contact:
Daniel Moskowitz, (770) 262-4971
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SOURCE International Brotherhood of Teamsters