December 25, 2010
USW doesn't reveal voting results, but Titan's Taylor hints at what he is offering
By: Bob Ulrich
The United Steelworkers union (USW) said its members would vote on three Titan Tire Corp. contract offers on Thursday, Dec. 23. There has been no announcement on the outcome of the voting since then.
The members in question work at Titan manufacturing plants located in Bryan, Ohio; Des Moines, Iowa; and Freeport, Ill. Three contracts are required because the respective contract negotiations differ. For example, experienced workers at the Bryan and Freeport plants earn more than their counterparts in Des Moines.
Titan Chairman and CEO Morry Taylor described the contract offers as "final" when I talked with him prior to the vote (see "Titan locks out union as voting looms"). At the time, he gave me some clues as to what he was offering.
He said the wages weren't touched. They weren't raised, but they weren't lowered, either.
Titan also is trying to implement a new second tier wage scale for new hires. The scale will vary plant to plant because it is based on a percentage of the existing wages.
Vacation and holiday pay will all be in effect if the contracts are approved.
Taylor said his contract offers are not based on any other tire manufacturer's contract.
"I don't care what my friends at Bridgestone, Michelin and Goodyear do. I do what we need to do."
Titan Tire, a subsidiary of Titan International Inc., purchased the Freeport farm tire plant from Goodyear Tire & Rubber Co. in 2005, and the Bryan OTR tire plant from Continental Tire the Americas LLC in 2006.
The last contract between the Freeport facility's Local 745 and Titan was four years ago. The agreement included wage and benefit increases, maintenance of health care plans, "and language guaranteeing that products sold by Titan must be manufactured in Freeport or at a sister plant in Des Moines," according to the USW.
The Freeport contract served as a template for the new contract between Bryan Local 890 and Titan, which included "improved contract language," general wage increases in each of the four years, improved health care insurance, more secure pensions and plant closure protection.
The three plants have the capacity to produce nearly 20,000 OTR, farm and industrial tires a day, according to Modern Tire Dealer's latest research.
Taylor is anxiously awaiting the voting results from the USW. "The real thrill will be what they do if they don't (ratify the contracts)," he said.
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Author: Bob Ulrich | Posted @ Saturday, December 25, 2010 10:43 AM
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