Steelworkers to Vote on Wage Concessions

Local union presidents from Bethlehem Steel Corp. mills in four states today approved a concessionary contract that would cut wages and benefits for 30,000 workers by $1.96 an hour.

The contract, approved by a 20-6 vote, now goes to the rank and file for ratification. The secret ballot is expected after several weeks of union meetings and informational mailings, union officials said.

The agreement would save Bethlehem, the nation’s No. 3 steelmaker, $2.35 an hour when taxes and administrative costs are included. The company says its hourly labor costs are $24.84 with wages, benefits and other costs figured in.

The tentative pact would also eliminate three paid holidays, suspend cost-of-living payments and reduce Sunday premium pay.

Bargainers for Bethlehem and the United Steelworkers on Monday initialed the tentative three-year agreement, which includes a stock and profit-sharing plan intended to recoup the concessions.

The full union bargaining committee, which includes 26 voting members and other local union officers from mills in Pennsylvania, Maryland, New York and Indiana, had to approve any pact before presentation to rank-and-file workers for ratification.