Aluminum producer Alcoa, and the United Steelworkers have reached a tentative contract agreement, which could avert a strike by 6,000 employees. Alcoa is trying to limit expenses after losing $1.23 billion over the past two years due to decreased demand for aluminum. One proposal that Alcoa made was to switch employees from one health care plan to another, which they said was 45% cheaper, but that the union said would have tripled costs for some families. A spokesman for the steelworkers said that they were working on a timetable for a vote, and that details of the agreement would be released after discussions with employees. The contract would cover plants that account for 27% of smelting capacity, as well as 13% of refinery capacity.
See "Alcoa, Steelworkers Union Reach Tentative Accord", Edmond Lococo, Business Week, May 31, 2010