Exxon plays on virus worries in Baytown contract talks
HOUSTON: A union official accused Exxon Mobil Corp of using “scare” tactics and exploiting economic uncertainty caused by the coronavirus pandemic in negotiations with workers at its Baytown, Texas, refinery, allegations the company denied.
Exxon has begun meeting with groups of union-represented employees after rejecting two contract extension proposals from the union, said Ricky Brooks, president of United Steelworkers union local 13-2001, which represents hourly workers at Baytown.
“They’ve begun in-house scare and misinformation meetings, leveraging the uncertainty of COVID-19 to get all of their issues and force the union to forego all of its issues,” Brooks said. “They have held the pattern wages hostage if the union moves to go to the table.”
Exxon spokesman Todd Spitler said the company’s focus was on the safety of its workforce.
“While our goal is to continue to negotiate in good faith to reach an agreement, Exxon Mobil’s primary focus remains the safety and health of our workforce and to do our part to manage the impact of the novel coronavirus in the community,” Spitler said. “We reject these unwarranted claims. One only has to look at current market conditions to realize that this is simply not true.”
Plummeting demand for oil due to the pandemic, coupled with a flood of supply resulting from a Saudi-russia price war, led US oil futures prices to crash 54 per cent in March.
COVID-19 is the disease caused by the new coronavirus. Pattern wages refers to the national pattern agreement reached in January 2019 between the USW International and US refiners that sets wage increases for all Usw-represented workers.
Under the proposal rejected in January, pay was set to go up 3.5 per cent in the first year and 4 per cent in the second year. In the third year, the increase would match the pay hike in the new national agreement the USW will negotiate for oil industry workers with energy companies in January 2022.