FULLERTON, Calif.—Yokohama Tire Manufacturing Virginia L.L.C. described its working relationship with its work force as positive after the company agreed to a four-year contract with United Steelworkers Local 1023 at its plant in Salem, Va.
The contract affects 750 employees. About 75 percent of the workers approved the deal in voting June 1-2, according to the USW. The deal was reached on May 16, just minutes before the previous four-year contract was to expire.
“Both parties worked diligently to achieve a contract that is fair and equitable for all involved,” Tetsuro “Tex” Murakami, president of YTMV in Salem, said in a statement, “and it highlights the positive working relationship between the two sides.”
The company said the highlights of the deal include:
• A non-closure agreement at the plant during the life of the agreement;
• The continuation and improvement of the union's current pension plan; and
• Numerous safety and health measures.
“This is another significant contract, which is expected to prove beneficial to all parties,” Murakami said. “Negotiations went smoothly. Both sides were professional and cordial throughout the negotiations and we feel good about the result.”
According to the union, Yokohama sought to eliminate pensions for all newly hired employees in addition to eliminating the double disability supplemental payments for everyone.
The union said it maintained both its current pension plan and double disability pension supplements “as is” for all employees. In addition, the USW secured an increase in the monthly pension multiplier to $57 per year of service for employers retiring on or after June 1, 2014.
YTMV is an indirect wholly-owned subsidiary of Fullerton-based Yokohama Tire Corp., the North American manufacturing and marketing arm of Tokyo-based Yokohama Rubber Co. Ltd.