A statement issued by the Timken Co appears to indicate the company may be open to more contract talks with Steelworkers. A tentative proposal endorsed by leadership of Steelworkers Local 1123 was voted down 917-608.
Mr Salvatore J Miraglia president of Timken Steel Business said that "We'd still like to understand what the issues are to see whether there is any possibility of addressing concerns regarding the package offered. We presented a comprehensive wage and benefit proposal that would reward the operative teams and also ensure labor stability during the five year capital investment program that we were hoping to make here in Stark County."
The company initiated early contract talks, and negotiations began in September after Timken announced it was looking at a USD 225 million upgrade to its Faircrest plant. The investment was contingent upon the company being sure there would be no strike before upgrades were completed sometime in 2014.
Union and Timken negotiators reached a tentative agreement in mid December 2011. The contract in place runs through September 2013; the new contract would have replaced it and run through September 2017.
A number of Steelworkers and union president Mr Joe Hoagland said that a two tier wage and benefit system, initiated by the current contract signed in 2009, was the problem. Steelworkers want the lower tier eliminated.
The company statement said changes would have applied to all bargaining unit employees, including those who have been hired since 2009 contract. Under that contract, wages for new employees average USD 20.67 per hour and move up to the same track as veteran employees after 36 months.
The company said the new contract would have offered base wage increases of 2% in each of the next four years and 3% in the fifth; increases in incentive pay; cost of living adjustments; a USD 2,000 signing bonus; improvements in health care plans (without any change to insurance plans negotiated under the 2009 contract) and, increases in pension benefits.
Timken Steelworkers pay and benefits range from USD 40 to USD 50 per hour and are among the highest paid manufacturing jobs in Stark County.
(Sourced from www.cantonrep.com)
