Tentative work agreement reached between United Steelworkers, Cleveland-Cliffs

Company officials with Cleveland-Cliffs say a tentative four-year labor contract has been reached with the United Steelworkers (USW).

According to Cleveland-Cliffs, the contract – once approved – would be effective starting this week, on Sept. 1.

The contract covers workers at the Minorca mine near Virginia, Minn., as well as thousands of other workers across the United States.

Hubbard-owned affiliate WDIO-TV reports the tentative agreement was reached less than a week before the current contract expires, and adds it is the first time Cliffs negotiated as a steelmaker, since it bought ArcelorMittal USA and AK Steel after the previous labor deal was made.

The agreement still needs to be ratified by local USW union members.

Laurenco Goncalves, the President, Chairman and CEO of Cleveland Cliffs, issued the following statement regarding the tentative deal:

“Our employees are the heart and soul of Cleveland-Cliffs. The USW is a partner and an ally, and we look forward to sharing in our future success together. This agreement allows us to do just that, while keeping our cost structure highly competitive.”

Laurenco Goncalves

USW members say the tentative agreement improves wages by more than 20% over the current rates and improves the current health insurance provisions for both workers and retirees. It also includes a commitment for Cliffs to invest $4 billion in USW-represented facilities throughout the four-year term.

USW leaders issued the following statement regarding the agreement:

“Our tentative agreement with Cliffs management recognizes the vital role Steelworkers have played in the company’s success. The proposed contract provides important economic and contract language improvements that will improve working conditions along with the stand of living for USW members and their families.

Our plants will continue to be safer and our jobs and benefits more secure under the proposed agreement. Cliffs has committed to a plan to invest in its USW facilities that will improve production, create sustainable jobs for USW members and ensure success for the company.

Our local union leaders, activists and members have faced challenges in the past and know what it takes to lead the industry through its up and down cycles. We look forward to the future knowing that Cliffs understands that our plants run best when management and our union work together to solve problems for the benefit of everyone.”

David McCall, USW International Vice President of Administration