Union members at Goodyear Tire & Rubber Co.'s Fayetteville plant have been told by their labor leadership that negotiations on a new contract are at an impasse and that they should be prepared for a possible strike this weekend.
The current four-year labor agreement, which covers six North American plants, is scheduled to expire Saturday at midnight. The 2009 contract protected the Fayetteville plant from closure.
The plant is one of the region's largest and highest-paying employers.
United Steelworkers Local 959, on behalf of the Goodyear-Kelly-Dunlop Bargaining Committee of North America, has distributed a flier at the Ramsey Street plant warning of the potential for a strike, according to two sources at the site. One union worker said employees are planning to walk out after midnight Saturday.
"It just all depends on what happens with the contract," he said, speaking on the condition of anonymity. "We're just as much in the dark as anyone else."
Another source who is close to the company described the warnings of a strike as "posturing."
In-person contract negotiations initially got underway in April in Cincinnati. Union and corporate leaders have revealed little during the weeks of talks. Richard Evans, a spokesman for the Fayetteville plant, has referred all questions on the contract talks to corporate headquarters in Akron, Ohio.
"All I can say -- they are ongoing," said corporate spokesman Ed Markey on Wednesday afternoon. "Both sides are still bargaining in Cincinnati. Beyond that, I can't really characterize anything further."
The labor agreement covers about 8,000 workers, including about 2,500 hourly and salaried employees at the Fayetteville plant. Other plants covered by it are in Akron; Buffalo, N.Y.; Gadsden, Ala.; Topeka, Kan.; and Danville, Va.
Local 959 has been holding meetings all week, according to a source who works in the plant's curing department.
Darryl Jackson, president of the Local 959, did not return calls Wednesday afternoon.
"It blew up yesterday," the plant worker said. "We had been told everything was going good. They had a meeting last night, but you couldn't get in the door. We got word from Darryl that negotiations have come to a standstill. They are not making any headway. If they had not made headway last night, the Steelworkers were going to issue a 72-hour notice to strike."
Markey said he had not heard that. He declined to describe the atmosphere in the contract talks.
"They're ongoing," he said.
In 2006, Steelworkers went on strike at Goodyear for three months. That marked the second and last walkout in the plant's history. The first was for 17 days in 1997.
Among other things, the 2006 national union agreement included plans to close a Texas tire factory, create a $1 billion health care fund for retired union workers and restrict the company from laying off 10 percent of its workforce to reduce costs.
Four years ago, the plant averted a strike when the company and the union reached a tentative contract three hours before the midnight deadline.
Union flier
According to the flier given to union members this week, "little progress" has been made on matters concerning wages, "grandfathering" provisions, health care, pension and vacations.
"Our members should start to prepare for the financial struggles that may lie ahead," the Steelworkers' "solidarity alert" said. "Should you feel the need to apply for a 401(k) loan, you must do so before the contract deadline expires. ... Employees will keep their health insurance for 90 days from the day of the strike or lockout. The employees' health insurance will stop after that point and they will then be eligible for COBRA."
The handout also told employees they would be eligible for union strike benefits three weeks after the day of the strike.
Markey said in a statement: "Goodyear is committed to working with the United Steelworkers to develop a mutually beneficial agreement that supports the needs of the business and associates while allowing for continued profitability and future growth for North America."
If both sides reach a tentative agreement by midnight Saturday, union members would have to ratify the agreement. That process could take a week or longer.
If the parties fail to reach an agreement by the deadline, the Steelworkers could continue to work on a day-to-day basis under the terms of the current contract.
