United Auto Workers, Case to continue talks; Iowa Army Ammunition Plant avoids strike

United Auto Workers Local 807 members convened en masse Monday outside of Case New Holland Industrial's Burlington plant to enjoy a cookout and the company of a large inflatable rat.

The visit from the 15-foot-tall rat known as Scabby came 16 weeks after the union went on strike against Case on May 2 after the two parties failed to negotiate a new contract to replace the UAW's six-year contract with the company that expired April 30.

"I've rather enjoyed my summer, but it would be nice to be making good money, too," 10-year Case employee Stacey Pence told The Hawk Eye while standing in the shade of a large billboard reading: "Shame on CNH. Working Families Deserve a Fair Contract."

The starting hourly wage for assemblers at the Burlington plant under the most recent agreement was $20.89. That is $1.24 less per hour than the starting wage for the lowest-level unionized John Deere employees, according to the contract UAW members approved in November. It also reportedly $5.50 per hour less than what assemblers at the company's non-union plants are paid, according to UAW Local 807 President Nick Guernsey.

It is not clear how much the company pays the replacement workers who arrive at the plant daily in white vans. Written on the window of a similar van that was rented by a union member and parked in the city right-of-way outside the plant Monday was the message, "Go home scabs."

More:What we know about United Auto Worker demands and Case New Holland Industrial's proposal

Other sticking points are contract length, health insurance, time off flexibility, loss in pay due to plant shutdowns caused by issues such as material shortages, and other language protecting against job loss.

"Part of what we’re fighting for in the contract is to try and guarantee some sort of wage protection in the form of sub pay daily so you can get a little bit instead of just being (out of luck) because they can’t get parts," Guernsey said.

The cookout came during a break in the most recent round of negotiations between UAW and Case representatives that began last week and continued through the weekend before breaking due to scheduling conflicts. Representatives resumed contract talks later in the week before returning home Friday, making this the longest round of negotiations since the strike began.

Guernsey said some progress was made, but not enough to bring a proposal to vote before union members.

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"There was a little movement, not a lot," Guernsey said, explaining the company has shown a willingness to budge on health insurance issues and presented union reps with a "supposal" that included an early September deadline to accept the terms outlined in it or revert to Case's June 14 proposal.

The negotiations are expected to resume the week of Sept. 4.

A representative for Case did not respond to The Hawk Eye's request for verification of the "supposal."

Guernsey said he had not been aware of the inflatable rat's visit until it was in place.

Strike avoided at Iowa Army Ammunition Plant

Scabby was there on loan from another local union whose members avoided a potential strike themselves. It and eight other unions representing about 450 production, craft, and maintenance workers at the Iowa Army Ammunition Plant reached a three-year contract agreement with American Ordnance LLC last weekend.

"American Ordnance LLC is pleased to announce they have reached agreement on a new collective bargaining agreement with Local 1010 Machinist and Aerospace Workers, Local 238 Teamsters, Local 150 Operating Engineers and Local 13 Electrical Workers and five Craft unions at the Iowa Army Ammunition Plant," American Ordnance said in a statement sent to The Hawk Eye from a spokesperson at its parent company, Day & Zimmerman.

The three-year agreement was ratified with seven of the unions Friday just before their contracts were set to expire. The other two ratified their contracts Saturday.

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Machinist and Aerospace Workers Local 1010's contract included a $5 hourly pay increase to be paid out over the course of three years, with a $1.77 raise the first year, an additional $1.50 the second year and a $1.75 raise the third year. The contract also includes an increased hourly shift differential for non-dayshift workers, increasing it from 35 cents to 70 cents per hour.

"The company looks forward to continuing its partnership with the unions to support our deployed soldiers and U.S. forces," American Ordnance said in its statement. "All work and activities will continue during contract finalization as they have through negotiations, and the company appreciates the work and support of company and union leadership during this process."

American Ordnance operates the Iowa Army Ammunition Plant, producing large-caliber ammunition for the U.S. Army.

Editor's note: This report was updated Wednesday, Aug. 31, with additional information about ongoing contract negotiations.

Michaele Niehaus covers business, development, environment and agriculture for The Hawk Eye. She can be reached at mniehaus@thehawkeye.com.

This article originally appeared on The Hawk Eye: UAW, Case negotiations ongoing, while IAAAP agreement reached