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Harvester accord focuses on 'job content'.

Harvester accord focuses on "job content'

A new Job Content Protection Program is the centerpiece of a settlement between International Harvester Co. and the United Auto Workers. Under the program, if straight-time hours worked by UAW members in a given product line decline during a 6-month period, the company must reduce overtime hours; return to plants where the union holds representation rights work that had been subcontracted; or compensate workers in training programs at regular straight-time rates.

The 3-year agreement also provides for a 31-cent-an-hour pay increase retroactive to October 1, 1984, and a 2.25-percent increase on October 7, 1985. The provision for automatic quarterly cost-of-living pay adjustments was continued, with up to 13 cents an hour to be diverted from the allowance over the term to bolster the Supplemental Unemployment Benefits (SUB) fund. The 13 cents will be restored to the allowance, without retroactivity, when the total diverted amount matches a $3 million company advance to the fund. Harvester also agreed to advance $9 million into the SUB fund to permit payment of a backlog of benefits. The company will recoup this amount by reducing its normal payment into the fund for each hour worked.

Other terms include restoration of 8 paid days each year that the employees had given up in 1982 to aid the company; liberalization of the profit-sharing plan; and improvements in health care and other insurance.

The accord, which ended a 2-day weekend strike, also provides for employees to retain all benefits and credits if Tenneco's planned purchase of Harvester's farm equipment operations is approved by the Federal Government, and the Harvester operations are merged into Tenneco's J. I. Case unit.
COPYRIGHT 1985 U.S. Bureau of Labor Statistics
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Title Annotation:International Harvester Co.
Author:Ruben, George
Publication:Monthly Labor Review
Date:Apr 1, 1985
Words:277
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