AK Steel Workers OK New Labor Pact
“We are pleased to have reached an agreement at Middletown Works ahead of the expiration date,” said AK Steel chief executive Roger Newport. “The new agreement provides a competitive labor contract that advances the interests of our employees and the company.”
The agreement with Local 1943 of the International Association of Machinists and Aerospace Workers covers 1,730 hourly workers. With 1,260 ballots cast, 967 voted in favor of the agreement, according to the union.
The union said the contract provides for a US$2,500 lump sum payment, a wage increase of 75 cents per hour and a pension increase of 10 cents per hour. The agreement expires in March 2020.
In an update to membership, the union said it had wanted a four-year contract, but compromised on two.
“While we strived for a four-year contract, we felt that AK Steel was not offering enough money to the membership for a four-year contract. With this in mind, the parties have agreed to a two-year contract. This will allow any developments with the steel industry, tariffs and the economy to gain momentum,” the union said.