Steel Mills
USW Says US Steel’s Labor Proposal ‘Falls Very Short’
Written by Laura Miller
August 25, 2022
The United Steelworkers (USW) said the latest collective bargaining labor proposal from United States Steel Corp. “falls very short” of what the union wants.
The proposal is “unacceptable” and has been rejected by the USW bargaining committee, according to an Aug. 24 text sent to USW members.
A US Steel spokeswoman told SMU that its bargaining proposal reflects its belief that when the company does well, its employees also do well. The proposal offers 11% in wage increases over the life of the proposed four-year contract, a $7,000 bonus payment for each USW employee, and no changes to its uncapped profit-sharing program, she said.
The USW remains concerned about other issues. The includes what the union contends is a restricted healthcare network and no increase to pensions despite rising inflation and costs. The USW also said US Steel rejected its proposals on increased time off and parental leave, benefits the union said are already standard for company’s salaried personnel. The union is in addition concerned that US Steel has proposed only $1 billion for capital investments, whereas $2.5 billion was agreed to in the previous contract.
“At this stage in bargaining, a week away from expiration, things could move quickly,” the USW said in an Aug. 25 bargaining update. “Now is the time to stand up and show USS that you strongly support your bargaining committee in this fight!”
US Steel remains optimistic that it will reach an agreement with the USW, the US Steel spokeswoman said.
Labor negotiations are also in progress with Cleveland-Cliffs, and the USW wants to maintain a level playing field in terms of labor costs across the steel companies. “Our USW bargaining committee at US Steel is paying close attention to what’s happening at the Cleveland-Cliffs bargaining table,” the union said.
The USW’s contracts with both US Steel and Cleveland-Cliffs are set to expire on Sept. 1.
By Laura Miller, Laura@SteelMarketUpdate.com
Laura Miller
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