Contract Talks in Review

We try to give you accurate information as quickly as possible. Be aware, there are other documents circulating throughout the plant that were NOT put out by the 979 Bargaining Committee that have many errors on them.
A Report from Your Negotiating Committee to Members of Local 979
Recently, reports of the Negotiations held in Pittsburgh have been circulating within the Plant. These reports are being generated by un-professional and un-authorized personnel receiving inaccurate information. Your negotiating Committee of President Mark Granakis, Grievance Chairman russ Sheffler, and Benefits Coordinator Mike Mormile have presented all the information to the Locals Executive Board and the Department Committeemen. The list below includes some of the Plant issues that were tentatively agreed to pending ratification by the membership of the new Basic Labor Agreement.
1. Improvements to all locker room facilities
2. Improvements to all parking facilities.
3. Improvements to all restroom facilities.
4. Improvements to all lunch facilities.
5. Workforce Commitments within all departments and Plant wide.
6. Agreed-to lists of tools for all Mechanical and Electrical departments.
7. A study to decide if fresh fruit would be helpful to Employees in the summer months.
8. A reimbursement plan for accredited Smoking Sensation classes.
9. Creation of a fitness center at the plant within twenty four months.
10. A positive Leave of Absence Policy for Cleveland Employees.
11. Call-out pay for all Employees.
12. A 50% re-imbursement for rental uniforms to Employees.
13. A much needed improvement to the absenteeism policy.
14. Production Bonus improvements to the Hot Mill and Steel Producing Plans.
This list is but a few of the items your Negotiating Committee has reached tentative agreement with for our Members. Soon you will be receiving your summary from the International Union explaining the Contract in full. Informational meetings will then be held for Members to ask questions pertaining to National Issues as well as Local issues. If you have any questions regarding these issues, please see you Committeemen or one of the members of your negotiating committee at the Union Hall. On the second sheet of this letter you will find some of the tentative changes to our Benefit policies. In Solidarity, Your negotiating thanks you for your patience in this process for a new Labor Agreement.
| CONTRACT CHANGES LU 979 |
| (this document does not contain all the changes in the contract) |
| PAY RATES |
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3/13/2008 |
9/1/2008 |
9/1/2008 |
9/1/2009 |
9/1/2009 |
9/1/2010 |
9/1/2010 |
9/1/2011 |
9/1/2011 |
TOTAL |
| LABOR GRADE |
HR. RATE |
RAISE |
HR.RATE |
RAISE |
HR.RATE |
RAISE |
HR.RATE |
RAISE |
HR.RATE |
RAISE |
| 1. UTILITY TECH. |
$ 16.39 |
$ 1.00 |
$ 17.39 |
$ 0.70 |
$ 18.09 |
$ 0.72 |
$ 18.81 |
$ 0.75 |
$ 19.56 |
$ 3.17 |
| 2. SERVICE TECH. |
$ 18.03 |
$ 1.00 |
$ 19.03 |
$ 0.76 |
$ 19.79 |
$ 0.79 |
$ 20.58 |
$ 0.82 |
$ 21.41 |
$ 3.38 |
| 3. OPERATOR TECH. |
$ 19.94 |
$ 1.00 |
$ 20.94 |
$ 0.84 |
$ 21.78 |
$ 0.87 |
$ 22.65 |
$ 0.91 |
$ 23.55 |
$ 3.61 |
| 4. MAINTENANCE TECH. |
$ 21.03 |
$ 1.00 |
$ 22.03 |
$ 0.88 |
$ 22.91 |
$ 0.92 |
$ 23.83 |
$ 0.95 |
$ 24.78 |
$ 3.75 |
| 5. SENIOR OPR. TECH. |
$ 22.40 |
$ 1.00 |
$ 23.40 |
$ 0.94 |
$ 24.34 |
$ 0.97 |
$ 25.31 |
$ 1.01 |
$ 26.32 |
$ 3.92 |
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| SIGNING BONUS $ 6,000.00 |
| MUST BE ACTIVELY AT WORK |
| IF ON S&A OR WORKER'S COMP WILL RECEIVE IF RETURN TO WORK BY 9-1-09 |
| PROBATIONARY EMPLOYEES WILL RECEIVE BONUS UPON COMPLETING PROBATIONARY PERIOD |
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| PROFIT SHARING |
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3/13/2007 |
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9/1/2008 |
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9/1/2009 |
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9/1/2010 |
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9/1/2011 |
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| ON ALL PROFITS |
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7.5% |
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7.5% |
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7.5% |
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7.5% |
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| BETWEEN $25 &$50 PROFIT/TON |
5% |
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| BETWEEN $50 &$70 PROFIT/TON |
7.5% |
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| OVER $ 70 PER TON PROFIT |
10% |
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| MEDICAL BENEFITS |
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3/13/2007 |
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1/1/2009 |
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| WAIVE COVERAGE |
$2600 ANNUAL |
$3,600 ANNUAL |
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| HEARING AIDS |
NONE |
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$ 1500.00 EACH EAR IN A THREE YEAR PERIOD |
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| MEDICAL LIFETIME MAXIMUM |
5 MILLION |
5 MILLION |
RESET TO MAXIMUM 1-1-2009 |
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| TRANSPLANTS LIFETIME MAX |
1 MILLION |
1 MILLION |
RESET TO MAXIMUM 1-1-2009 |
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WAIVE ALL CO PAYMENTS AND COINSURANCE FOR PREVENTIVE CARE |
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OFFICE VISITS AND RELATED TESTS AND DIAGNOSTIC PROCEDURES |
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| PRESCRIPTION DRUG BENEFITS |
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CO-PAY |
