Monday, June 28, 2010

Rockwell Automation, Union Agree to Layoff Deal

Local 1111 of the United Electrical, Radio & Machine Workers of America and Rockwell Automation have reached an agreement yesterday to pay full pension and medical benefits to about 140 union members who will face layoff beginning August 1, 2010 when Rockwell will begin to outsource all remaining service and maintenance work.

From the Milwaukee Journal Sentinel article on the news:

Among the employees affected are cafeteria workers, electricians, model makers and maintenance workers who serviced machines and the building and grounds at the company's huge plant on S. 2nd St.

The company's decision to contract with outside vendors and Sunday's vote by Local 1111 effectively shuts down a union local that has represented workers at Allen-Bradley since 1937, said local president Robert Granum.

About two-thirds of the affected workers are between 55 and 60 and are eligible to retire in the next 18 months. In addition to guarantees that they will receive their full pension, workers will receive health and dental insurance and supplemental income from Rockwell from Aug. 1 until their retirement dates. They will also receive a prorated portion of next year's vacation pay as well as any remaining vacation pay from this year.

"I think in today's economy it's a good agreement," Granum said Sunday. "I think that as you see what goes on with teachers getting laid off, Harley being threatened, I think this is a good agreement."

Rockwell Automation spokesman John Bernaden said all the jobs performed by Local 1111 will stay in Milwaukee because the company will hire outside contractors to perform the work.

1 comment:

  1. Good for them. We're a non-union part of Rockwell, and they took our paid sick days away with absolutely no discussion, and basically just said 'too bad.'