Second USW Local at Stelco Authorizes Strike as Contract Expiration Nears

The moves comes after USW Local 1005, which represents Stelco’s Hamilton Works, earlier this month authorized a strike, with 96.1% of members voting in favor of the action.

Both votes come ahead of Hamilton, Ontario-based Stelco’s five-year agreement with the USW expiring on June 30.

Lake Erie Works operates a blast furnace and a hot strip mill. The blast furnace at Hamilton Works has long been out of commission. But the mill continues to operate its “Z-line,” which has capacity to produce 470,000 tons of galvanized and galvannealed steel sheet per year.

Recall that a strike authorization does not mean that the union will go on strike. It means that they can if they decide to.

Also remember that if negotiations are continuing, it’s not uncommon for union members to continue to work under the terms of a prior agreement even after that contract has officially expired.

Algoma, another Canadian flat-rolled steelmaker, will see its contract with the USW expire at the end of July. Deals between the USW and US mills don’t expire until Sept. 1.

By Michael Cowden, Michael@SteelMarketUpdate.com