Alcan Rolled Products of Ravenswood released a statement Thursday evening attempting to clarify a major point in their proposed labor contract with the United Steelworkers Union Local 5668.
Workers at the Ravenswood aluminum plant rejected the company's last offer by a 548-105 margin last week. While the company was offering a 35-cent-an-hour raise and continuation of current benefits levels, workers said they felt the contract did not go far enough in securing jobs at the mill.
Following the vote, the company and union agreed to extend the current contract through June 30 to allow for further negotiations.
The statement following a Wednesday meeting between union and company representatives said the parties met to discuss why the last offer was voted down and to clarity the company's proposal.
A major point of contention in the proposal was what they called work reorganization. Alcan says it is necessary to become more efficient in a competitive global environment.
"What the proposed Collective Bargaining Agreement calls for is a Joint Union/Management Committee to be established to identify and recommend for implementation ways to work more efficiently and create opportunities to fully utilize and further develop employees' skills and competences," the company's statement said.
"Its main purpose is to jointly identify opportunities in the plant for operational improvements."
The company denied that the reorganization process was about reducing the number of employees or trade and craft positions, but rather was about improving the plant's manufacturing process.
"The company stands by its proposal to the union that no one will be laid off as a result of work reorganization," the statement said.
"For the company, the best way to put it is: Better operational process equals capital investment equals customer satisfaction equals job security. All parts of the formula are necessary," according to the statement.
Prior to the vote, Gov. Joe Manchin announced the state was willing to lend Alcan $10 million to improve its facilities and help the plant remain competitive. The company has promised to spend $86 million to upgrade its plant.
Alcan, which lost its most cost-efficient supplier when the neighboring Century Aluminum plant closed last February, is now Jackson County's largest employer with more than 1,000 hourly and salary employees.