2021 Allegheny Technologies strike
2021 Allegheny Technologies strike | |||
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Date | March 30 – July 13, 2021 (3 months, 1 week and 6 days) | ||
Location | |||
Caused by | Disagreements between union and company over terms of new labor contract | ||
Goals |
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Methods | |||
Resulted in | Union agrees to new labor contract that addresses their original concerns | ||
Parties | |||
The 2021 Allegheny Technologies strike was a
In 2020, ATI was severely affected by the COVID-19 pandemic, with the company reporting over $1 billion in losses for that year. In February of that year, the company's labor contract with the USW (which represented roughly 1,300 employees in nine facilities) expired, but citing the pandemic and a general lack of progress in negotiations for a new contract, the union agreed to extend the expired contract until February 2021. By January of that year, negotiations had resumed, but like before, neither side could come to an agreement, with the main issue concerning the company's health care plan. The company was pushing for workers to pay a monthly premium, while the union was steadfast in objecting to premiums, arguing that adding premiums would negate the pay increase offered in the new contract. Additional issues included concerns over outsourcing and opposition to changes to the company's scheduling and overtime system. On March 5, several days after the extended contract had expired, workers voted to authorize strike action, and on the morning of March 30, they performed a walkout and began picketing.
Over the next few months, the company and union held on-again off-again negotiations, during which time the main point of contention continued to be the health care plan. In late May, federal mediators became involved, by which point the two sides had settled almost all other issues. On July 6, following several days of intense negotiations, the union announced a tentative agreement with the company that included a guarantee of no premiums in the workers' health care plan. Workers voted to accept the agreement on July 13 and returned to work by July 19. The new contract has generally been seen as a win for the union, as it addresses all of the issues they had had with the company's original proposals. At the same time, the union estimates that the strike cost the company millions of dollars, with the company posting a $49.2 million loss for the second quarter of 2021.
Background
In January 2021, the union and company recommenced negotiations, but similar to the previous year, they struggled to come to an agreement.
On March 26, USW announced that the ATI workers would be going on strike over
Course of the strike
As announced, at 7 a.m. on March 30, approximately 1,300 ATI employees at the nine locations performed a walkout.[14][19][20] Immediately following this, they commenced picketing against the company.[11][15] Within the first day of the strike, union representatives claimed that they had made progress in negotiations and were willing to accept a $4,000 payment alongside 11 percent wage increases over the course of the contract, but were still at odds with the company over the terms of the health care policy.[15] On April 14, USW announced that strikers would qualify for COBRA health care through the American Rescue Plan Act once their ATI plans expire at the end of April.[21] On April 19, union and company representatives met for renewed negotiations.[8] By this time, the company stated that they had withdrawn their proposals regarding outsourcing and scheduling, with health care remaining the main point of contention.[8] However, by April 22, the union had rejected the proposal set forth by the company.[22] Following this, the company gave the union an ultimatum, saying that if the union did not accept the company's proposal by April 26, proposals made by the company would "begin to reflect the costs incurred by ATI as a result of the strike".[23] The union still rejected the company's proposal,[24] again citing issues with the company's proposed health care plan.[23] On April 29, about a month into the strike, ATI announced that they had sustained a $7.9 million loss for the first financial quarter of 2021.[25][26][27]
On May 6, USW submitted a counterproposal to the company,
On July 6, after three months on strike, multiple news sources reported that a tentative agreement had been reached between the union and company following several days of negotiations the previous week.[36][37][16] According to a union representative, as part of the agreement, (which had been reached on July 2)[38] union members would not have to pay a monthly insurance premium.[16] At the time of the announcement, voting on accepting the terms of the agreement was scheduled to begin on July 13.[16] That day, union members voted to ratify the deal, with workers returning to their positions July 19.[39][40][41][42] The union did not reveal voting details.[39] With the agreement, the company stated that they intended to be back to full production by September.[43]
Aftermath
The four-year labor contract between ATI and USW was retroactive, starting from March 1, 2021 and running to February 28, 2025.[39] As per the terms of the contract, the workers would receive a three percent annual wage increase starting every March 1.[39] In addition, they would receive a one-time bonus of $4,000 and additional payments of $1,500 on February 1 of 2025 and 2025.[39] Pertaining to the health care, the workers would not have to pay any monthly premium, but in exchange there would be increases to copays and deductibles.[39] Additionally, increases in drug costs would be capped at 3.5 percent annually. A committee was also formed by the union and company with the goal of seeking out ways to keep health care costs low.[39] The contract also contained provisions that the union says protects against outsourcing and addresses other minor issues.[39] The settlement was considered a success for the union, with one representative stating that almost all of the union's demands had been met.[38] The union claimed that ATI lost $100 million, stating that the price of steel had risen to an all-time high during the strike and that the company had been unable to fully capitalize on that.[16] For the second quarter of 2021, ATI reported a loss of $49.2 million.[43]
On July 19, the Pittsburgh Tribune-Review reported on complaints from some union members who contended that the company was withholding the $4,000 bonuses, with the union alleging that the company's actions were "blatantly contrary to our agreement".[44]
See also
Notes
References
- ^ Staub, Colin (March 3, 2022). "The 16 biggest strikes of 2021". Northwest Labor Press. Archived from the original on March 15, 2022. Retrieved March 22, 2022.
