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22 November, 2011
Members of the International Association of Machinists & Aerospace Workers (IAM) Lodge 778 will begin returning to work this week after ratifying a six-year labour agreement last night, 20 November, with Honeywell Federal Manufacturing & Technologies LLC. in Kansas City, Missouri.
The vote by a wide margin ends a 42-day strike by 940 workers against Honeywell at the US government owned Bannister Federal Complex, where the company makes non-nuclear components for the government’s nuclear weapons system.
Although contract terms were not immediately known following last night’s late vote, it is believed much of the American company’s original offer was accepted. That includes a two-tier pay scheme for new workers hired after 1 January in which such workers come in at lower hourly rates and fall into slower wage progressions than current workers. It also will see reductions to retiree health insurance coverage for those retiring after 8 October 2017.
The contract also contains higher out-of-pocket health care costs for staff. Current workers will see a 13.5% wage increase over the six-year period, and an 11.7% pension hike also will be realized in that period.
IAM Lodge 778 had given Honeywell with four different proposals up to 17 November through a US federal mediator, but all were rejected by the company. Finally on 17 November, the Federal Mediation and Conciliation Service (FMCS) official presented the six-year deal and Lodge 778’s bargaining committee recommended it last night to membership.
The 840 workers will return to Honeywell’s payroll this week by undergoing four-hour re-orientation training, and all staff will resume their normal job functions effective 28 November.