Alcoa and the United Steelworkers (USW) have reached a tentative agreement on a new four-year labor contract covering approximately 9,000 Alcoans at the company's 15 master agreement locations.
The new agreement, to be ratified by USW members, addresses key issues identified by both sides during negotiations, which began May 18. The agreement creates a framework that:
-- Improves the competitiveness of the locations within the master agreement.
-- Preserves the standard of living for employees through a competitive wage and benefits package.
-- Includes a new health care plan designed to be more competitive in today's market.
-- Continues to provide health care coverage for retirees but limits the company's long-term liability.
-- Creates a new performance pay program that provides significant rewards for improvements that impact financial measures.
-- Includes programs like skills assessment and worker training to help create a new work environment.
-- Creates mechanisms for joint labor/company initiatives to address public policy issues.
Local unions at all 15 plants are expected to complete their ratification votes shortly after they share details of the agreement with their local membership.