OCAW TURNS DOWN FIRST CONTRACT OFFER

Jan. 26, 1993

The Oil, Chemical & Atomic Workers International union (OCAW) has rejected an initial offer made Jan. 14 by Amoco Oil Co. The union has more than 300 contracts covering about 40,000 petroleum industry workers that are set to expire at midnight Jan. 31. OCAW said Amoco's offer included a 3 year contract term with wage increases of 2% the first year, 2.5% the second year, and 2.5% the third year. The offer also called for increased company contributions to health insurance premiums.

The Oil, Chemical & Atomic Workers International union (OCAW) has rejected an initial offer made Jan. 14 by Amoco Oil Co.

The union has more than 300 contracts covering about 40,000 petroleum industry workers that are set to expire at midnight Jan. 31.

OCAW said Amoco's offer included a 3 year contract term with wage increases of 2% the first year, 2.5% the second year, and 2.5% the third year. The offer also called for increased company contributions to health insurance premiums.

OCAW said the offer was echoed by several other major companies, including ARCO, Texaco Inc., Mobil Oil Corp., and Chevron Corp. However, BP, Shell Oil Co., Unocal Corp., and Conoco Inc. did not follow Amoco's lead, OCAW said.

OCAW wants, among other things, annual wage increases of $1.25/hr for the first 2 years of a proposed 3 year agreement and a 6.5% wage increase the third year. The union also wants companies to assume 90% of medical and hospital insurance premiums (OGJ, Oct. 19, 1992, p. 31).