CO-PAY |
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RETAIL * |
MAIL * |
* AT NETWORK PHARMACY ONLY |
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| GENERIC |
$ 10.00 |
$ 20.00 |
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| BRAND NAME |
$ 20.00 |
$ 40.00 |
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| NON-FORMULARY |
$ 30.00 |
$ 60.00 |
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| MAXIMUM NUMBER |
30 |
90 |
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| 1-1-09 ADD ED CLASS OF DRUGS, DIET PILLS WITH DOCTOR AUTH, AND SMOKING CESSATION THERAPIES AT GENERIC COPAYS . |
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| DENTAL BENEFITS |
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3/13/2007 |
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1/1/2009 |
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IN |
OUT OF |
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IN |
OUT OF |
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| ANNUAL INDIVIDUAL |
NETWORK |
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NETWORK |
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| DIAGNOSTICS/PREVENTIVE |
$1,000 |
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$2,000 |
$1,500 |
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| DEDUCTIBLES single/family |
$25/$50 |
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NONE |
$25/$50 |
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| ORAL SURGERY |
80% |
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85% |
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| RESTORATIVE |
80% |
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85% |
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| PERIDONTAL |
80% |
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85% |
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| CROWNS,INLAYS, & ONLAYS |
50% |
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85% |
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| CLEANING AND FILLINGS |
100% |
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100% |
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| ORTHODONTIC LIFETIME |
$1,000 |
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$2,500 |
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| VISION BENEFITS |
| EYE EXAM (EACH TWO YEARS) |
3/13/2007 |
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1/1/2009 |
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1/1/2010 |
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1/1/2011 |
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1/1/2012 |
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| SINGLE |
$ 25.00 |
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$ 50.00 |
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$ 50.00 |
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$ 50.00 |
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$ 50.00 |
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| BIFOCAL |
$ 36.00 |
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$ 55.00 |
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$ 55.00 |
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$ 55.00 |
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$ 55.00 |
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| TRIFOCAL |
$ 46.00 |
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$ 60.00 |
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$ 60.00 |
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$ 60.00 |
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$ 60.00 |
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| LENTICULAR |
$ 72.00 |
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$ 65.00 |
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$ 65.00 |
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$ 65.00 |
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$ 65.00 |
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| CONTACT |
$ 48.00 |
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$ 60.00 |
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$ 60.00 |
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$ 60.00 |
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$ 60.00 |
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| FRAMES |
$ 30.00 |
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$ 85.00 |
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$ 85.00 |
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$ 85.00 |
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$ 85.00 |
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FRAMES UP TO $ 120.00 RETAIL ARE AVAILABLE FOR $ 60.00 IN NETWORK |
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| over |
| SICKNESS & ACCIDENT BENEFITS |
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3/13/2007 |
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9/1/2008 |
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9/1/2009 |
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9/1/2010 |
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9/1/2011 |
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| WEEKLY PERCENT OF BASE PAY |
60% |
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70% |
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70% |
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70% |
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70% |
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| MAXIMUM PER WEEK |
$ 400.00 |
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NO MAX |
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NO MAX |
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NO MAX |
