Cargill workers at the centre of a pay dispute in the US have rebuffed a deal struck between the meat giant and union officials.

Staff at the facility in Fort Morgan in Colorado have rejected an agreement reached last week between Cargill and the Teamsters union.

A lockout at the plant started in May after workers turned down a pay offer from the privately owned food major. According to reports, when staff rejected the proposal in May, Cargill closed the plant and shifted processing to other sites in Kansas, Nebraska and Texas.

A sign of a possible breakthrough emerged last week when what Teamsters described as a “tentative agreement” on wages and benefits was reached with Cargill. That deal was then put to a vote of members.

“I can confirm the contract was voted down and the lockout is continuing,” a Teamsters spokesperson said. “We have about 1,700 members at the plant. We stand ready to get back to the bargaining table as soon as possible.”

Cargill said it was “disappointed that employees voted against the union-recommended settlement”.

The company added: “We are evaluating next steps and options and remain open to considering proposals from the union that align with the economic framework previously discussed.”

Neither side would say whether fresh talks were planned.