CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 79% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money.
US English

Kellogg’s (K) reaches tentative agreement with union

By Robert Davis

20:58, 17 December 2021

Kellogg's Corn flake factory UK headquarters Trafford park Manchester
Credit: Shutterstock

American food manufacturing company Kellogg Company (K) ended the week on a high note after the company reached a tentative agreement with a union that represents more than 1,400 of its striking workers.

The company announced the agreement on Thursday, which includes increased wages, improved health-care, and retirement benefits.

Kellogg’s stock was up 5% to $65.77 (£49.64) per share after the agreement was announced. The stock cooled off on Friday, but still finished the week up more than 3%.

Agreement details

According to a press release, Kellogg’s agreed to increase pay for all its workers across the board, including cost-of-living adjustments.

The company also said that its cereal plant employees are among the highest paid in the nation, with an average annual salary north of $120,000.

The business also agreed to provide accelerated pathways to receiving “legacy” status, which comes with additional benefits.


16,080.90 Price
+0.500% 1D Chg, %
Long position overnight fee -0.0262%
Short position overnight fee 0.0040%
Overnight fee time 22:00 (UTC)
Spread 7.0


0.68 Price
-0.010% 1D Chg, %
Long position overnight fee -0.0753%
Short position overnight fee 0.0069%
Overnight fee time 22:00 (UTC)
Spread 0.01168


2,004.85 Price
-1.180% 1D Chg, %
Long position overnight fee -0.0198%
Short position overnight fee 0.0116%
Overnight fee time 22:00 (UTC)
Spread 0.50

Oil - Crude

71.41 Price
+2.320% 1D Chg, %
Long position overnight fee -0.0204%
Short position overnight fee -0.0015%
Overnight fee time 22:00 (UTC)
Spread 0.030

All employees will also receive expanded health-care and pension benefits, the company said.

“We value all of our employees,” said Steve Cahillane, Kellogg’s CEO. “They have enabled Kellogg to provide food to Americans for more than 115 years. We are hopeful our employees will vote to ratify this contract and return to work." reached out to the Bakery, Confectionary, Tobacco Workers and Grain Millers union, which represents the striking Kellogg workers, for comment on the agreement but did not immediately receive a reply.

Potential end of a strike

The deal could potentially end a strike that is now more two months old and has affected 1,400 workers at plants in Battle Creek, Michigan; Omaha, Nebraska; Lancaster, Pennsylvania and Memphis, Tennessee.

Kellogg’s said the members will vote on the new agreement on Monday and the company should know the results by early next week.

Read more: US labour market remains strong as job openings increase

Rate this article

The difference between trading assets and CFDs
The main difference between CFD trading and trading assets, such as commodities and stocks, is that you don’t own the underlying asset when you trade on a CFD.
You can still benefit if the market moves in your favour, or make a loss if it moves against you. However, with traditional trading you enter a contract to exchange the legal ownership of the individual shares or the commodities for money, and you own this until you sell it again.
CFDs are leveraged products, which means that you only need to deposit a percentage of the full value of the CFD trade in order to open a position. But with traditional trading, you buy the assets for the full amount. In the UK, there is no stamp duty on CFD trading, but there is when you buy stocks, for example.
CFDs attract overnight costs to hold the trades (unless you use 1-1 leverage), which makes them more suited to short-term trading opportunities. Stocks and commodities are more normally bought and held for longer. You might also pay a broker commission or fees when buying and selling assets direct and you’d need somewhere to store them safely.
Capital Com is an execution-only service provider. The material provided on this website is for information purposes only and should not be understood as an investment advice. Any opinion that may be provided on this page does not constitute a recommendation by Capital Com or its agents. We do not make any representations or warranty on the accuracy or completeness of the information that is provided on this page. If you rely on the information on this page then you do so entirely on your own risk.

Still looking for a broker you can trust?

Join the 570.000+ traders worldwide that chose to trade with

1. Create & verify your account 2. Make your first deposit 3. You’re all set. Start trading