Steelworkers Taking ATI To Court Over Canceled Insurance Benefits
08/31/2015 - The United Steelworkers union is suing a unit of Allegheny Technologies Inc. (ATI), accusing it of violating a labor agreement by prematurely terminating insurance benefits for 95 office and technical employees.
In an announcement, the Steelworkers said their complaint, filed in federal court against ATI's Allegheny Ludlum unit, alleges that the company ignored a so-called lag-date provision, which would have allowed insurance benefits to continue until 30 November.
ATI locked out roughly 2,200 workers on 15 August after the union let lapse a company-mandated deadline to accept what ATI called its “last, best and final” offer. The employees covered under the lag-date provision belong to Steelworkers Local 1196-1, which represents employees at facilities in Pennsylvania and Massachusetts.
The Steelworkers said insurance agreements with basic steel industry employees typically include lag-date provisions, allowing benefits to continue for a time beyond the expiration of a labor contract.
The Steelworkers said in the announcement that they are suing because the company is refusing to submit the dispute to arbitration, which has been the long-standing procedure for resolving disputes.
ATI locked out roughly 2,200 workers on 15 August after the union let lapse a company-mandated deadline to accept what ATI called its “last, best and final” offer. The employees covered under the lag-date provision belong to Steelworkers Local 1196-1, which represents employees at facilities in Pennsylvania and Massachusetts.
The Steelworkers said insurance agreements with basic steel industry employees typically include lag-date provisions, allowing benefits to continue for a time beyond the expiration of a labor contract.
The Steelworkers said in the announcement that they are suing because the company is refusing to submit the dispute to arbitration, which has been the long-standing procedure for resolving disputes.