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NO MAX |
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| WEEKLY AMOUNT |
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| 1. UTILITY TECH. |
$ 393.36 |
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$ 486.92 |
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$ 506.52 |
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$ 526.68 |
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$ 547.68 |
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| 2. SERVICE TECH. |
$ 400.00 |
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$ 532.84 |
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$ 554.12 |
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$ 576.24 |
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$ 599.48 |
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| 3. OPERATOR TECH. |
$ 400.00 |
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$ 586.32 |
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$ 609.84 |
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$ 634.20 |
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$ 659.40 |
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| 4. MAINTENANCE TECH. |
$ 400.00 |
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$ 616.84 |
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$ 641.48 |
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$ 667.24 |
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$ 693.84 |
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| 5. SENIOR OPR. TECH. |
$ 400.00 |
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$ 655.20 |
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$ 681.52 |
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$ 708.68 |
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$ 736.96 |
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| BENEFIT DURATION |
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| LESS THAN 2 YEARS SERVICE |
26 WEEKS |
26 WEEKS |
26 WEEKS |
26 WEEKS |
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26 WEEKS |
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| 2 OR MORE YEARS |
52 WEEKS |
52 WEEKS |
52 WEEKS |
52 WEEKS |
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52 WEEKS |
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| OVER 20 YEARS |
52 WEEKS |
104 WEEKS |
104 WEEKS |
104 WEEKS |
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104 WEEKS |
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| BENEFITS BEGIN |
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| ACCIDENT, HOSPITALIZATION, & OUTPATIENT SURGERY PAID ON FIRST DAY |
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| SICKNESS PAID ON EIGHT DAY |
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| VACATIONS |
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WEEKS |
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WEEKS |
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WEEKS |
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WEEKS |
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WEEKS |
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| 1 YEAR BUT LESS THAN 3 |
1 |
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1 |
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1 |
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1 |
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1 |
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| 3 YEARS BUT LESS THAN 8 |
2 |
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2 |
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2 |
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2 |
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2 |
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| 8 YEARS BUT LESS THAN 15 |
3 |
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3 |
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3 |
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3 |
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3 |
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| 15 YEARS BUT LESS THAN 24 |
4 |
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4 |
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4 |
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4 |
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4 |
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| OVER 24 YEARS |
5 |
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5 |
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5 |
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5 |
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5 |
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| VACATION PAY |
| OLD - 40 HRS MULTIPLIED BY BASE PAY OR TWO PERCENT (2%) OF W-2 EARNINGS EXCLUDING PROFIT SHARING |
| Effective 1/1/09 - 40 HRS MULTIPLIED BY REGULAR RATE (BASE + PRO/BONUS) OR 2% OF W-2 EARNINGS EXCLUDING PROFIT SHARING |
| Effective 9/1/08 - TIME OFF ON WORKERS COMP & MILITARY SERVICE WILL BE CREDITED TOWARDS THE 520 HOUR ELIGIBILITY THRESHOLD |
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| PENSION |
| HOURLY CONTRIBUTION WILL INCREASE TO $2.65 ON EFFECTIVE DATE OF AGREEMENT. |
| EMPLOYEE WORKING 40 HRS PER WEEK (2040 ANNUAL) WILL RECEIVE A $100 MONTHLY PENSION |
| EMPLOYEE WORKING 48 HRS PER WEEK (2496 ANNUAL) WILL RECEIVE A $120 MONTHLY PENSION |
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| PENSION ENHANCEMENT PAYMENT $10,000.00 |
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MUST BE A PARTICIPANT OF THE SPT |
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MUST BE 56 YRS OLD BY 9-1-08 & MUST RETIRE AFTER AGE 60 |
