UPDATE: Anheuser-Busch and the teamsters have reached a tentative agreement on a new labor contract, avoiding a possible strike on Friday. The earlier version of this story, before the agreement was announced, is posted below.

ST. LOUIS – A union representing thousands of Anheuser-Busch employees rejected a labor contract offer on Wednesday, setting the stage for a potential strike as soon as Friday.

According to the Teamsters National Negotiating Committee, A-B teamsters authorized a plan in December to strike if negotiations didn’t lead to a new union contract by Feb. 29, 2024. The current contract, representing around 5,000 teamsters nationwide, expires at the end of the month.

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The Teamsters union is hopeful for a new deal that improves wages, protects jobs, and secures stronger health care and benefits.

Union members say that Anheuser-Busch returned with a modified offer on Wednesday, but it didn’t meet their expectations.

“The new offer that Anheuser-Busch put on the table this morning continues to ignore many of the Teamsters’ key issues,” said Teamsters General President Sean M. O’Brien via a Teamsters Facebook post. “They are lowballing workers on wages, they’re not investing enough money in our members’ pensions, and they’ve made no firm commitment on job protections.”

Teamsters are asking for “a formal last, best, and final offer” by Thursday. They claim the brewer has dragged its feet in negotiations.

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“The Teamsters told Anheuser-Busch across the table today that the company is at serious risk of sealing its fate for a strike just as Molson Coors did,” said O’Brien. “Our members aren’t looking for modifications. We are demanding a strong contract.”

In a statement shared with FOX 2 earlier this month, A-B claimed it “has consistently and diligently worked to secure a contract” since September and said it was still negotiating with teamsters. The Teamsters union claimed A-B’s assessment of negotiations to be inaccurate.

Anheuser-Busch is headquartered in St. Louis, employs more than 4,500 people in the St. Louis region, and operates more than 120 facilities nationwide.

A-B owns 12 breweries nationwide, including sites in St. Louis, Los Angeles, Houston and Jacksonville, among others.

AB InBev, the brewery’s parent company, reported $32 billion in gross profits for fiscal year 2023, a four-year high.

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