MOORHEAD -- Union workers at American Crystal Sugar Company have approved a new labor contract.

The agreement covers about 1,200 employees at sugar refinery plants in Moorhead, Crookston and East Grand Forks, Minnesota and Hillsboro and Drayton in North Dakota and at storage facilities in Chaska, Minnesota and Mason City, Iowa.

The agreement for members of the Bakery, Confectionary, Tobacco Workers and Grain Millers local includes a 3 percent raise the first four years and a 2.7 percent hike the last year.

The union says it also includes a signing bonus of $2,250. Failed contract negotiations in 2011 ended in a union lockout that lasted two years.