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Smithfield Foods Inc.

Food & Drink Weekly • Oct 22, 2007 • BUSINESS BRIEFS ...

Smithfield Foods Inc. last week sued the United Food and Commercial Workers Union, accusing it of using "illegal extortionate pressure" to drive the company out of business unless Smithfield allows the union to exclusively represent some 4,650 workers at its largest pork-processing plant. The unusual action, filed in U.S. District Court in Richmond, Va., was brought under the federal Racketeer Influenced and Corrupt Organization Act. Smithfield, the world's leading pork processor and hog producer, said it sought relief to "hinder future attempts by the union to further damage" its business. The lawsuit accuses the union of "a public smear campaign, frivolous regulatory investigations, the communication of false statements to analysts intended to reduce Smithfield's stock price" and other actions designed to "drive Smithfield out of business unless the company agreed to meet (union) demands against its will."


COPYRIGHT 2007 Informa Economics, Inc. Reproduced with permission of the copyright holder. Further reproduction or distribution is prohibited without permission.
Copyright 2007, Gale Group. All rights reserved. Gale Group is a Thomson Corporation Company.
NOTE: All illustrations and photos have been removed from this article.


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