![Meat Processors Pay 7.2 Million to Settle Wage-Fixing Case](/images/articles/s/Meat-Processing-Plant-Beef-2.jpg)
The plaintiffs are hourly and salaried beef and pork processing workers, who slaughter, age and help prepare the meat for retail distribution. Ron Brown was employed by Smithfield Farms, Inc. at a pork-processing plant in Iowa. Minka Garmon was employed by National Beef Packing Co. at a beef-processing plant in Georgia. Both plaintiffs were paid an hourly wage and benefits. They claim that since 2014, a group of companies and their subsidiaries (see below) conspired to fix and depress their compensation. Collectively these companies produce approximately 80 percent of the red meat sold in the U.S.
In February 2023, defendants’ lawyers filed a motion to dismiss the complaint. The court, however, held that the plaintiffs had alleged sufficient evidence to pursue their wage-fixing and information exchange claims. As well, the plaintiffs’ lawyers filed an amended complaint that expanded the class, named additional defendants and contained “… more compelling allegations of conspiratorial misconduct.”
More Meat Processing Companies
Those other companies who have not yet settled include Cargill Inc., Cargill Meat Solutions Corp., Hormel Foods Corp., American Foods Group LLC, National Beef Packing Company, Iowa Premium LLC, Smithfield Foods Inc., Smithfield Packaged Meats Corp., Agri Beef Company, Washington Beef LLC, Agri Stats Inc. and Webber, Meng, Sahl and Company Inc.
According to the motion for preliminary approval of the agreement, “The sizable financial recovery alone would render the settlement agreements adequate but the settlement agreements also contain meaningful cooperation terms that will help plaintiffs to prosecute their antitrust claims against the remaining defendants.” Plaintiffs’ attorneys said “the value of an immediate recovery outweighs the mere possibility of future relief after protracted and expensive litigation.” Reuters reported that they could seek a legal-fee award from the settlement fund, but did not specify a range or amount.
READ MORE CALIFORNIA UNPAID WAGES LEGAL NEWS
As part of their settlements, Tyson and JBS are required to provide workers’ compensation data, documents and testimony as the plaintiffs pursue pending claims. The case is Ron Brown et al v JBS USA Food Company et al, U.S. District Court for the District of Colorado, No. 1:22-cv-02946-PAB-STV.