Chevron, Union Sign Tentative Pact To End California Refinery Strike

Chevron, Union Sign Tentative Pact To End California Refinery Strike

By Erwin Seba

HOUSTON (Reuters) -The United Steelworkers union (USW) on Thursday afternoon signed a tentative agreement to end a nine-week-old strike at Chevron Corp’s Richmond, California, refinery, the company said.

Terms of the agreement were not immediately available. It is subject to ratification by members of USW Local 12-5 representing the 500 workers who walked off their jobs on March 21.

Workers will vote on the contract over the weekend, with results expected by 12:01 a.m. PDT (0701 GMT) on Monday, according to a statement issued by Chevron spokesperson Tyler Kruzich.

“If the agreement is ratified, those USW employees still on strike will return to work over the upcoming weeks,” the statement said.

A USW spokesperson declined to comment.

The strike began over long-simmering frustration among union members as pay increases in recent years did not cover rising costs for their share of health insurance.

To make up the difference, Local 12-5 sought a 5% pay increase in addition to a 12% pay raise over four years agreed to in a national pact hammered out in February between USW International union negotiators and U.S. refinery owners.

Chevron did not offer the local pay increase in contract offers made to the workers.

The union also pushed for increased staffing levels to reduce overtime.

The USW filed charges on May 13 against Chevron with the U.S. National Labor Relations Board alleging the company has changed the terms of employment, refused to furnish information, engaged in coercive actions, including surveillance, as well as refusing to bargain with the union.

Chevron has kept the 245,271 barrel-per-day refinery in the San Francisco Bay area in operation with managers, supervisors and about 60 union members who have crossed the picket line.

(Reporting by Erwin Seba; Editing by Leslie Adler and David Gregorio)