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MUST RETIRE ON OR AFTER 1-1-09 AND BEFORE THE END OF THE 2008 BLA |
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| RETIREE LIFE INSURANCE |
| $25,000 FOR RETIREES UNDER AGE 62 |
| FOR RETIREES AGE 62 AND OLDER LIFE INSURANCE WILL INCREASE TO $15,000 ON 1-1-09 WAS $7,500 |
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| RETIREE MEDICAL |
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2008 |
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2009 |
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2010 |
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2011 |
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2012 |
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| MEDICARE ELIGIBLE |
$ 68.00 |
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$ 35.00 |
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$ 35.00 |
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$ 35.00 |
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$ 35.00 |
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| PRE MEDICARE / UNDER 65 |
$ 125.00 |
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$ 70.00 |
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$ 70.00 |
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$ 70.00 |
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$ 70.00 |
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| BEREAVEMENT LEAVE |
| EFFECTIVE 9/1/08 - INCREASE TO 5 SHIFTS FOR PARENT,SIBLING, OR GRANDCHILD |
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| FAMILY MEDICAL LEAVE |
| EFFECTIVE 9/1/08 - SICKNESS & ACCIDENT AND WORKERS COMP TIME OFF WILL NOT BE COUNTED TOWARDS FMLA TIME |
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| This document is from the 979 Bargaining Committee. |
| We try to give you accurate information as quickly as possible. Be aware, there are other documents circulating throughout the plant that were NOT put out by the 979 Bargaining Committee that have many errors on them. |
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Mark Granakis, President
Russ Sheffler, Grievance Chairman
Mike Mormile, Benefits Coordinator |
9/9/08 |
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TENTATIVE AGREEMENT REACHED
Strike Authorization Votes Push Negotiations Forward
The huge majorities who voted to authorize the bargaining committee and the International Union to call a strike if needed provided additional pressure on the company to meet our justified demands for a fair and equitable contract and that pressure put us over the top on Saturday morning.
In nearly round the clock negotiations Thursday and Friday, progress was made, but important issues remained on the table. And then, early Saturday morning, your bargaining committee reached a tentative agreement and voted to recommend that you, the membership, vote to ratify the agreement.
Highlights of the tentative agreement include:
*Wages: 9-1-08: $1 per hour raise; 9-1-09: 4% raise; 9-1-10: 4 % raise;
9-1-11: 4 % raise
*$6000 Signing Bonus
*SPT Pensions: 1-1-09 increase company contribution from $1.80 to $2.65
per hour resulting in approximately $100 per month per year of
service at current SPT rates based on 40 hours per week
*Retiree Health Care: Contributions of $70 per month for pre-Medicare
eligible retirees and $35 per month for Medicare eligible retirees
FIXED FOR THE LIFE OF THE CONTRACT
*S&A: 70% of base wages
*Incentive: Current rates protected
*Profit Sharing: Improved plan that pays beginning with first dollar of U.S.
profits.
*Capital Investment in Our Plants: In this country, at least $3 billion over
the 4 year term of the labor agreement.
These are only the highlights. The Negotiating Committee, including myself, would like to thank you, the members, for your solid commitment, which made this agreement possible.
Summaries will be mailed out along with ballots. Explanation meetings will be scheduled at the Local Union Hall.
Mark Granakis
President, USW Local Union 979
IMPORTANT NOTICE
The Chairman of the Negotiating Committee
has determined that the labor agreement expires on
Monday, September 1, 2008 at 11:59 p.m. Please
work as scheduled.
Mark Granakis
President
USW Local Union 979
USW/ArcelorMittal Negotiating Committee
Membership Update #14
August 26, 2008
IMPORTANT MEETINGS
When: Wednesday 7:30 AM and 7:30 PM
Where: Dave McCall Hall
Progress Lacking: Strike Authorization Votes Wednesday
After more than FOUR MONTHS of attempting to negotiate a fair contract with ArcelorMittal on behalf of our more than 14,000 members and our tens of thousands of retirees, the lack of progress has led to our decision to ask you to give the International and the Bargaining Committee the authority to call a strike if it becomes necessary. (See the other side of this Update for the important issues we have yet to settle.)
The company’s current position does not do justice to our needs and demands, and does not match the pattern set by the U.S. Steel agreement. We have responded that our proposals are fair and justified by our successful struggle to save our industry and return it to profitability.
During this time of unprecedented profitability in the steel industry, we cannot believe that ArcelorMittal honestly thinks that ArcelorMittal Steelworkers are willing to accept anything less than what we deserve. After years of sacrifice, hardship, and uncertainty, we continue to stand by our commitment to bring back a contract that provides the employment security, earnings security, and retirement security that we need and deserve.
It is now more important than ever that we all stand strong and send a unified message to the company that Steelworkers will not back down and will not go away.
