Unformatted text preview: r a few months of industrial anarchy, Monfort closed the
Greeley slaughterhouse and fired all its workers. The days of paternalism were over in Greeley. Ken Monfort was no longer a liberal
Democrat. He had become a pro-business Republican.
In 1982 the slaughterhouse in Greeley reopened without a union, paying wages that had been cut by 40 percent. Former workers were not
offered jobs. Instead Monfort transferred some employees from its Grand Island plant and hired new ones. Although Ken Monfort decided to
follow IBP’s tough policy on labor unions, he strongly resisted the increasing consolidation of the meatpacking industry. During the early
1980s one independent meatpacker after another either went out of business or was purchased by a large corporate rival. In 1983, Monfort
sued Excel — the nation’s second-largest beef processor — to prevent it from acquiring Spencer Beef, the nation’s third-largest beef processor.
Monfort argued that the proposed acquisition would allow Excel to engage in predatory pricing and to reduce competition. A panel of
federal judges ruled in favor of Monfort, but Excel appealed their decision to the U.S. Supreme Court. President Reagan’s Justice Department
submitted a brief...
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This note was uploaded on 02/25/2014 for the course MGMT 120 taught by Professor Litt during the Spring '08 term at UCLA.
- Spring '08