- ^ a b c d e f Sabatini, Patricia (March 8, 2021). "USW members authorize strike at Allegheny Technologies". Pittsburgh Post-Gazette. Block Communications. Archived from the original on March 9, 2021. Retrieved September 14, 2021.
- ^ Yerace, Tom (March 1, 2016). "United Steelworkers approve ATI contract". Pittsburgh Tribune-Review. Archived from the original on March 26, 2021. Retrieved September 14, 2021.
- ^ a b Rittmeyer, Brian C. (March 13, 2020). "ATI pauses contract talks with steelworkers union, cites coronavirus impact". Pittsburgh Tribune-Review. Archived from the original on September 14, 2021. Retrieved September 14, 2021.
- ^ Davidson, Tom (January 8, 2020). "Allegheny Technologies seeks tariff exclusion as USW contract talks begin". Pittsburgh Tribune-Review. Archived from the original on September 14, 2021. Retrieved September 14, 2021.
- ^ Thomas, Mary Ann; Rittmeyer, Brian C. (February 28, 2020). "Harrison steelworkers rally ahead of contract's end with Allegheny Technologies". Pittsburgh Tribune-Review. Archived from the original on September 14, 2021. Retrieved September 14, 2021.
- ^ a b Rittmeyer, Brian C. (March 24, 2020). "Allegheny Technologies Inc., steelworkers union agree to 1-year contract extension". Pittsburgh Tribune-Review. Archived from the original on September 14, 2021. Retrieved September 14, 2021.
- ^ a b c d e Glynn, Matt (April 17, 2021). "Striking ATI workers set to resume bargaining with employer". The Buffalo News. Lee Enterprises. Archived from the original on September 14, 2021. Retrieved September 14, 2021.
- ^ a b Lindstrom, Natasha (March 5, 2021). "'We've had enough': 95% of United Steelworkers support striking against ATI". Pittsburgh Tribune-Review. Archived from the original on September 14, 2021. Retrieved September 14, 2021.
- ^ a b c d e Lindstrom, Natasha (March 16, 2021). "On verge of strike, United Steelworkers rally outside ATI's Brackenridge facility". Pittsburgh Tribune-Review. Archived from the original on March 26, 2021. Retrieved September 14, 2021.
- ^ a b c Hoffman, Chris (March 30, 2021). "United Steelworkers Go On Strike At Nine Allegheny Technologies Facilities". KDKA-TV. Archived from the original on March 30, 2021. Retrieved September 14, 2021.
- ^ Lane, Tony (April 12, 2021). "Build solidarity with ATI Steelworkers on strike!". The Militant. 85 (14). Archived from the original on April 4, 2021.
- ^ a b c d e Rittmeyer, Brian C. (March 26, 2021). "United Steelworkers announces strike date at ATI facilities". Pittsburgh Tribune-Review. Archived from the original on March 30, 2021. Retrieved September 14, 2021.
- ^ a b c Sabatini, Patricia (March 30, 2021). "ATI workers go on strike after negotiations break down". Pittsburgh Post-Gazette. Block Communications. Archived from the original on April 6, 2021. Retrieved September 14, 2021.
- ^ a b c Koscinski, Kiley (March 30, 2021). "As Biden Arrives To Propose Investments In American Manufacturing, Steelworkers Are On Strike". WESA. Archived from the original on September 14, 2021. Retrieved September 14, 2021.
- ^ a b c d e Berke, Ben (July 6, 2021). "Steelworkers in New Bedford to vote next week on ending 14-week strike". The Public's Radio. Archived from the original on July 6, 2021. Retrieved September 14, 2021.
- ^ Lewis, C. M. (April 1, 2021). "Citing Unfair Labor Practices, 1,300 Steelworkers Strike in Five States". In These Times. Archived from the original on June 28, 2021. Retrieved September 14, 2021.
- ^ Sabatini, Patricia (March 30, 2021). "ATI to keep operating as workers go on strike". Pittsburgh Post-Gazette. Block Communications. Archived from the original on March 30, 2021. Retrieved September 14, 2021.
- ^ a b Raymond, Alyssa (March 30, 2021). "United Steelworkers go on strike at nine ATI facilities over unfair labor practices". WPXI. Archived from the original on March 30, 2021. Retrieved September 14, 2021.
- ^ Mericle, Julia (March 30, 2021). "Allegheny Technologies Inc. workers go on strike". Pittsburgh Business Times. American City Business Journals. Archived from the original on March 30, 2021. Retrieved September 14, 2021.
- ^ Mericle, Julia (April 14, 2021). "USW updates Allegheny Technologies Inc. workers on strike about health care options". Pittsburgh Business Times. American City Business Journals. Archived from the original on April 14, 2021. Retrieved September 14, 2021.
