The president of United Steelworkers (USW) Local 6787 is calling a Wall
Street Journal report this week that ArcelorMittal is planning to cut
10,000 jobs a “vicious rumor.”
Paul Gipson told the Chesterton Tribune today that the USW has been
unable to substantiate that report. “We don’t know where they got it from,”
he said. “There’s no facts to it at all.”
As the Associated Press reported on Tuesday, ArcelorMittal did say that it
plans to cut an unspecified number of jobs next year “through attrition and
‘optimization of performance.’” But “that wouldn’t have any impact on the
U.S. at all,” Gipson said. “That’s worldwide. At this point it’s just a
rumor.”
In any case, Gipson noted, in November 2008 Local 6787 negotiated a layoff
minimization plan with the company, after ArcelorMittal, invoking the
Workers Adjustment and Retraining Notification (WARN) Act, announced last
fall the potential layoff of up to 2,444 members of Local 6787. That plan
provided for the voluntary layoff of 490 members at the Burns Harbor
facility, with any retirements counting toward that number, as well as the
placing of as many as 900 workers on 32-hour weeks.
Local 6787 agreed to some other concessions too and Gipson has conceded that
at the time the layoff minimization plan was a hard sell to the membership.
But ArcelorMittal would have to re-negotiate that plan now to implement
further reductions in the workforce at the Burns Harbor facility, he said.
“They would have to let me know.”
In fact Gipson told the Tribune that in July he flatly rejected
further concessions proposed by the company above and beyond those to which
Local 6787 agreed in the layoff minimization plan.
AP also reported that ArcelorMittal is restarting the bar mill at its
Indiana Harbor facility and will either recall or hire 150 to 200 employees
as part of the restart.
ArcelorMittal is the world’s largest steelmaker with operations in more than
60 countries, with 315,867 employees worldwide at the end of 2008 and 36,686
in the U.S.