New developments involving Sanderson Farms
Posted/updated on: July 26, 2022 at 1:46 pmWASHINGTON/COLLEGE STATION (AP/Staff) — A couple of major and interlocking developments involving Sanderson Farms, including a reported lawsuit and new leadership. The Justice Department is reportedly filing suit against some of the largest poultry producers in the United States, including Sanderson, which has a strong presence in East Texas. It’s part of an effort to end what the government says are longstanding deceptive and abusive practices for workers. Three people familiar with the matter tell The Associated Press the suit was being filed Monday in Maryland.
The suit names Cargill, Sanderson Farms, and Wayne Farms, along with a data consulting company. The Justice Department alleges the companies have been engaged in a multiyear conspiracy to exchange information about the wages and benefits of poultry plant workers to suppress competition for those workers. The companies haven’t responded to messages seeking comment. Meantime, the sale of Sanderson Farms has been completed to a new private corporation co-owned by Cargill and Wayne Farms, which is a subsidiary of Continental Grain. It wasn’t immediately clear how that move might affect the reported litigation.