Union, Alcoa reach deal in Wenatchee

WENATCHEE, Wash. — Alcoa announced Friday that it had reached a tentative agreement with two labor unions representing workers at the Wenatchee Works aluminum smelter, potentially saving hundreds of jobs at the plant.

About 400 plant workers had received layoff notices in July, effective on or about Oct. 1. Alcoa rescinded the notices Friday after the two sides reached an agreement on health benefits.

“We are delighted that we have been able to reach this tentative agreement. Hopefully this will be approved and we will have the conditions to enable restart of the Wenatchee smelter,” Alan Cransberg, Alcoa’s President of North American Primary Metals, said in a news release.

Wenatchee Works in central Washington was idled in July 2001 when aluminum prices fell and the cost of energy skyrocketed. With wholesale aluminum prices up more than 20 percent in the past year, the company had sought to reopen the plant but demanded concessions from workers.

The company’s final offer asked union members to pay 10 percent of their health care premiums and accept more health care costs. In July, leaders in the Wenatchee Aluminum Trades Council refused, without first discussing the offer with union members. The move rankled some members, who later said they would have voted to accept the offer.

The Trades Council is an umbrella group representing the Wenatchee Works’ five trade unions.

The United Steelworkers of America then stepped in to take over negotiations.

The tentative deal would place smelter employees on the company’s “Select Benefits” health care program beginning in January 2005 until the contract covering 15 Alcoa facilities and 8,900 employees is renegotiated in 2006.

The agreement requires a vote of union members.