ArcelorMittal USA Idling Indiana Harbor Long Carbon Facility
02/27/2015 - ArcelorMittal will idle its Indiana Harbor Long Carbon (IHLC) facility beginning with the electric arc furnace on 1 March 2015, followed by the rolling mill operation in Q2 2015, pending customer requirements.
Indiana Harbor Long Carbon was first idled in 2009 following the economic recession and was brought back online in 2010 but has been challenged by low utilization, scheduling inefficiencies and high costs. As a result, the facility has incurred losses since 2011.
The company has been negotiating with the United Steelworkers (USW) since mid-November to maintain the rolling mill as an economically viable operation using outsourced billets. It no longer views this option as feasible given the union’s requirement that this change be linked to increased production bonuses at the rolling mill, equivalent to an increase of approximately US$4,000 annually per hourly employee at current production levels.
This development will impact approximately 246 USW-represented employees who the company fully expects to relocate to other ArcelorMittal facilities in Northwest Indiana. It is also working to absorb approximately 58 salaried employees into its Northwest Indiana operations. As a result, it expects the great majority of current IHLC employees to find other opportunities within the company.
However, this decision entails the potentially permanent loss of more than 300 direct jobs as well as indirect jobs associated with the facility.
ArcelorMittal extends its appreciation to its customers. No other ArcelorMittal facilities are affected at this time.
The company has been negotiating with the United Steelworkers (USW) since mid-November to maintain the rolling mill as an economically viable operation using outsourced billets. It no longer views this option as feasible given the union’s requirement that this change be linked to increased production bonuses at the rolling mill, equivalent to an increase of approximately US$4,000 annually per hourly employee at current production levels.
This development will impact approximately 246 USW-represented employees who the company fully expects to relocate to other ArcelorMittal facilities in Northwest Indiana. It is also working to absorb approximately 58 salaried employees into its Northwest Indiana operations. As a result, it expects the great majority of current IHLC employees to find other opportunities within the company.
However, this decision entails the potentially permanent loss of more than 300 direct jobs as well as indirect jobs associated with the facility.
ArcelorMittal extends its appreciation to its customers. No other ArcelorMittal facilities are affected at this time.
