A potential strike involving over 3,000 Tyson Foods workers in Texas may have been avoided as Teamsters Local 577 announced a tentative agreement with the company following weeks of negotiations over wages and benefits.
On June 26, Tyson employees overwhelmingly voted — with a 98% margin — to authorize a strike if talks with the company failed. That vote gave the union strong leverage, culminating in a proposed four-year deal that now awaits final approval from union members.
Highlights of the Tentative Agreement
According to Teamsters Local 577, the proposed contract includes immediate and long-term wage increases, improved benefits, and expanded vacation time:
Wage Increases:
Year one: $4 hourly increase across the board, with retroactive pay for hours worked after the expiration of the previous contract.
Specialized positions will see even higher boosts:
Production heavy skills: $5 increase upon ratification.
Maintenance (Level 7 and above): $4.50 increase upon ratification.
Additional raises include 50 cents in year two, 70 cents in year three, and 90 cents in year four.
Ratification Incentive Bonus:
Workers with 90 days to 1 year of service: $250
1 to 4 years: $500
5 to 10 years: $750
More than 10 years: $1,000
Additional Benefits:
A floating holiday will replace the summer holiday after the 2026 anniversary date.
An enhanced 401(k) plan beginning January 1, 2026, for eligible team members.
A $200 annual tool allowance for PBX Mechanics.
Paid jury duty, regardless of court stipend.
Bereavement leave.
Vacation Time:
One week at six months and again at the first anniversary.
Two weeks after three years.
Four weeks after 10 years.
Health and Welfare:
Benefits to begin on the first day of regular full-time employment.
What’s Next
A vote to ratify the agreement is scheduled for Wednesday, where union members will have the opportunity to approve or reject the deal. If approved, it would mark a significant win for workers at Tyson’s Amarillo facility, reinforcing the power of collective bargaining.
"This is a strong agreement that reflects the dedication and unity of our members," said officials with Teamsters Local 577. "The overwhelming support for a strike vote showed Tyson that our members are serious about securing the pay and benefits they deserve."
