Corporate greed is starving us.

The text reads, "STOP TAKING FOOD OFF OUR PLATES." It is on a green background with a suited arm pulling an apple up with a string. The COC logo is in the bottom lefthand corner.

John,

Are your pockets feeling a little lighter these days? Ours sure are. It seems like the pandemic made everything more expensive, including food. In fact, the cost of food has increased 10.1% on average from May 2021 to May 2022, with take-home groceries increasing by 11.9%.1 But what’s to blame? We’ve heard it all. First it was the pandemic, then increased transportation and manufacturing costs, then the war in Ukraine.2 Some people have even blamed increased wages for working-class Americans.3 But the biggest culprit? 

Corporate greed.

One of the big bads responsible for taking food off our plates is Tyson Foods, one of the largest food production companies in the United States. Tyson Foods has artificially increased prices, far out-tracking inflation and increases in manufacturing costs. The company’s average prices for beef rose nearly 25% since last year, with chicken and pork prices rising 14.4% and 10.8% over the last year, respectively, with some reports saying that Tyson increased its chicken prices by up to 20.1% in recent weeks.4 These increases led Tyson Foods to record nearly double its profits in that same time period, and they’ve even refused to comply with New York Attorney General’s subpoena when she sought information for a meat price gouging probe.5,6 Everyone is paying more for everything, and most price hikes are for no other reason than to deliver higher profit margins to shareholders.

TEll Tyson Foods: Corporate greed is unsustainable! 

The actions by companies like Tyson Foods are hurting all Americans, but especially Black households. Working-class households remain the most vulnerable to economic shocks; due to long-standing racial and economic inequities, Black households are more likely to spend more on basic necessities while also struggling economically and therefore suffer the worst effects of all economic downturns.7,8 Many Black households are forced to choose between food and housing, both essential resources that have been among the hardest hit with increased costs.9 This is inhumane and must stop.

Reporting record profits while people struggle to afford the basic necessities is unsustainable. Even Wall Street agrees; finance experts have voiced concerns about the rapid increase in food prices and believe the model to be unsustainable.10 Why? Food prices are climbing at the fastest pace since 1981.11,12 The cost of eggs, chicken, milk and beef, and fish and seafood have increased by 22.6%, 16.4%, 15%, and 11.9%, respectively, between April 2021 and April 2022. Across the board, food prices rose nearly 11% between May 2021 and May 2022.13 Despite lower manufacturing and transportation costs compared to the beginning of the COVID-19 pandemic, corporations like Tyson Foods have continued to increase their prices and are reporting historic profits while many Americans struggle to put food on the table. The graph below shows how much common food items have increased since last April:

As the graph shows, most of these foods have increased past the point of inflation, but companies like Tyson Foods are using inflation as an excuse to raise prices and gouge their customers for millions of dollars in historic profits. When people are suffering, corporations shouldn’t take advantage of us by bleeding us dry. Due to the increase in necessities like food, Americans are going into credit card debt faster than they have in the last 20 years.14 People shouldn’t have to go into debt to pay for food, especially while corporations like Tyson Foods make record profits. Simply put, corporate greed puts people’s lives at risk.

TELL TYSON FOODS: PUT YOUR CUSTOMERS OVER YOUR PROFITS!

In a society where consumer choice is limited, companies like Tyson Foods have too much power. That’s why we’re demanding that Tyson Foods immediately roll back its prices to pre-pandemic levels and commit to maintaining those prices for the next year. Black communities are struggling with the economic fall-out from the COVID-19 pandemic, and corporate greed only serves to bleed us dry. Tyson Foods must do better. Take action today.

Until justice is real, 
—COC's Tech Accountability Team

 

References: 

  1. Rob Wile, “Food prices soar to 40-year highs, pinching shoppers at groceries and restaurants,” NBC News, June 10, 2022, https://act.colorofchange.org/go/359279?t=9&akid=53498%2E4731121%2EAh8U5o

  2. Holly Ellyatt, “From soaring food prices to social unrest, the fallout from the Russia-Ukraine war could be immense,” CNBC, April 21, 2022, https://act.colorofchange.org/go/359280?t=11&akid=53498%2E4731121%2EAh8U5o

  3. Ines Santos and Luca Goldmansour, “ Blaming Workers, Hiding Profits in Primetime Inflation Coverage,” FAIR, April 21, 2022, https://act.colorofchange.org/go/359281?t=13&akid=53498%2E4731121%2EAh8U5o

  4. Tom Polansek and Deborah Mary Sophia, “Tyson Foods raises annual sales forecast as U.S. meat prices soar,” Reuters, May 9, 2022, https://act.colorofchange.org/go/359282?t=15&akid=53498%2E4731121%2EAh8U5o

  5. “Tyson Foods’ higher meat prices nearly doubles profits,” CNBC, February 7, 2022, https://act.colorofchange.org/go/359283?t=17&akid=53498%2E4731121%2EAh8U5o

  6. Jonathan Stempel, “Tyson Foods refusing to comply with subpoena for meat price gouging probe, NY attorney general says,” Reuters, August 3, 2022, https://act.colorofchange.org/go/359284?t=19&akid=53498%2E4731121%2EAh8U5o

  7. Allison Gaines, “Why Black Families Are Suffering the Worst Effects From Rising Inflation,” Medium, January 26, 2022, https://act.colorofchange.org/go/359285?t=21&akid=53498%2E4731121%2EAh8U5o

  8. Derek Saul, “Black And Hispanic Households Hit Harder By Inflation—On Top Of Economic Inequality Caused By The Pandemic,” Forbes, July 1, 2022, https://act.colorofchange.org/go/359286?t=23&akid=53498%2E4731121%2EAh8U5o

  9. Greg Iacurci, “There is ‘nowhere to hide’ for consumers as inflation hits food, gas, housing,” CNBC, March 10, 2022, https://act.colorofchange.org/go/359287?t=25&akid=53498%2E4731121%2EAh8U5o

  10. More Perfect Union, untitled Twitter thread, June 7, 2022, https://act.colorofchange.org/go/359288?t=27&akid=53498%2E4731121%2EAh8U5o

  11. Jessica Dickler, “Two-thirds of Americans live paycheck to paycheck as inflation continues to climb,” CNBC, May 11, 2022, https://act.colorofchange.org/go/359289?t=29&akid=53498%2E4731121%2EAh8U5o

  12. Kenny Torrella, “Why meat is so expensive right now,” Vox, June 7, 2022, https://act.colorofchange.org/go/359290?t=31&akid=53498%2E4731121%2EAh8U5o

  13. Derek Saul, “Black And Hispanic Households Hit Harder By Inflation—On Top Of Economic Inequality Caused By The Pandemic,” Forbes, July 1, 2022, https://act.colorofchange.org/go/359286?t=33&akid=53498%2E4731121%2EAh8U5o

  14. Jaclyn Peiser, “Credit card debt surges as inflation pushes Americans to borrow more,” Washington Post, August 2, 2022, https://act.colorofchange.org/go/359291?t=35&akid=53498%2E4731121%2EAh8U5o