News
Teamsters Battle Corporate Greed
Glenn Gray, a McKesson distribution center worker in Lakeland, Fla., returned to work in October two years after being unlawfully fired in retaliation for standing up for fairness.
McKesson is the nation’s largest wholesale pharmaceutical distributor, raking in $179 billion in revenue last year with a gross profit of $11.4 billion. McKesson CEO John Hammergren is among the highest paid in the world. Hammergren has received more than $500 million in total compensation since becoming CEO—$25 million last year alone.
Gray attended McKesson’s shareholder meeting in 2013 and addressed Hammergren directly. “I’m a 10-year McKesson employee and proud to work for this company,” he said. “However, the compensation is so low at my distribution center in Lakeland, Fla., that a majority of my co-workers cannot afford health care for the families nor contribute even 1 percent to the company’s 401(k) savings plan.”
At that same meeting a majority of voting shareholders rejected Hammergren’s pay package, leading the company to cut his pension by $45 million. Within months, Gray was fired.
Teamsters Fight Back
The Teamsters filed charges with the National Labor Relations Board against the company to stop the worker intimidation and harassment. The union also filed charges to reinstate Gray and another coworker fired for union activity. In November 2014, an administrative law judge ruled that McKesson violated the labor rights of the fired McKesson workers and ordered the company to reinstate them immediately.
“This has been a long and difficult battle at McKesson,” said Ken Wood, International Vice President and President of Local 79, which represents the Lakeland workers. “These workers have stood up to a culture of corporate greed and have fought bravely against threats to their livelihood. Most important, they have kept focused on winning a strong Teamster contract.”
“The Teamsters have led the charge among shareholders calling for greater accountability from McKesson’s board of directors and to end excessive executive pay practices at the company,” said Carin Zelenko, the Director of the Teamsters Capital Strategies Department. “Teamster initiatives approved by shareholders have led to pay and governance changes at McKesson over the years but there is much more work to do.”
“There is power in the union,” Gray said after returning to work. “We have to stay strong and not let McKesson bully or exploit us. There is no reason full-time McKesson employees should qualify for food stamps. It’s time for a fair contract.”