Chesterton Tribune



USS issues WARN notices to 6,500, idling No. 6 at Gary Works

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U.S. Steel Corporation (USS) announced, in a Form 8-K filed on Thursday with the U.S. Securities and Exchange Commission, that it has issued, or soon will issue, WARN notices to approximately 6,500 employees.

Of those, approximately 3,800 are employed at Gary Works and the Midwest facility in Portage, but the actual number who could be impacted may be much lower, USS spokesperson Meghan Cox told the Chesterton Tribune. “This includes both represented and non-represented employees,” she said. “The exact numbers of impacted employees have not yet been finalized. At this time, we anticipate they will be lower, approximately 10 percent of that number.”

Company-wide, USS expects the actual number of employees eventually mpacted by the WARN notice to be closer to 2,700.

At the same time, USS announced the immediate idling of the No. 6 blast furnace at Gary Works. The No. 4 blast furnace at Gary Works was idled in April, as the company announced early this winter. But the No. 14 blast furnace at Gary Works will remain in operation.

Under the Worker Adjustment and Retraining Notification Act of 1988, WARN notices must be issued by companies employing more than 100 employees to provide 60 calendar-day advanced notification of plant closing and mass layoffs. Of the 6,500 WARN notices, 850 have already been issued to the employees at the Lorain and Lonestar tubular operations; and another 550 to employees at the company’s iron ore operations in Minnesota.

Other actions announced in the 8-K filing, “to further enhance the corporation’s ability to preserve cash and liquidity given the continued uncertainty from the coronavirus (COVID-19) and the continued headwinds in global oil and gas markets”:

-- The idling of the No. 1 blast furnace at Mon Valley Works, effective immediately.

-- The idling of iron ore production at Keetac after completion of a planned outage in mid-May.

-- The extension of coking times at Clairton Works to align coke production with steel production.

-- The adjustment of production at its Minntac operation to align with the blast furnace idlings.

-- In addition to the No. 14 blast furnace at Gary Works, the No. 3 furnace at Mon Valley Works and the B furnace at Granite City Works will remain in operation.

-- The indefinite idling of the Lonestar tubular operations, including all heat-treat and finishing operations and support departments, with the acceleration of the previously announced indefinite idling of the the No. 1 and No. 2 electric resistance welded mills.

-- The indefinite idling of the Hughes Springs coupling production facility in Texas.

-- The seamless production at the Fairfield tubular operations will continue in line with customer demand.



Posted 5/1/2020




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