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Thousands of Costco Workers Poised to Strike as Contract Deadline Looms

Jacob Shelton January 31, 2025

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Thousands of Costco employees represented by the Teamsters union are preparing to initiate a strike at the stroke of midnight on Saturday, February 1, if a new three-year contract agreement is not reached. The union, which represents 18,000 workers across six states—including California, Washington, Maryland, Virginia, New Jersey, and New York—has been in negotiations with Costco to secure a contract that reflects the company’s significant sales and profit growth.

Costco’s revenue rose 5% to $254 billion in its most recent fiscal year, which ended September 1, with net income doubling since 2019 to $7.36 billion. Union members argue that these financial gains warrant an industry-leading contract that offers fair wages and benefits. On January 20, Teamsters members at Costco voted overwhelmingly in favor of a strike if an agreement wasn’t reached by the contract’s expiration at midnight Friday.

The potential strike could impact less than 10% of Costco’s 617 U.S. stores, as the labor agreement with the Teamsters applies to a minority of locations. Costco employs approximately 219,000 individuals nationwide. The company has emphasized its longstanding positive relationship with the union and commitment to fair employee treatment. In a statement, Costco noted, “We have always treated our employees fairly and well throughout the history of our company.”

As negotiations continue, the outcome remains uncertain. A strike could lead to disruptions in operations at affected stores, potentially impacting both employees and customers.

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