USW ignores ATI’s ‘final’ offer, vows to continue negotiating
PITTSBURGH – Allegheny Technologies Inc. on Friday said it offered its “last, best and final” contract proposal for more than 2,000 workers at various plants who are represented by the United Steelworkers of America.
The USW, meanwhile, rebuffed the finality of the offer made late Thursday, stating it remains ready to continue negotiating a fair contract.
ATI and the union, whose representation includes about 220 workers at the Allegheny Ludlum plate mill in Canton Township, have been negotiating a new pact since the previous agreement expired June 30.
All union employees are working under the terms of the expired contract.
According to a news release from ATI, its latest proposal includes $4,500 in lump-sum payments and health-care coverage with an employee contribution that it said is about half what the average American worker pays.
According to ATI, its Flat Rolled Products USW-represented employees earn an average of $94,000 annually, making them among the highest paid in the industry.
The company said its proposal for current employees is family coverage starting at $125 per month in the first year of the agreement, increasing annually to $215 per month by the fourth year of the contract, with no proposed changes to dental and vision benefits.
The company said its final offer also includes simplified incentive programs that maintain earnings potential and updates to subcontracting rules to protect core job functions.
ATI said its offer also includes continued retiree health-care benefits with increased funding security for current employees and their families, and makes no changes to the pension plan for active or retired employees hired prior to the June 30 contract expiration date.
Aside from a slight increase in lump-sum payments – up $300 from the last offer – ATI’s proposal Friday was nearly identical to its previous offer.
On July 30, the union rejected a similar contract offer from the company without putting it to a vote by the membership.
In a statement Friday, the USW bargaining committee said it was ready to continue negotiating for a fair agreement.
Negotiations between the two parties come at a time when global prices for stainless steel, one of ATI Flat Rolled Products’ main products, dropped by as much as 30 percent, because of oversupply.
While the union acknowledged the challenges, its leaders said the company is seeking longer workdays and is proposing it be permitted to hire more contractors to perform maintenance in the plants.
“It is unfortunate that the company continues its destructive plan during these talks,” the USW said. “ATI again demonstrated its desire to dictate, not negotiate, the terms of an agreement. Despite this, significant progress has been made since bargaining began.”
“The USW remains committed to reaching a fair agreement, one that works for both sides,” said USW International President Leo W. Gerard. “We reiterated our offer to continue bargaining yesterday.”
“Reaching a sensible solution remains our objective here,” stated USW International Vice President Tom Conway, who heads the union’s negotiating committee at ATI. “This can only be accomplished with good-faith efforts by both sides at the bargaining table.”