Union ratifies U.S. Steel's 4.5 percent wage rise over 3 years (16,000 workers in US plants)

[Omaha Steve]

Source: REUTERS

(Reuters) - Members of United Steelworkers (USW) on Friday ratified a contract with U.S. Steel that gives 16,000 workers at the company's U.S. facilities a 4.5 percent increase in wages over the next three years.

U.S. Steel said the financial impact of the new contracts, including a separate agreement with 1,000 employees at U.S. Steel Tubular Products Inc's Texas facility, would be felt in the third quarter, with a $35 million pre-tax charge for lump sum payments.

USW International Vice President Tom Conway, who led the negotiations for the union, called the agreement fair for workers and retirees, adding that the latter would have their health care benefits protected. "Both sides should be proud of the work they have done," Conway said in a statement.

The USW, which also represents 14,000 steelworkers at 15 ArcelorMittal U.S. facilities, reached a tentative three-year contract with the world's largest steelmaker earlier this month.

FULL story at link.

(Reporting by Braden Reddall in San Francisco; editing by Gunna Dickson)

Read more: Union ratifies U.S. Steel's 4.5 percent wage rise over 3 years

[julian09]

1. They will move to china next year. nt

[aquart]

2. No, they damn well won't.

Fucking ass Reagan offshored our steel and tool and dye industries, making any decision to go to war dependent on whoever had our factories.

Reviving our steel industry is vital to our survival.

[pampango]

3. Apparently USW members do not agree - "...ratified the contract by a margin of about four to one."

The union said in a statement Friday that members ratified the contract by a margin of about four to one.

The union said the contract provides for 4.5 percent in wage increases over the next three years and protects health care benefits for retirees. It covers more than 16,000 workers in Pennsylvania, Alabama, Illinois, Indiana, Michigan, Minnesota, and Ohio.

http://www.washingtonpost.com/business/steelworkers-ratify-3-year-pact-with-us-steel-for-16000-workers/2012/09/28/42625782-09b7-11e2-9eea-333857f6a7bd_story.html

Internationally, U.S. Steel operates facilities in Slovakia (former East Slovakian Iron Works in Košice) and Serbia (former Sartid company with facilities in Smederevo (steel plant, hot and cold mill) and Šabac (tin mill). By the end of January 2012, U.S.Steel sells its loss making Serbian mills outside Belgrade to the Serbian government.

Recently, U.S. Steel added facilities in Texas with the purchase of Lone Star Steel Company, entered a venture in Pittsburg, California with POSCO of South Korea, and purchased Stelco (now U.S. Steel Canada) to expand into the Canadian market, with works in Hamilton and Nanticoke, Ontario.

http://en.wikipedia.org/wiki/U.S._Steel#Facilities

My guess is that US Steel's corporate negotiators waved the "China boogeyman" around during negotiations. Apparently USW did not flinch. Looks like the only international involvement of US Steel is in Slovakia, Serbia and Canada and a joint venture in California with a South Korean company. USW must not have been too afraid that their jobs would go to Slovakia, Serbia or Canada.

[Ash_F]

4. Doesn't sound like much but at least it's not a loss /nt

[mrdmk]

5. If you consider inflation to be running at three percent a year, it is a loss... eom