Top > Business > 2006 > July > 2006-07-27

Michelin Reaches Accord with Union

One of the world?s biggest tire makers, Michelin, announced that it had reached a tentative agreement with the United Steelworkers union on a new contract for Michelin?s hourly workers. The tentative agreement applies to about 3,450 workers at three BF Goodrich tire plants in the United States of America. United Steelworkers? vice president Ron Hoover spoke about the deal, saying ?We believe we achieved our industry goals when it comes to protecting retiree healthcare benefits and securing additional job protection measures for our active members.?

The tentative deal, pending approval by United Steelworkers members in that vote, applies to BF Goodrich plants in Alabama and Indiana. The agreement will in turn reportedly be used as a template for contract talks with the Goodyear Tire & Rubber Company and Bridgestone Corporation. Automakers, and those who manufacture accessories such as tires for automobiles, are often faced with potential strikes from workers. Quite often, the quibbles will be about not pay, but benefits.

According to Michelin spokeswoman Lynn Mann, the exact details of the contract will not be revealed until the United Steelworkers has finished ratifying a vote on the contract. The contract was set to expire at midnight July 22, but both the United Steelworkers and Michelin agreed to an extension of the deadline while talks on the contract were still ongoing. Had the deadline passed without an extension and without talks, United Steelworkers union members would likely have gone on strike.