Huntington Ingalls Industries Reaches Labor Contract Agreement with United Steelworkers Local 8888 at Newport News Shipbuildi...
July 14 2017 - 10:00AM
Huntington Ingalls Industries (NYSE:HII) announced today that
United Steelworkers members at its Newport News Shipbuilding
division voted 1,985-131 in favor of a new labor agreement. The
current contract expired on Sunday. The new contract took effect
Monday and will run through Nov. 14, 2021.
“This offer is fair, competitive in the industry and respectful
of the needs of our great shipbuilders,” said Susan Jacobs, Newport
News’ vice president of human resources and administration. “It’s
an offer that also maintains our competitiveness in the
shipbuilding industry and our flexibility to respond to our Navy
customer’s needs in a cost-effective and timely manner. I applaud
everyone who participated in the negotiations process.”
Highlights of the contract include:
- Wages: On day one, all represented employees
receive 1.5 percent increases, to be followed by a 2.6 percent
increase in 2018 and a 3 percent increase in 2019 and 2020. This
averages to a 2.33 percent increase per year per employee.
- Pension: For eligible employees with
continuous service on or before June 6, 2004, the monthly pension
increases from $1,550 to $1,800 starting Oct. 1. In addition,
there will be a $5 increase to the $30 per year supplement given to
employees for each year of credited service after 30
years. Newport News’ Pension Earnings Plan increased by 0.5
percent, and the plan is now closed to new participants. All new
hires after July 10 will participate in a Retirement Account
Contribution Plan.
- Medical benefits: Significant plan design
changes were made to support lowering overall medical plan costs
while securing health care premiums that will not considerably
impact employee wage increases. The new contract secures access to
the HII Family Health Center and Teladoc, a program that provides
employees with access to board-certified physicians via telephone,
mobile application or computer. Various wellness programs are now
available, and the changes implement a discount for employees who
attest to not smoking.
- Maintained management rights and flexibility:
The agreement continues to include language that enables Newport
News to maintain critical flexibility to get work, keep work and
perform work in a cost-effective manner.
Huntington Ingalls Industries is America’s largest military
shipbuilding company and a provider of professional services to
partners in government and industry. For more than a century, HII’s
Newport News and Ingalls shipbuilding divisions in Virginia and
Mississippi have built more ships in more ship classes than any
other U.S. naval shipbuilder. HII’s Technical Solutions division
provides a wide range of professional services through its Fleet
Support, Integrated Missions Solutions, Nuclear &
Environmental, and Oil & Gas groups. Headquartered in Newport
News, Virginia, HII employs nearly 37,000 people operating both
domestically and internationally. For more information, visit:
- HII on the web: www.huntingtoningalls.com
- HII on Facebook:
www.facebook.com/HuntingtonIngallsIndustries
- HII on Twitter: twitter.com/hiindustries
Contact:
Christie Miller
Christine.miller@hii-co.com
(757) 380-3581
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