U.S. Steel lays off some workers, terminates others in Gary

By Andrea Holecek, Times of Northwest Indiana
andrea.holecek@nwi.com

GARY | About 40 U.S. Steel Corp. workers were recently laid off, some permanently, because of problems with a blast furnace, local union officials confirmed Thursday.

The laid off workers had been transferred from the company's Midwest finishing plant to Gary Works in January after being put on layoff status at their home plant two months earlier. About one-third of the workers were on probationary status, union officials said.

During their stint at Gary Works, which ended when they were laid off March 26, the hourly employees drove trucks, worked as laborers and did other support services, said Joe Jarzabkowski, United Steelworkers Local 1014's head grievance officer. The local represents about 2,300 hourly employees working on the "hot" iron and steel making side of the lakefront plant.

"When No. 6 (blast furnace) went down in March, we didn't need those people," Jarzabkowski said Thursday. "They were suppose to be back working in four to six weeks when a furnace goes back up."

The company has been operating three of its blast furnaces, No. 4, No. 6 and No. 14. It's No. 8 furnace has been under repair since September and will be restarted about April 22, Jarzabkowski said.

"It's easier to bring (No.) 8 back up than (No.) 6, so they're working around the clock to get it done," he said. "We'll need the workers then because they (the company) has shifted orders here from the places that are shut down -- Granite City and Great Lakes."

However, the probationary employees on layoff received a letter from the company April 8 informing them they were terminated. Hourly-workers are on probationary status until they complete one year of service. During that time, they aren't eligible for any layoff supplemental pay or benefits.

U.S. Steel spokeswoman Erin DePietro said layoffs and call-backs are determined in accordance with the company's various labor agreements.

"The company is continuing to adjust production across all of our operations -- including our three Northwest Indiana facilities -- to stay in line with customer demand, and we have made adjustments to our work force to match production levels," she said.