Costco union workers vote to authorize nationwide strike

DENVER, Colo. (KRDO) – Teamsters union members working at Costco locations across the nation have voted to authorize a strike against the retailer unless they reach a deal before the current contract expires on Jan. 31.

According to ABC News, more than 85% of union members voted to hit the picket lines starting Feb. 1.

The union represents over 18,000 Costco workers nationally, who are now set to go on strike at 56 of the company's stores spanning across five states.

According to the union, the strike is fueled by disagreements on fair wages and benefits. In addition, the union said Costco has rejected proposals surrounding seniority pay, paid family leave, bereavement policies, sick time, and safeguards against surveillance.

"Our members have spoken loud and clear – Costco must deliver a fair contract, or they'll be held accountable," Teamsters General President Sean M. O'Brien said in a press release Sunday. “From day one, we’ve told Costco that our members won’t work a day past January 31 without a historic, industry-leading agreement.”

According to the release, Costco recently reported $254 billion in annual revenue and $7.4 billion in net profits, marking a 135% increase since 2018.

"Yet, despite these record gains, the company refuses to meet the Teamsters’ demands for fair wages and benefits that reflect the company’s enormous success," the union said in the release.

Last week, hundreds of Costco Teamsters nationwide organized practice pickets, from California to Washington to Long Island, in preparation for a potential strike.

“We are the backbone of Costco,” Bryan Fields, a Costco worker in Baltimore and member of Teamsters Local 570, said in the release. “We drive its success and generate its profits. We hope the company will step up and do right by us, but if they don’t, that’s on them. The company will be striking itself.”

The strike authorization vote does not necessarily mean employees will strike. According to CNN, the votes are a common tactic used by unions ahead of a contract expiration in hopes of negotiating better terms. In June 2023, 97% of Teamsters voted to authorize a strike at UPS, the union’s largest employer, but just two weeks before the strike deadline, the union reached a deal that averted the strike.