- ^ Berke, Ben (April 23, 2021). "Steelworkers strike for higher pay in New Bedford, joining 1,300 across northeast". The Public's Radio. Archived from the original on April 23, 2021. Retrieved September 14, 2021.
- ^ a b Mericle, Julia (April 26, 2021). "Ultimatum deadline looms in ATI strike". Pittsburgh Business Times. American City Business Journals. Archived from the original on April 26, 2021. Retrieved September 14, 2021.
- Observer-Reporter. Archivedfrom the original on September 14, 2021. Retrieved September 14, 2021.
- ^ Rittmeyer, Brian C. (April 29, 2021). "ATI announces $7.9M 1st quarter loss as Steelworkers strike continues". Pittsburgh Tribune-Review. Archived from the original on September 14, 2021. Retrieved September 14, 2021.
- ^ Sabatini, Patricia (April 29, 2021). "ATI posts first-quarter loss as USW strike drags on". Pittsburgh Post-Gazette. Block Communications. Archived from the original on April 29, 2021. Retrieved September 14, 2021.
- ^ a b Lennon, Anastasia E. (June 2, 2021). "New Bedford steelworkers enter third month of striking for higher pay, fair contract from company". The Standard-Times. Gannett. Archived from the original on June 2, 2021. Retrieved September 14, 2021.
- ^ Mericle, Julia (May 6, 2021). "USW presents ATI with updated proposal, awaits response". Pittsburgh Business Times. American City Business Journals. Archived from the original on May 7, 2021. Retrieved September 14, 2021.
- ^ Mericle, Julia (May 6, 2021). "ATI turns down USW's latest offer, strike continues". Pittsburgh Business Times. American City Business Journals. Archived from the original on May 7, 2021. Retrieved September 14, 2021.
- ^ Glynn, Matt (May 14, 2021). "ATI, Steelworkers open to involving mediator as strike continues". The Buffalo News. Lee Enterprises. Archived from the original on May 20, 2021. Retrieved September 14, 2021.
- ^ a b Sabatini, Patricia (May 20, 2021). "ATI plans to return to the bargaining table on Friday". Pittsburgh Post-Gazette. Block Communications. Archived from the original on May 21, 2021. Retrieved September 14, 2021.
- ^ Lane, Tony (May 31, 2021). "Striking ATI workers rally in Louisville, Ohio". The Militant. 85 (21). Archived from the original on July 23, 2021.
- ^ a b Rittmeyer, Brian C. (June 10, 2021). "ATI, Steelworkers unable to find agreement on health care as strike drags on". Pittsburgh Tribune-Review. Archived from the original on June 11, 2021. Retrieved September 14, 2021.
- ^ a b Lennon, Anastasia E. (June 23, 2021). "Local unions rally in support of New Bedford steelworkers in third month of strike". The Standard-Times. Gannett. Archived from the original on June 23, 2021. Retrieved September 14, 2021.
- ^ Lane, Tony (July 5, 2021). "Strikers at ATI steel hold rallies, expanded pickets, win more support". The Militant. 85 (26). Archived from the original on July 3, 2021.
- Observer-Reporter. Archivedfrom the original on July 6, 2021. Retrieved September 14, 2021.
- ^ Cassesse, Shelby (July 6, 2021). "Strike Over: Allegheny Technologies, United Steelworkers reach tentative agreement". KDKA. Archived from the original on September 13, 2021. Retrieved September 13, 2021 – via MSN.
- ^ a b Barnes, Jennette (July 7, 2021). "Striking New Bedford Steelworkers Reach Agreement With Allegheny". WCAI. Archived from the original on July 18, 2021. Retrieved September 13, 2021.
- ^ a b c d e f g h Rittmeyer, Brian C. (July 13, 2021). "United Steelworkers ratify new, 4-year contract with ATI, ending strike". Pittsburgh Tribune-Review. Archived from the original on September 14, 2021. Retrieved September 14, 2021.
- ^ Pollitt, Sawyer (July 14, 2021). "USW ratifies contract with ATI, strike ends after 15 weeks". The Scallop. Archived from the original on July 14, 2021. Retrieved September 14, 2021.
- AP News. Associated Press. July 14, 2021. Archivedfrom the original on July 15, 2021. Retrieved September 14, 2021.
- ^ Lane, Tony (July 26, 2021). "Steelworkers at ATI ratify contract, end 3-month strike". The Militant. 85 (29). Archived from the original on August 1, 2021.
- ^ a b Sabatini, Patricia (August 3, 2021). "Hurt by strike, ATI sees losses swell in second quarter". Pittsburgh Post-Gazette. Block Communications. Archived from the original on August 4, 2021. Retrieved September 14, 2021.
- ^ Lindstrom, Natasha (July 19, 2021). "Steelworkers still sparring with ATI as employees return after months-long strike". Pittsburgh Tribune-Review. Archived from the original on July 20, 2021. Retrieved September 13, 2021.