Costco union representing 18,000 workers authorizes national strike

A union representing thousands of Costco Employees voted to authorize a strike, paving the way for a work stoppage if the union group and the retailer cannot reach an agreement.

Costco Teamsters, the union that has 18,000 employees for the retailer nationwide, said 85% of members voted in favor of the action. The current contract between the Teamsters and the wholesaler will expire on January 31.

“Greedy Costco executives have less than two weeks to make the right decision,” Teamsters general president Sean M. O’Brien said in a statement. “If they refuse, they will have no one to blame but themselves when our members go on strike.”

A strike could hamper the well-known retailer’s daily operations. It could also impact public opinion toward Costco, known for its positive treatment of workers and, more recently, for its role as an advocate for diversity and inclusion initiatives.

The Teamsters will negotiate one final week with Costco, the union wrote in an article on Sunday. The union held practice pickets in preparation for a possible strike last week in locations including San Diego and Long Island, New York.

The union said in a statement earlier this year that Costco rejected a proposal and called Costco’s counterproposal “insulting,” noting that it did not reflect the company’s “historic financial success” and n offered no improvement in retirement benefits.

“This strike vote is a direct response to Costco’s greed and blatant disregard for the bargaining process,” Tom Erickson, director of the Teamsters’ warehouse division, said in a news release. “Costco claims to treat workers better than the competition, but so far it is not living up to that reputation. Management has less than two weeks to fix this problem – if they don’t, they will will suffer the consequences.”

Costco did not immediately respond to CNBC’s request for comment.