The United Steelworkers (USW) union has rejected Marathon’s latest proposal for a new contract after the current one expired last week.
Marathon is the lead negotiator for itself, bp, Chevron, ExxonMobil, Phillips 66, Shell and Valero and has been in talks with the union since Jan. 13.
On Monday evening, Jan. 31, Marathon presented the United Steelworkers with a comprehensive final settlement offer that included substantial wage increases in each year of a proposed three-year agreement, and maintained other economic and non-economic provisions of the previous pattern labor agreement, including those related to employee benefits, health and safety, and job security, said Jamal Kheiry, spokesperson for Marathon.
“The terms outlined in our final settlement offer are in addition to economic, health and welfare, and safety commitments that are provided to our employees under local agreements at our eight facilities subject to the United Steelworkers pattern agreement,” said Kheiry.
After USW’s rejection, negotiators met again but were unable to reach an agreement for a pattern settlement on wages, benefits and working conditions for approximately 30,000 USW members, which includes workers at oil refineries, chemical plants and pipelines. The union then offered rolling 24-hour extensions of the current contract to allow negotiations to continue, USW officials said in a statement.
“We hope the union will reconsider our offer as our employees continue to work under the mutually agreed upon contract extension,” Kheiry said.
"USW members were on the front lines of the pandemic, ensuring that the nation could meet its energy needs while company executives were safely tucked away, working from home," said USW International President Tom Conway. "Management needs to finally come to the table ready to negotiate a deal that reflects our members’ hard work, commitment and sacrifice.”
Mike Smith, who chairs the USW’s National Oil Bargaining Program, said the union members remain strong and united in their commitment to reaching a deal that meets their needs on wages, benefits, health and safety and more. “We call on Marathon to demonstrate the same urgency,” Smith added.
This week, workers from the union were seen walking picket lines outside LyondellBasell's Houston refinery and Shell’s Deer Park, Texas, refinery.
