May 7, 2021: USW/ATI Bargaining Bulletin #21

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ATI Wants to Dictate not Bargain in Good Faith

Follow Up Bargaining Report:

When we met with ATI yesterday, the USW presented a proposal that would resolve all outstanding issues. We engaged management at 9 a.m. and reviewed our proposal. Representatives of ATI asked three questions, and the entire meeting lasted less than 30 minutes.

ATI asked for a caucus, and they left the building. We waited until late afternoon when they notified us that they had no response and would not return. Instead of staying at the meeting and discussing the issues (they keep telling us on their website they want us back at work), they went back to their offices and posted on their website that we were further apart, without bargaining without trying to bridge the differences, if any.

Then for a second time late yesterday afternoon, in a separate conversation, ATI once again stated their real underlying motives. They told us one of their main objectives was not about the cost of healthcare, but it was about making sure bargaining unit employees were paying an increased portion of the cost of healthcare.

They didn’t care that we presented offers that would “cap” and guarantee that the company’s cost of healthcare would not increase over the term of the contract. Their goal was, and has been repeated, about the principle of making sure that union members paid a much higher portion of the cost.

Our USW bargaining committee has provided reasonable proposals after proposals and tried to engage ATI in good faith discussions but after months, it still has always been them dictating “their way or no way.” These are the same kinds of antagonistic attitudes and unlawful practices they showed in bargaining during 2015 and 2016.

The rhetoric, half-truths and in some cases outright lies we read on their website are desperate attempts to weaken our solidarity and confuse the public. It’s worth repeating that every one of ATI’s proposals since the beginning of bargaining has had the following opening statement:

“The wage increases and lump sum payments proposed below are based upon savings generated from other proposals contained herein and are not available independent of those proposals.”

The bargaining committee has recognized from the start of bargaining, after going without a wage increase since 2014, ATI was not offering any economic gain for USW members, unless union members agreed to concessions in other areas of the contract. This is unacceptable not as ATI says “a very generous offer”.

ATI management keeps saying they “want us back at work” and they invite us to be “part of the team,” but they ignore our Partnership Agreement and their definition of “TEAM” is obviously to come to work for the wages they want to pay, work for whatever unreasonable schedules they demand we work, treat workers in any manner they like and they want us back without real wage increases.

ATI defines the wage offer as “guaranteed increases,” but the real guarantee is that they are offset by health insurance premium payments now and in the future.

Below are the main differences in the proposals; the fact is if ATI wanted us back to work, all they have to do is sign the fair and reasonable proposals our USW bargaining committee has offered. From a real economic perspective, the proposals are basically identical, but the USW offer assures the members of economic and retirement security, ATI’s offer assures we’ll eventually make less and have less security.

The USW proposal recognizes the current state of the company’s profitability, but we also recognize everything management and the Wall Street analysts have said. They both proclaim the future is bright for ATI, and based on the economy and management’s “transformational business plan,” by next year and the years going forward, ATI will be setting records for profitability.

We should also remember ATI is sitting on almost one billion dollars in liquidity and more than ½ billion dollars in cash.

Issue

USW

ATI

Lump Sum

$2,000

$2,500

Wages (effective 03/01/22)

3% - 3% - 3.5%

3% - 3% - 3%

Profit Sharing

5% of quarterly profits based on the facilities covered by the contract

Eliminate profit sharing

VEBA

(retiree health care for past, current and future retirees)

$1.00 per/hour worked contributed to the VEBA plus 5% of quarterly profits

$1.00 per/hour worked by active employees – no other contribution (elimination of current profit sharing contribution)

Office and Technical

Proposal that would prevent the continued erosion of the bargaining unit

ATI refuses to stop their abusive practice of replacing union members with non-represented salary employees

Shutdown Benefits

Employees entitled to shutdown benefits to receive their pensions

ATI refuses to grant pensions until the contract is ratified and in some cases delay

Health Care

We offered a structured approach to maintain or decrease ATI’s cost without premiums that would allow the parties to jointly work together in controlling the costs and although we are confident the effort will succeed we also offered a “safety net” so that if the cost increased the difference would be returned to ATI by reducing the profit sharing by the same amount.

ATI accepted the concept of the plan, but deleted the portions of the offer that would incentivize them to work jointly to maintain costs. They still insist on premiums based on a percentage of the total cost.  If costs increase so would the employee premiums.  They also demand new hires pay twice the premium. Cost reduction is not their goal; it’s cost shifting.

When faced with ATI’s proposals for huge deductible and cost sharing increases in addition to monthly premiums and a two-tier plan for new employees. The USW developed a plan to contain the cost of health care during the term of the agreement.

We will continue to keep everyone informed and provide as much information as we can for the duration of the dispute.

Stay strong! Stay united! Our solidarity and determination will prevail!

Your USW/ATI Negotiating Committee

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