Costco workers in Norfolk, Virginia, voted “overwhelmingly” Wednesday to unionize with Teamsters Local 822. It’s the union’s first organizing victory at the big-box wholesale retailer in two decades, the Teamsters said in an announcement.
At the Norfolk store, which is located near a major highway junction, and one of only two Costco stores in the Hampton Roads region in Southeastern Virginia, the 238-worker group seeks representation to address years of concerns and improve working conditions.
“This campaign was all about standing together as a group and taking control over our well-being in our workplace,” said Damion Thomas, a front-end cashier at Costco who served on the organizing committee, said in a statement. “We can’t wait to be covered under a strong Teamster contract that will give us a real voice and bring real change to the job.”
In an email, organizers cited safety as a major concern, along with having a voice, on-the-job respect, a fair grievance procedure and respect for seniority as key issues behind seeking union representation. Costco did not immediately respond to a request for comment about the union action on Friday.
In 2022, the Teamsters ratified a first-ever national master agreement for Costco workers. The agreement raised worker pay and employer pension contributions. Employees with union representation also receive higher semi-annual bonuses and a more flexible attendance policy. According to the Teamsters, many Costco workers in Norfolk cited the national contract as a catalyst to organize.
The Teamsters said they currently represent more than 18,000 workers at Costco nationwide. Costco employs about 208,000 people in the U.S. and 316,000 globally. Five percent of the company’s employees have union representation, the company said in its most recent annual report. For the fiscal year ended Sept. 3, the company reported $237.7 billion in annual revenues, an increase of 7%, along with a comparable sales increase of 3%.
Tom Erickson, director of the Teamsters Warehouse Division and Teamsters Central Region International vice president, said the success in Norfolk will reverberate nationally. “Together, as Teamsters, we’ll make sure Costco lives up to the worker-friendly image it likes to project to the public,” Erickson said.