Mondelez International has settled its dispute with its workers as the company and the union representing the workers, the Bakery, Confectionery, Tobacco Workers and Grain Millers International Union, signed a new four-year deal.
One importance of this, as far as I’m concerned, is that the supply of Oreo cookies is secured for that period. But what do I know; I’m a sucker for chocolate- and sugar-based junk food.
The deal, however, consists in large part, of
ratification bonuses, hourly wage increases, and a higher company match for 401(k) contributions….
The real importance of the deal is the inclusion of those ratification bonuses. Mondelez isn’t alone in agreeing to these artificial demands, made by unions for no serious reason, but only as an exercise of union strike-based extortion power.
Businesses need to stop being so meek; they need to stop bending over and accepting “ratification bonuses.” The only thing these things do is serve as an incentive for striking again so the unions can collect yet more vig for ending that one. And the next one. And….