What Does the JBS Strike Mean to Beef Producers?

Union workers at the JBS packing plant in Greeley, Colo., have gone on strike Monday morning. This is the first walkout at a U.S. beef slaughterhouse since the 1980s.

According to The Colorado Sun and the UFCW Local 7, union workers were picketing early this morning. The workers are calling for higher wages, safer working conditions and respect on the job.

According to a union press release, the unfair labor practice (ULP) strike at the JBS-owned Swift Beef plant was set to start at 5:30 a.m. Monday, March 16.

JBS spokesperson Nikki Richardson says, “This morning, many JBS Greeley team members chose to report to work rather than participate in the strike called by UFCW Local 7, and we expect that number to continue increasing in the days ahead. Our team members want stability, they want to support their families, and they deserved the opportunity to vote on the company’s historic offer — an opportunity the union leadership has denied them. We are paying all team members who come to work, and we are operating the facility to the best of our ability this week.”

The union says workers hoped a recent bargaining session would have led to a breakthrough in negotiations with JBS, but instead JBS sent the workers a clear message that the company is putting profits ahead of its people.

“The Union’s member-led bargaining committee has met more than two dozen times with the company in an effort to reach a mutually agreeable contract. JBS is failing to listen to the 99% of its workers who authorized a ULP strike,” the union says in the release. “The Company needs to give them an offer that takes life saving safety equipment seriously, provides wages which meet the rising cost of living in Colorado and ensures rising health care costs do not consume workers’ wages. The Company committed numerous Unfair Labor Practices which are preventing an agreement. The Company continues to threaten to withhold both a proposed bonus and lump-sum pension payment if workers strike. The Company also retaliated against workers who have stood up for their rights and co-workers.”

The union represents 3,800 workers at the plant.

The Greeley plant did not harvest cattle the week of March 9.

“To ensure continuity for our customers and partners, we are temporarily adjusting production across our network as needed,” Richardson explains. “By utilizing available capacity at other JBS facilities, we can maintain supply, protect the long‑term stability of the beef chain and minimize disruption for consumers and retailers. Our priority is to keep product moving while we work toward a resolution in Greeley.”

She summarizes, “We remain focused on supporting our team members, and any employee who reports for their scheduled shift will have work available and will be paid. We will continue scaling operations this week as more team members return.”

Markets Lack Reaction

Live and feeder cattle futures opened higher on Monday morning. Brad Kooima with Kooima Kooima Varilek says there are a couple of reasons why the market ignored the strike and the biggest are the higher equity markets and lower crude oil. However, he says it is also tied to the fact the strike news was already priced into the market.

Don Close, senior animal protein analyst at Terrain Ag, joined Chip Flory on AgriTalk Thursday, summarizing the strike will increase packer leverage and help reduce negative margins.

He says even with Greeley down, the industry still has excess slaughter capacity.

“Even with Greeley, with the limited cattle supply we’re dealing with, we still have excess slaughter capacity,” he stresses. “It’s going to give way more leverage to the packers, but it will help them shore up their negative margins.”

Close adds the biggest headache to the industry will be additional freight and added shrink from the extra haul to a different plant.

Glynn Tonsor, Kansas State University professor of agricultural economics, agrees with Close. “Any disruption in labor availability has largest impacts on producers operating closest to involved plants. In aggregate, I do not expect large fed cattle price impacts as the industry is operating with excess physical capacity, relative to available cattle supplies.”

From an industrywide standpoint, Close downplays the potential disruption to supply.

“From the industry as a whole, the supply of product going out to meet our demand side of the market should be fine,” he says.

John Nalivka, Sterling Marketing Inc. president, says it is hard to predict the impact on the market.

“We have had Tyson’s closure of Lexington [in Nebraska] and a shift taken off the Amarillo plant [in Texas], tariffs, the current Iran situation and oil back to $100/barrel with little to no impact on the market,” he summarizes. “Supplies are tight and demand is strong. These are the overriding factors impacting this beef market. I would not be comfortable with predicting the impact of an impending strike.”

Hyrum Egbert, Riverbend Meats vice president of strategy, sales, accounting, HR, FSQA, logistics, purchasing and warehousing — who authors the biweekly The Big Bad Beef Packer newsletter, which takes a look at packinghouse truths, trends and tough questions — predicts if Greeley goes dark, even temporarily, the immediate reaction is cattle backup fear.

“A potential strike at JBS Greeley is loud ... but it’s not automatically structural,” he says. “Yes, it’s a big plant. But in 2026, cattle availability is the governor, and packers have already been living in ‘under-utilized capacity’ land for a while.”

Egbert summarizes, “This is likely more of a pricing/psychology event than a true supply collapse ... unless it turns into a long, messy, multi-plant labor domino.”

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