Whether we come from former ISG plants, Inland plants, Weirton, or anywhere else, it was through our hard work, unity and solidarity that we secured our jobs, protected our retirees, and built a solid foundation to keep steel jobs in our communities. Now it’s going to require the same commitment and solidarity to achieve the contract we deserve.
Tomorrow, strike authorization votes will be taken at all ArcelorMittal locations. It is critical that all ArcelorMittal Steelworkers give a strong vote to authorize the International and the Bargaining Committee to call a strike if that becomes necessary – and let the Company know that we remain strong and united!
VOTE “YES” TOMORROW!
The Major Issues That We Face
The USW negotiated a 30% reduction in retiree health care premiums at U.S. Steel. We have proposed reasonable retiree premium reductions, yet the Company continues to demand a 39% increase!
As a part of our program to provide health care benefits for those who were left behind when many of our former employers went out of business, we negotiated a VEBA Trust fund into which the Company puts a share of its profits. This fund has successfully provided critical help to those who went before us and built both our Union and our industry. Anticipating future increases in the price of heath care, we are proposing to use this fund to offset cost increases for current and future ArcelorMittal retirees, who have a right to expect that this very profitable company will provide decent health care. Finally, this fund provides an effective safety net for all of us in the case of future catastrophic failure. The Company still has not agreed to a continuation of adequate funding for our trust fund.
Despite an incentive program that has dramatically improved productivity in our plants, the Company continues to demand a new incentive program that would reduce incentives and force us to make new improvements just to get back to our current levels of pay!
After FOUR months of negotiations, we still do not have an agreement on a fair and equitable level of Profit Sharing.
- Capital Investment In Our Plants
We have seen what happens to our plants and our job security when companies do not make the necessary investments in maintaining and improving our facilities. We know that companies come and go, but the long-term viability of our plants is our future. We are demanding that the company commit to capital investment in our plants, and that these investments provide for the security of all of our facilities. This should be to the long-term advantage of the Company as well, yet we still do not have the commitments that we need.
There are other issues that have not been resolved. But these critical problems MUST be addressed in order to secure a fair and equitable contract. Vote YES tomorrow to give your Bargaining Committee the support we need and send a powerful message to the Company that we speak for ALL ArcelorMittal Steelworkers when we demand our fair share of our success.
In solidarity,
Your Bargaining Committee
USW/ArcelorMittal Negotiating Committee
Membership Update #13
August 23, 2008
Negotiations Continue
Your bargaining committee continued to meet this week in Pittsburgh both internally and with ArcelorMittal management. After 15 weeks, we still have dramatic differences with the company in many areas, including investments in our plants, retiree health care and training, among others.
As you may know, last week our brothers and sisters at U.S. Steel reached tentative agreement on a new contract and established a pattern for our industry. They were able to secure significant improvements in many areas, including wages, pensions, healthcare and contract language.
Since that pattern was established at U.S. Steel, we have begun making some progress, but it is not enough. For example, while at U.S. Steel we were able to reduce the retirees’ contribution to healthcare costs by approximately 30%, ArcelorMittal continues in its ill-conceived drive to increase our retirees’ premiums by an average of 39%.
After many years of sacrifice and hard work to keep our mills operating and the steelmaking jobs in our communities, ArcelorMittal needs to get the message once and for all that we are unified and prepared to fight for the fair contract we have earned.
We will not bring a tentative agreement back for a vote without first achieving our goals of employment, earnings and retirement security.
We will continue meeting throughout the weekend and will keep you informed as talks continue.
In solidarity,
Your Bargaining Committee
Steelworkers Increase Wages, Improve Pensions and Benefits in 4-year Agreement with U.S. Steel
Article Brief
The United Steelworkers (USW) announced today that a tentative new 4-year agreement has been reached with U.S. Steel that provides very significant wage, substantial bonus and pension increases and improves benefit programs for active employees and retirees as well as reduces health care premiums for retirees.

Contact: Gerald Dickey, 412-562-2281
PITTSBURGH - The United Steelworkers (USW) announced today that a tentative new 4-year agreement has been reached with U.S. Steel that provides very significant wage, substantial bonus and pension increases and improves benefit programs for active employees and retirees as well as reduces health care premiums for retirees.
