Tyson Foods to pay frontline workers $50 million in bonuses -Breaking
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© Reuters. FILEPHOTO: An inverted heart sign that says “Thanks, essential workers!” This sign was placed on an overpass in Middletown Connecticut during the COVID-19 outbreak, U.S.A, May 13, 2020. REUTERS/Brian Snyder/File PhotoCHICAGO (Reuters). Tyson Foods (NYSE:) Monday’s announcement by the company indicated that it would pay approximately $50 million in bonuses for year-end to hourly and frontline meatpacking employees starting next month. This is part of a competition to retain and attract workers.
Tyson will offer one-time bonuses to 86,000 employees who meet the eligibility criteria. The company stated that they are based upon tenure and can range from $300 up $700.
The tight labor market, as well as safety concerns raised by the COVID-19 epidemic have made it difficult for U.S. meat processing companies to hire enough workers.
A subcommittee report from the U.S. House of Representatives found that approximately 59,000 workers contracted COVID-19 between January and February at Tyson plants, as well as competitors JBS USA (OTC:), National Beef Packing Company, National Beef Packing Company and WH Group’s Smithfield Foods.
Because meatpacking workers are often in close proximity for extended hours, the industry suffered especially from the pandemic.
Tyson stated that it spent over $500 million on wage hikes and bonuses in the last year for its frontline employees. According to the company, average hourly compensation is $24 per hour. This includes wages and benefits such as medical insurance.
Canada’s Cargill beef plant workers voted last week on a new offer from the company. This was just days ahead of a possible strike.
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