At 12:01 a.m. on April 4, the battle lines were drawn.
The United Mine Workers of America, the union representing employees across the country, authorized a work stoppage last week for members at Cumberland Coal Resources LP, Emerald Coal Resources LP and Wabash Mine Holding Company. The parent company of these three separate affiliates, Linthicum Heights-based Foundation Coal Corp., has watched from afar.
“We are optimistic the labor issues will be resolved in the near future and will not have a material adverse effect on the financial results,” Peter Vietti, senior communications specialist for Foundation Coal told The Examiner in an e-mail.
UMWA and the other parties involved have come to a tentative agreement for the sides to sign the new 2007 National Agreement. Ratified in December 2006, the five-year national agreement calls for a 20 percent wage increase over five years, a $1,000 signing bonus, increased pension benefits, increased pension plan contributions and preservation of full health care benefits for active and retired employees.
But that?s not to say there haven?t been complications ?or casualties ?along the way.
Wabash, with a mine located in Wabash, Ill., will close its doors after failing to reach an acceptable agreement with the UMWA. Employing approximately 230 union, hourly paid workers, the mine closed after the company declined to agree to the deal, citing loses of more than $26 million in 2006. The complication this closing presents is that Wabash must continue negotiations with Cumberland, Emerald and UMWA for a worker severance package.
Late Friday afternoon, negotiations remained close for both sides, but no definitive deal had been confirmed.
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