Members of Local 1005 and 8782 eyeball tentative agreement
United Steelworkers Local 1005 has reached a tentative agreement with Bedrock Industries, the American venture capital firm that wants to take over Stelco Inc.
Details of the agreement along with other information about a massive restructuring plan for the steelmaker will be presented to members and retirees at meetings on Wednesday and Thursday.
Workers will vote on the deal June 6, just three days before Justice Herman Wilton-Siegel presides over a “sanction hearing” to decide whether the plan and Bedrock purchase are acceptable to the court. Stelco (or U.S. Steel Canada as it was previously known) has been in court-supervised creditor protection under the
Companies’ Creditors Arrangement Act (CCAA) for more than 2 ½ years. In recent months, a plan was cobbled together between the company, the province and Bedrock that requires collective agreements at both the Hamilton and Lake Erie Stelco plants.
Local 1005 president Gary Howe says the membership vote can’t take place before June 6 because the local’s constitution requires that members have a week to consider tentative agreements brought back by negotiating committees.
Meanwhile, Local 8782 (a) and 8782 (b) in Nanticoke were to have meetings Tuesday and Wednesday to announce details of that local’s tentative deal to members and review the restructuring proposal. The meetings are at the Port Dover Community Centre, 801 George St. There are two sessions Wednesday, at 4:15 p.m. and at 8:15 p.m. A vote will be organized later.
Local 1005 has more than 500 active members with 15,000 pensioners. The 8782 locals have a total of 1,100 members with about 800 retirees. If the judge endorses the plan June 9, Bedrock is expected to become owner of Stelco at the end of June.