Iowa, Cargill Inc. reach settlement over contract pork production

Iowa's Attorney General announced a settlement Thursday of a lawsuit over pork production with Cargill, Incorporated. Attorney General Tom Miller says the agreement creates a 10-year deal with Cargill.

He says some of the restrictions in Iowa law in terms of meatpackers being involved in contract production would not be enforced in return for substantial rights given to contract farmers. Miller says the agreement gives a little to both sides in the pork industry.

He says contract production will be here, but along with it will be protection, rights and power for the contract producers. Miller laid out some of the rights that'll now be guaranteed to contract pork producers. Miller says Cargill contract producers will have the right to organize and Cargill will not be able to retaliate or discriminate against them based on their organizations. He says the producers will be able to be whistle blowers without discrimination or retaliation from the company. Miller says the producers will also have the right to disclose the terms of their contracts.

Miller says the agreement was approved by the governor and legislative leaders. He says Cargill will be able to expand in Iowa and he says the state will be better off with this "balance of rights and responsibility and authority." Tom Hayes is the president of Cargill's "Meat Solutions Corporation." He says they look at the agreement as another choice for pork producers in Iowa and he says it allows his company to do contract pork production.

Source: Radio Iowa
calendar icon 20 January 2006
clock icon 2 minute read
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