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Steelworkers Strike American Standard
Oct. 17, 2008 6:24 p.m.
By Jeremy Lydic
SALEM, Ohio Local 1538 of the Steelworkers union employed by American Standard Brands Inc. made good on their threat to strike Friday, hitting the picket line at 1 p.m. "We've basically been forced into this," said Steelworkers representative Mel Sipra. "It's all over what we consider to be unfair labor practices."
The company suspended production after four hours Friday to ensure an orderly and efficient shutdown of operations before the walkout. All employees will be paid for the four hours regardless of scheduled shifts, the company said in a prepared statement.
The plant will reopen Monday for operations, and employees are welcome to report at 8 a.m., regardless of scheduled shifts, the company said. Those who report to work will receive wages and benefits per the company's final contract proposal.
"It is unfortunate that the union has chosen to strike, particularly since the members never had the opportunity to vote on our last, best and final contract proposal," says plant manager Paul Lee. "While the contract does contain some concessions, we believe that overall it is a very fair contract, particularly given the economic difficulties facing everyone today."
The collective bargaining agreement expired Sept. 30. The company's "last, best and final offer" includes wage and benefit concessions. Management gave the union until Oct. 7 to present the offer to its members, then extended the deadline to last Wednesday.
The union declined the offer and requested more time to negotiate. The company responded by saying an impasse had been reached, and that the final contract offer would take effect yesterday.
Labor and management must agree before an impasse can legally take effect, said Joe Holcomb, staff representative from the union's international headquarters.
Union officials didn't put the final offer to a vote, they say, because negotiations weren't complete. Still, they have agreed to a high deductible insurance plan and concessions for new employees, but were waiting for insurance quotes from various companies, he explained.
"They say we are at an impasse, and we say we're not," he said. "There's other economic stuff on the table we're willing to work on."
The concessions sought include a 5% wage reduction, lower contributions to employees' 401(k) plans but an increase in employee health care contributions of 25%. The company also is offering a two-tier profit-sharing plan if the plant achieves specified targets.
American Standard Brands Inc. manufactures plumbing products for bathrooms and kitchens. The company employs 340 hourly workers and a salaried staff of 37.
Copyright 2008 The Business Journal, Youngstown, Ohio.