Thousands of workers at one of the country’s largest beef processing plants are on the picket line this morning.
3,800 at the JBS plant in Greely, Colorado have walked off the job. Union officials say talks have been underway since July, but note they have hit a stalemate. Workers are calling for better safety protocols, pay, and healthcare costs.
Traders have been watching negotiations closely since contracts there expired last summer, and they warn that plant may never see production again.
“3,800 workers will be displaced as they go on strike, and there’s a lot of talk that plant may not open again. They may just shift and divert slaughter to another facility and they may not ever open this plant, unfortunately,” said Brian Hoops with Midwest Market Solutions.
Hoops says this strike opens the door for JBS to relocate to a state that is considered more business-friendly.
“You hear a lot of businesses moving out of Florida or state of Washington, California, certainly into more tax-friendly states like Texas, Florida. Maybe JBS is looking at this as an opportunity to relocate, like you said, down into Texas. Of course, South Dakota has no income tax, and I believe Missouri is going in that direction as well back in 2027.”
While row crops are expected to see softer impacts, analysts say severe weather of this magnitude will not be as kind to cattle producers.
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President Donald Trump speaks at the World Economic Forum in Davos, addressing SNAP spending, tariff threats against Europe, market reactions, and the upcoming USMCA review.
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