AK Steel (NYSE: AKS) said today that members of United Steelworkers of America (USW) Local 1915 have ratified a new labor agreement with its wholly-owned subsidiary, AK Tube LLC, covering about 100 hourly production and maintainenance employees at its Walbridge, Ohio facility.
“We are pleased that members of Local 1915 have ratified a new, cost competitive labor agreement at our Walbridge tube plant,” said James L. Wainscott, chairman, president and CEO of AK Steel. “This agreement addresses costs and other concerns that our company faces in today’s challenging market conditions.”
Under terms of the new agreement, there will be no wage increases during the first year of the contract. Wage increases are included for the second and third years of the contract. In addition, the agreement includes significant workforce flexibility and healthcare cost-sharing provisions, along with continuation of a gain-sharing plan and a ratification bonus. The new agreement replaces a contract scheduled to expire on January 25, 2009.