Teamsters vote to ratify a 5-year labor agreement with Anheuser-Busch, avoiding strike

Six-packs of Bud Light, Budweiser and Michelob Ultra are displayed at a liquor store, Wednesday, Feb. 28, 2024, in Fairfield, Calif. Budweiser brewer Anheuser-Busch has reached a contract agreement with the Teamsters union that avoids a strike at its U.S. plants. The union had threatened a strike at the brewer’s 12 U.S. plants if an agreement on a new five-year contract wasn’t reached by 11:59 p.m. EST Thursday. (AP Photo/Godofredo A. Vásquez)

Six-packs of Bud Light, Budweiser and Michelob Ultra are displayed at a liquor store, Wednesday, Feb. 28, 2024, in Fairfield, Calif. Budweiser brewer Anheuser-Busch has reached a contract agreement with the Teamsters union that avoids a strike at its U.S. plants. The union had threatened a strike at the brewer’s 12 U.S. plants if an agreement on a new five-year contract wasn’t reached by 11:59 p.m. EST Thursday. (AP Photo/Godofredo A. Vásquez)

ST. LOUIS (AP) — Teamsters working for Budweiser brewer Anheuser-Busch on Tuesday voted to ratify a labor agreement with the company, the union said.

The five-year contract was ratified with 86% support, the Teamsters said.

The deal covers 5,000 unionized employees at Anheuser-Busch, including brewers, packagers, and warehouse workers, and provides wage increases totaling 23% over the life of the contract, plus a $2,500 ratification bonus, the union said. It also improves health care and retirement benefits, and job security, the union said.

The Teamsters had threatened a strike at the brewer’s 12 U.S. plants if an agreement on a new five-year contract wasn’t reached by last week. Before the deadline, the two sides said they had reached a tentative agreement that was put to union members for a ratification vote.

Anheuser-Busch shipments to U.S. wholesalers dropped 13.8% last year, according to Beer Marketer’s Insights. Overall, U.S. beer shipments were down 5%.

The company, part of Belgium-based Anheuser-Busch InBev, brews more than a dozen brands at its U.S. plants, including Budweiser, Bud Light, Michelob Ultra and Stella Artois.

AP Business

Copyright 2024 Nexstar Media Inc. All rights reserved. This material may not be published, broadcast, rewritten, or redistributed AP

Trending on NewsNation