Pittsburgh-based U.S. Steel announced this week that it had reached a tentative agreement with the United Steelworkers (USW) in regard to a four-year contract.
The contract would cover an estimated 11,000 employees at US Steel’s domestic flat-rolled facilities, iron ore mining facilities, and applicable tubular operations. While the two parties have reached an agreement, the contract still needs to be ratified.
“We are pleased to have reached a tentative agreement with the USW that supports our unionized workforce while balancing the interests of all our stakeholders towards our ‘Best for All®’ future,” U.S. Steel President and CEO David B. Burritt said. “I appreciate the efforts of both sides to work towards a responsible and mutually beneficial agreement… We leveraged our strong balance sheet to reward union employees with a bonus and strong base wages. We also leveraged our overfunded pension and OPEB plans to support the benefits provided to our employees. The tentative agreement reflects our core belief that when U.S. Steel does well, employees do well.”
The agreement includes a 5 percent base wage increase each year for four years; a $4,000 Essential Worker Appreciation Bonus; a $0.50 per hour increase in retirement contributions; protections against inflation; and a continuation of healthcare coverage and profit sharing.
“This tentative agreement is a textbook example of a responsible contract that meets the needs of our business and our employees and maintains the existing uncapped profit sharing plan that enables our employees to be among the highest paid in the industry,” Barry Melnkovic, U.S. Steel senior vice president and Chief Human Resources Officer, said.