The United Steelworkers union is fighting U.S. Steel Corp. on layoffs, and taking a break from negotiations with ArcelorMittal.
The USW won't resume talks with ArcelorMittal until Oct. 25. The union said in an update to members it has made little progress in talks over the past week with the Luxembourg-based steelmaker.
"We have scheduled a brief break in bargaining next week for members of the negotiating committee to return to their locals and engage the USW memberships in important discussions about why we must remain positive and continuously remind all levels of ArcelorMittal management at all locations that we steelworkers are united against the company's persistent concessionary demands," the union said in an update to members.
"We urge ArcelorMittal management to use this time away from the table to consider the uncertainty and strain this unnecessarily long, drawn-out process has already caused – not only for us steelworkers and retirees, our families and communities – but for the stability of the company's relationships with customers, suppliers vendors, investors and the industry as a whole."
ArcelorMittal and U.S. Steel have not commented on specifics in contract negotiations. ArcelorMittal has said it's necessary to cut labor costs in North America, where it says it has been losing money for the last five years when capital investments are factored in.
Imports have flooded in to take a record market share of 31 percent this year, depressing prices and killing profitability. China has been selling steel at a loss of at least $75 a ton across the world, leading other countries to dump their surplus steel here.
U.S. Steel and ArcelorMittal have been asking the union for deep concessions, particularly on health insurance, where they want steelworkers to pay significantly higher out-of-pocket costs.
The USW has been refining its health care proposals and identifying specific differences between ArcelorMittal’s position on health care benefits and its own. The union is calling on ArcelorMittal to bargain in good faith, with a greater sense of urgency.
"Our committee wants to conclude these negotiations and present a tentative agreement that we can be proud to endorse for ratification, but we need ArcelorMittal to join the process with a sense of urgency for that to happen," the union said in an update to members.
"As a union, we have withstood and rejected management’s most vicious economic and noneconomic contract demands by working cooperatively, standing together, sharing information and trusting each other."
The union said it understands the frustration many members may have, since the current contract expanded on Sept. 1.
"We understand and share your frustration," the union said in an update to members. "We also know that this slow pace, this frustration and the unpredictable state of our industry have led to uneasiness and uncertainty in our workplaces and our communities."
The USW says it is doing its best to fight layoffs after U.S. Steel idled its Keetac and Minntac mining plants in the Minnesota Iron Range, and warned of additional layoffs at mills in Ecorse, Mich., and Granite City, Ill. U.S. Steel also announced it would shut down its blast furnace and other operations in Fairfield, Ala.
"While the USW is working hard to save every possible job and ensure that workers are treated with dignity and respect, this is still an extremely difficult time for many USW members and their families," the union said in an update to members.