OCAW PANEL ACCEPTS AMOCO CONTRACT OFFER

The bargaining policy committee of the Oil, Chemical and Atomic Workers International Union (OCAW) last week accepted an offer from Amoco Oil Co. that sets the pattern for labor contracts with the U.S. refining and petrochemical industry. The union disclosed its goals for new contract terms late last year (OGJ, Oct, 19, 1992, p. 31). OCAW's previous 3 year contracts expired Jan. 31. There were more than 300 local contracts covering 40,000 petroleum industry workers. Amoco employs about

Feb. 9, 1993

4 min read

The union disclosed its goals for new contract terms late last year (OGJ, Oct, 19, 1992, p. 31).

OCAW's previous 3 year contracts expired Jan. 31. There were more than 300 local contracts covering 40,000 petroleum industry workers. Amoco employs about 4,500 workers covered by OCAW contracts.

The union extended the previous contracts day by day as of Jan. 31. except at certain plants on the West Coast. Amoco's offer was accepted Feb. 1, subject to ratification by OCAW local units.

Rod Rogers, OCAW spokesman, said several companies have reached contract settlements with OCAW at some locations, pending ratification.

"We've had settlements at some locations with Texaco, Unocal, Shell, Star Enterprise, Ashland, Texaco Chemical, and Mapco," he said. "It's not an instantaneous process."

Contract talks are continuing on local issues at the remaining sites, but there were no OCAW strikes as of Feb. 3.

AMOCO'S OFFER

Amoco's offer calls for a 3 year contract that includes wage increases of 3.5% effective on the date of acceptance, 3.5% Feb. 1, 1994, and 3.7% Feb. 1, 1995.

Based on the current weighted average wage of $17.54/hr for U.S. refinery workers, the agreement will yield a 61 cts/hr increase in its first year, 64 cts/hr the second year, and 70 cts/hr the third year. Labor union figures list the current average wage at $15.75/hr, adjusted for inflation.

OCAW had proposed increasing wages by $1.25/hr effective Feb. 1, 1993, $1.25/hr Feb. 1, 1994, and a general wage increase of 6.5% Feb. 1, 1995.

The union said its proposal was aimed at continuing to restore wages that were lost during contracts that expired Jan. 31, 1990. Gains were made in the last 2 years of that contract, OCAW said, and through the contract that just ended. However, OCAW said, during the last two contracts workers have realized a net decline of $1,185.60 in real wages.

OCAW also negotiated a family leave agreement with Amoco that enables employees to take at least 12 weeks unpaid in the event of a birth or adoption of a child or serious illness of a child, spouse, or parent.

Medical and hospitalization benefits will remain the same, with Amoco offering to contribute 80% of premium costs or fixed dollar contributions of $20/month the first year of the contract, $25/month the second year, and $25/month the third year.

TRAINING, HEALTH, SAFETY

OCAW placed an emphasis on training and health and safety issues in the Amoco contract.

Amoco's offer includes company paid training for union represented health and safety committee members twice during the 3 year agreement. That will double the amount of training for committee members, OCAW said.

A letter of understanding between Amoco and OCAW calls for the two to implement a plan to use "union represented employees from the local bargaining unit toward the objective of improving health and safety in the plant."

OCAW had proposed a full time, company paid, bargaining unit health and safety representative chosen by the union.

Amoco and OCAW also signed a letter of understanding providing for joint union-company action in conducting training and curriculum development.

OCAW had proposed that companies pay for a training program in which OCAW members train plant workers on company time.

OCAW Pres. Robert E. Wages said, "We're satisfied that this agreement advances the interests and welfare of OCAW oil workers during a troubling time."

Wages expressed disappointment that the companies chose to ignore the union's proposal to work together in pursuing enactment of a national health care program.

LOCAL ISSUES

Contracts still stalled by local issues continue to be extended day by day, Rogers said, noting it typically takes about 2 weeks for contracts to be ratified throughout the U.S.

A strike planned for Feb. 3 at refineries in the San Francisco Bay area was postponed after OCAW and oil industry officials decided to discuss issues further.

Bay area OCAW officials said oil companies failed to address three main issues. The union wanted a full time union position of environmental monitor, a paid holiday on Martin Luther King's birthday, and wage equity with southern California refineries.

Union members in the bay area have been working without a contract since Jan. 31 while talks continued. About 2,700 OCAW members work in bay area refineries.