AMOCO OFFER SETS PATTERN FOR U.S. LABOR CONTRACTS

Feb. 12, 1990
The Oil, Chemical, and Atomic Workers Union International has accepted a Feb. 1 contract offer from Amoco Corp. that quickly became the U.S. refining/petrochemical industry's pattern labor contract. However, there still are local issues holding up some settlements. As of Feb. 7, local issues had resulted in only one OCAW strike, which was at Pennzoil Co.'s 15,700 b/d Rouseville, Pa., lube oil plant. Pennzoil said throughput at the plant was being maintained without interruption.

The Oil, Chemical, and Atomic Workers Union International has accepted a Feb. 1 contract offer from Amoco Corp. that quickly became the U.S. refining/petrochemical industry's pattern labor contract.

However, there still are local issues holding up some settlements.

As of Feb. 7, local issues had resulted in only one OCAW strike, which was at Pennzoil Co.'s 15,700 b/d Rouseville, Pa., lube oil plant.

Pennzoil said throughput at the plant was being maintained without interruption.

The Amoco settlement was quickly followed with at least one agreement each with BP America Inc., Conoco Inc., ARCO, Mobil Oil Corp., Crown Central Petroleum Corp., Tosco Corp., Shell Oil Co., Unocal Corp., Chevron Corp., and Ashland Oil Inc.

PATTERN CONTRACT

The Amoco pattern agreement is a 3 year contract calling for across the board wage increases of 80/hr the first year, 5% the second year, and 4.5% the third year.

OCAW had sought a 2 year contract with a $1.25/hr wage increase each year (OGJ, Jan. 15, p. 14).

Amoco agreed to boost its contributions for family coverage health care insurance by $55/month the first year, an additional $45/month the second year, and another $50/month the third year.

Coverage for single employees will increase $21, $19, and $20 on the same timetable.

OCAW won concessions in three areas:

  • Amoco agreed to provide $250,000 to beneficiaries of workers who are killed as a result of work related accidents.

  • Employees out of work with job related injuries or illnesses will get at least 26 weeks of full pay followed by at least 26 weeks of half pay. Coverage will begin on the first day of regular full time employment.

  • For drivers, Amoco agreed to pay the fee for the first Department of Transportation drivers license test and provide time off with pay to take the first test.

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