Steel Mills
USW Ratifies Labor Deal with US Steel
Written by David Schollaert
December 20, 2022
US Steel Corp. and the United Steelworkers (USW) union announced on Tuesday they have agreed to a new labor pact after USW members ratified the terms of a new, four-year collective agreement.
The USW-represented employees — roughly 11,0000 across 13 US Steel flat-rolled, iron ore mining, and tubular operations — voted “overwhelmingly” in favor of ratifying the new labor deal. It does not apply to workers at the company’s Big River Steel works in Arkansas, which is a non-union facility.
The new deal features major wage and benefit improvements, said USW International president Thomas Conway.
“We fought back against the company’s schemes to weaken our contract and change our benefits,” Conway said. “As a result, our members have won major economic and contract language improvements that will improve the standard of living of USW members and their families.”
US Steel confirmed the new pact had been ratified, outlining the details of the agreement.
“We are pleased to have reached these agreements with our USW-represented employees,” David Burritt, US Steel president and CEO, said in a news release. “The new agreements balance the needs of our employees, customers, stockholders, and other stakeholders.”
The new labor pact is retroactive to Sept. 1, and runs through Sept. 1, 2026.
It includes a 21% base wage increase, better healthcare with no premiums, as well as improved retirement benefits. It also includes an additional holiday, better vacation benefits, parental leave, and a $4,000 bonus.
“With the new contract ratified, union members will be safer at work and our jobs and benefits more secure than they have been in the past,” said Michael Millsap, USW District 7 director.
The agreement also commits US Steel to make $1 billion in capital investments in its USW-represented facilities over the life of the contract.
By David Schollaert, David@SteelMarketUpdate.com
David Schollaert
Read more from David SchollaertLatest in Steel Mills
Decision on fate of USS/Nippon deal pushed to after elections: Report
The US government’s decision on whether it will block Nippon Steel’s acquisition of U.S. Steel on national security grounds has been pushed until after the November elections.
Cliffs steadfast in commitment to Middletown decarb project
Cleveland-Cliffs Inc. on Monday reiterated its commitment to a major decarbonization project at its Middletown Works in Ohio, despite an earlier report suggesting otherwise.
Nucor expects lower steel prices to drive Q3 earnings decline
Nucor blamed lower steel prices for weaker third-quarter results in earnings guidance released on Tuesday.
SDI guides toward lower Q3 earnings on weaker flat-rolled steel prices
Steel Dynamics Inc. (SDI) expects lower third-quarter earnings on the heels of “meaningfully lower” prices at its flat-rolled steel operations. The Fort Wayne, Ind.-based steelmaker expects Q3’24 earnings of $1.94 to $1.98 per diluted share, according to figures released on Monday. That’s down from $2.72 per share in Q2’24 and down from $3.47 per share in Q3’23.
Stelco shareholders OK $2.5B sale to Cliffs
Stelco shareholders voted overwhelmingly on Monday to OK the $2.5-billion sale of the Canadian flat-rolled steelmaker to Cleveland-Cliffs. Indeed, 99.97% of those who cast ballots voted to approve the deal, according the Hamilton, Ontario-based steelmaker.