United States Steel Corporation and its subsidiary, U. S. Steel Tubular Products Inc., have announced that its United Steelworkers-represented employees have ratified new three-year collective bargaining agreements.

According to a statement released on Friday, one agreement covers approximately 16,000 employees at U.S. Steel’s domestic flat-rolled and iron ore mining facilities as well as tubular operations in Lorain, Ohio, and Fairfield, Ala.

The second agreement covers approximately 1,000 employees at U.S. Steel Tubular Products Inc.’s Texas Operations Division, a welded tubular products facility in Lone Star, Texas.

“U.S. Steel is pleased with the outcome of the ratification vote,” USS Chair and CEO John Surma said. “We believe that this newly approved and competitive three-year agreement is in the best interests of our company, our employees and all of our stakeholders.”

The agreements, which are effective retroactive to Sept. 1, contain no-strike provisions and expire on Sept. 1, 2015. Employees will receive a lump-sum payment of $2,000 by Oct. 15, 2012, a 2-percent wage increase effective Sept. 1, 2013, a lump-sum payment of $500 effective April 1, 2014, and a 2.5-percent wage increase effective Jan. 1, 2015.

The agreements also provide for certain benefit adjustments for current and future retirees and modifications to the profit sharing plan beginning in 2013.

Financial impacts of the new agreements will be reflected beginning in the third quarter 2012 financial statements, including a pre-tax charge of approximately $35 million for the lump sum payment that will be made by Oct. 15.

Posted 10/1/2012