US Steel and the United Steelworkers of America have ratified a new 5 year labour deal which clears paves the way for US Steel to complete its acquisition of bankrupt National Steel.
The deal was regarded as a milestone as it was the first time that the steelworkers at two integrated steel plants were able to negotiate an agreement that facilitated the merging of their respective entities. It was also a key factor in assisting the courts to approve US Steel’s acquisition of National Steel over AK Steel, who were unable to successfully negotiate a labour agreement.
Although approximately 5700 jobs will be lost through cuts designed to improve productivity, the union was happy with the outcome as it protected the benefits of 19000 active workers. The largest percentage of cuts will affect management and supervisory roles, while generous incentives are being offered to people who volunteer to retire.
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