"We've gone through some tough times in the steel industry during the last 20 years," said USW International President Leo W. Gerard. "Our union was instrumental in restructuring the industry and this new contract rewards our members for their hard work, improves the living standards of our retirees and the capital investments that will be made in our mills protect our communities far into the future. This contract is the new standard in the industry."
The tentative agreement requires the company to make capital investment in our plants to keep the mills state of the art in order to compete in a global steel market.
With an awareness of the threat of global warming and how it may impact the steel industry, the agreement provides for an "Energy Efficiency and Carbon Emissions Task Force" to protect and benefit the industry and the environment.
In addition to economic issues, many issues involving local working conditions were resolved, including the outsourcing of work that will return to the jurisdiction of USW members.
"This is an historic agreement," said USW International Vice President Tom Conway, who served as the union's chief negotiator. "There are only improvements. No steps back. Our members have worked very hard and deserve everything that we've gained in this round of bargaining. Our union is proud of what we've accomplished."
The local union presidents have approved the tentative agreement and it will be sent to the rank-and-file union members for ratification.
Detailed contract summaries are being prepared and will be mailed to the membership. Explanation meetings will be held by local unions at each plant location and details of the proposal will be withheld until that review by the membership is complete. Ratification will be conducted by mail-in ballot.
The current agreement expires September 1, covering some 16,000 USW members employed at Granite City, Ill.; Gary, East Chicago, Portage, Ind.; Ecorse, Mich.; Braddock, Clairton, West Mifflin and Fairless Hills, Pa.; Fairfield, Ala.; Lorain, Ohio; Keewatin and Mt. Iron, Minn.; and Lone Star, Texas.
USW/ArcelorMittal Negotiating Committee
Membership Update #12
August 8, 2008
NEGOTIATIONS BREAK:
Committee Disappointed with Lack of Progress
After 12 weeks of attempting to negotiate a fair contract with ArcelorMittal on behalf of our more than 14,000 members and our tens of thousands of retirees, the lack of recent progress has led to our decision to recess negotiations.
After waiting for two weeks for the company to respond to our last contract proposal, we finally received a counter offer this week. The company’s offer was inferior to our needs and demands, and our Local Union Presidents unanimously rejected it. We responded that our proposal is fair and is justified by our successful struggle to save our industry and return it to profitability.
During this time of unprecedented profitability in the steel industry, we find it hard to believe that ArcelorMittal honestly thinks our members are willing to accept anything less than what we deserve. After years of sacrifice, hardship, and uncertainty, we will stand by our commitment to bring back a contract that provides the employment security, earnings security, and retirement security we need.
IT IS NOW MORE IMPORTANT THAN EVER THAT WE ALL STAND STRONG IN OUR SOLIDARITY AND SEND A UNIFIED MESSAGE TO THE COMPANY THAT STEELWORKERS WILL NOT BACK DOWN OR GO AWAY.
Whether we come from former ISG plants, Inland plants, Weirton, or anywhere else, it was through our hard work, unity and solidarity that we secured our jobs, protected our retirees, and built a solid foundation to keep steel jobs in our communities. Now it’s going to require the same commitment and solidarity to win the contract we deserve.
Our committee will reassess the situation next week to decide our next steps and will advise you of our options.
YOUR BARGAINING COMMITTEE
On Thursday, February 21st District Director Dave McCall along with Local Union 979 President Mark Granakis and other Local Union Presidents discussed contract talks and what to expect in the new labor agreement. Keep posted for details.
Director Dave McCall, Chair of the Steelworkers Negotiating Committee with ArcelorMittal, and other Union leaders met the membership in Cleveland to get our feedback on what we wanted in the new labor agreement. This was the first time the Negotiating Committee Chair has toured Local Unions before starting contract talks. This was a historic opportunity for members to add input on wages, benefits, and working conditions. McCall said these talks will focus on three major areas: employment security, economic security, and retirement security.
Your Bargaining Committee
May 1, 2008-Pittsburgh
Brothers and Sisters,
Our negotiating committee from all the ArcelorMittal locations met this week with management for the first time since April 10th.
On Monday, the full committee was given a full day's presentation from ArcelorMittal USA's top management on the "State of the company," broken into "flats" and "Longs" (bar and wire.) In short, the company reiterated its position on the type of relationship it wants with our union and expressed its desire to work with our members to solve problems on the shop floor.
Throughout the rest of the week, our local committees met with management counterparts from each facility to present our local issues. Although we are still in the early stages and requesting information, we are hopeful that the spirit or cooperation will continue throughout bargaining and into the future.
