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Merry Christmas from Severstal: we want to lay you off!

Brew Editors 8 months ago, December 14, 2009 View Comments

by MARK REUTTER

Union steelworkers at Sparrows Point are reacting with fury to Severstal North America’s proposal to start a permanent jobs reduction program, which was to have included 140 layoffs during Christmas week, according to documents obtained by the Brew.

Following tense negotiations in Cleveland last week, the company backed off its original plan and called for 73 forced layoffs over Christmas, sources said.

By week’s end, the company agreed to study a counterproposal by the United Steelworkers Union for voluntary retirements beginning Christmas week, but would not commit to the plan and kept its options open, according to a Saturday e-mail by John Cirri, president of USWA Local 9477.

The negotiations are part of Severstal’s plan to permanently reduce the unionized workforce at Sparrows Point by about one-third. Initially, this called for 580 job reductions, but this number has increased to 640 terminations by March 2010, according to the Cirri e-mail.

Under Severstal’s proposal, many of the jobs lost by Local 9477 would be contracted out. Indeed, many terminated steelworkers may wind up working at their same jobs, but without the benefit of a union.

Cirri and other USWA officials have vowed to stop excessive contracting out at the mill.

- Regular Brew contributor Mark Reutter can be reached at reuttermark@yahoo.com.

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