Smithfield Foods sues labor union, alleging racketeering
Published: Thu, Oct. 18, 2007 12:00AM
Modified Thu, Oct. 18, 2007 06:38AM
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closeSmithfield Foods Inc. says it has filed a civil racketeering lawsuit against the United Food and Commercial Workers union, which, for more than a decade, has waged an outspoken campaign to organize workers at the company's massive hog slaughterhouse in rural North Carolina.
The lawsuit filed in federal court in Richmond, Va., accuses the union of engaging in a public smear campaign that included seeking frivolous regulatory investigations and providing false statements to analysts aimed at depressing the company's stock price.
The suit was filed two days after the Smithfield, Va.-based company called off talks aimed at holding an organizing election at the plant.
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The talks broke down over whether Smithfield would be allowed to lobby workers against voting to join the union. The union rejected the demand, citing Smithfield's meddling in past organizing elections.
Earlier this year, Smithfield agreed to pay $1.1 million to employees it fired during union elections in 1993 and 1997.
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