According to Adrian Macias, the union’s secretary, the conflict stems from disagreements over key worker demands. Macias stated that the union wants to ensure the Le Mars employees receive a “very good deal,” as they are “really behind on wages, on certain safety issues, (and) health benefits.” He called the company’s latest offer for its 200 employees “disrespectful,” setting a tense stage for a final round of negotiations scheduled to take place virtually.

The situation is particularly notable given the corporate structure of the plant’s ownership. Kemps is a subsidiary of the Dairy Farmers of America (DFA) cooperative, a major player in the U.S. dairy market. In a statement, Teamsters president Sean O’Brien referred to DFA as a “conglomerate” that controls nearly one-third of the nation’s milk production. This scale of influence adds weight to the union’s actions and puts a spotlight on labor relations within large-scale dairy economics.

The potential strike could impact the production of several key dairy products. The Kemps plant in Le Mars is responsible for producing milk, cottage cheese, cream, sour cream, dips, and ice cream mix. Any halt in operations would have ripple effects on the supply chain for these products. The article also provides a relevant industry context, noting that Kemps took over the plant nearly five years ago after Dean Foods declared bankruptcy and that two other local ice cream plants were sold to Italy-based Ferrero in 2022.