Printer Friendly

Company allowed to reduce wages, 'if necessary.'

In Clayton, MO, the St. Joe Lead Co. announced that it had negotiated a contract with Steelworkers' local 6242 that permits the company to reduce wages by $3 an hour "if deemed necessary for business reasons." Prior to the settlement, which ended an 8-month strike, pay averaged $12.29 an hour, according to the company.

Another provision ended a requirement that employees belong to the union. During the strike, St. Joe had continued to mine some lead, using 130 nonunion salaried employees and some miners who had left the union. At the time of settlement, the local union had 550 members.

Others terms of the contract, which runs to March 31, 1986, included a 33-cent-an-hour wage increase, termination of automatic cost-of-living pay adjustments, and cuts in health benefits. In another change, St. Joe gained the right to hire outside contractors for additional construction and maintenance projects.

A company official said the cost reduction moves were necessitated by flat worldwide demand for lead and domestic regulatiosn that reduced the amount of lead used as additives to gasoline.
COPYRIGHT 1985 U.S. Bureau of Labor Statistics
No portion of this article can be reproduced without the express written permission from the copyright holder.
Copyright 1985 Gale, Cengage Learning. All rights reserved.

Article Details
Printer friendly Cite/link Email Feedback
Publication:Monthly Labor Review
Date:Mar 1, 1985
Words:176
Previous Article:Yale contract comes 20 months after election.
Next Article:Equitable to pay $12.5 million in age bias suit.
Topics:


Related Articles
Steel producer seeks protection under Chapter 11.
What the new family leave law requires from employers.
Utility settlements.
Avoiding double taxation - an employment tax savings opportunity.
Nikkeiren proposes work sharing, wage cuts.
When is a wage not a wage? Reducing an employer's withholding and employment tax liability.
Call for wages formula.

Terms of use | Copyright © 2016 Farlex, Inc. | Feedback | For webmasters