It is reported that Timken Co and its main union will resume negotiations on a new contract that would support a USD 225 million expansion of the company's Faircrest Steel Plant near Canton.

The company and the United Steelworkers Local 1123 reached an agreement about two weeks ago that would have guaranteed the expansion, but workers rejected the tentative pact by a wide margin.

The rejected contract would have offered workers pay increases for each of the next four years, a USD 2,000 signing bonus and improvements to health care and retirement plans for entry level workers.

Union leaders said that they believe workers rejected the terms because they wanted the company to offer the same benefits to veteran and new workers.

In December 2011, the state offered USD 19.5 million in tax breaks to Timken to help fund the project. Timken agreed to keep employment levels steady for at least 18 years.

(Sourced from www.cleveland.com)