Finally, on Thursday, President Leo Gerard addressed our committee and challenged us to bargain an innovative contract to set higher standards for our industry and other USW-represented industries as we look towrard the future.
We are returning to our plants for the week of May 5th and will return to Pittsburgh to continue negotiating on May 12th.
As always, we will do our best to keep you updated and informed and appreciate your continued support and solidarity.
President Granakis
I hope everyone has read the communications updating you on the contract negotiations. I will continue to keep you updated on these talks.
The kick-off for these negotiations took place in Pittsburgh the week ending April 12th. Committees formed during that kick-off week will start to meet and exchange ideas. Initially, this exchange is just among Union members. Hopefully, by the second week of May, we’ll start to give drafts to our company counterparts.
Although I do not expect these negotiations to be easy, I am convinced we will make improvements in contract language as well as in our wages and benefits.
On Thursday, February 21st, District Director Dave McCall, head Union negotiator for the new labor agreement with ArcelorMittal, held two meetings with Local Union 979 members. Similar meetings were held at all other U.S. ArcelorMittal facilities. Not only did this provide our members with a heads up on this year’s contract negotiations, but it also allowed members of the negotiating committee to learn what changes rank and file members would most like to see.
Stressing the profitability of the company, McCall said this is the first time he’ll go to the bargaining table and not have to listen to doom and gloom from the company side of the table.
Since the company frequently fails to address problems until just before contract negotiations, McCall suggested returning to 3 year labor agreements.
979er News
The three major issues these negotiations will address are employment security, economic security, and retirement security.
McCall said employment security requires more than an exchange of information with the Union. The Union must have input into the company’s capital investments and marketing strategies to secure our members’ long term employment security. He said the requirements for the long term viability of each plant will be the first item discussed.
Decision making authority is necessary for employment security since, as McCall pointed out, even ArcelorMittal has a tendency to look at short term gains. While businesses focus on the next quarter, we must be concerned about the long term, making sure the company remains profitable for decades. He said, “Our future and jobs are too important to leave to the short term thinking of managers.”
Protections must be put in the collective bargaining agreement to prevent a bureaucracy that’s getting bigger and bigger from stifling us.
McCall said safety and training are also part of employment security. He said the Union needs more say on manning levels since training and hiring dove tail. He added that forced overtime is unacceptable.
Economic Security
Economic security includes a fair, reasonable annual wage increase. McCall said the threshold in the inflation recognition payment needs to be lowered so members will receive real payments as prices rise.
A number of members suggested jobs they felt should be classified at a higher pay grade.
McCall said while the health coverage is good and needs to be maintained, there should be improvements in S & A, dental, and vision coverage. While many health care plans require employee contributions, McCall asked, “ArcelorMital is a very strong and profitable company. Why should we pay something for health care?” He added that the Union benefits representatives have done a good job of negotiating to keep costs down.
An issue McCall said workers raised in many locations is the need for personal days off. Members also suggested increased vacations, including an extra week for long term employees.
When a member asked McCall about the possibility of a two tier wage system for new hires, he replied “Absolutely, not. It doesn’t make sense.”
Retirement Security
Retirement security includes improvements in our multi-employer pension plan. McCall suggested the new labor agreement could include enhancements – not inducements – for retirement.
When a member asked about adding a company match to employee 401k contributions, McCall said this had also come up at other meetings. He added it’s a bad idea since personal financial circumstances prevent many members from contributing the maximum to their 401k account. Yet, when the company computes the economic cost of this benefit, they list the maximum possible amount of their exposure. So, we are much better off asking for improvements to the Steelworker Pension Trust than asking for a 401k match.
Pointing out that the VEBA not only helps LTV retirees, but also serves as a safety net for ArcelorMittal workers, McCall said it’s important to maintain payments to the VEBA trust. He suggested payments from this fund could be used to guarantee retirees that the dollar amount they contribute for their health coverage remains the same throughout their retirement.
McCall concluded, “We should always want more – especially when we work for a company that is doing well. We are the most competitive in terms of customer satisfaction. If it weren’t for us, they wouldn’t have a company.” While he is optimistic going into these negotiations, he reminded the membership that to bring back the best possible agreement, the negotiators must rely on the support and solidarity of the membership.