Workers approve contract between International Paper and United Steelworkers

International Paper Co. and the United Steelworkers said Tuesday that workers at 16 paper mills had approved a four-year contract deal with the company. The deal will raise worker pay 6.7 percent, on a compounded basis, over four year.
Among the mills where the new contract will take effect are those in Yellow Bluff, Ala., and Cantonment, Fla. The new agreement will also apply to Alabama mills in Selma, Prattville and Courtland.
A union summary said that the agreement, which covers 6,000 workers, includes a 1 percent wage increase in the first year, followed by 2 percent in the second year, 1.5 percent in the third year and 2 percent in the fourth year. The deal also calls for Memphis-based International Paper to bear a fixed share of health insurance costs, and to make higher retirement savings and pension contributions.
The union and the company agreed to discuss cheaper health insurance options for retirees.
The new contract will take effect on different dates at different mills. Local unions also negotiate additional agreements covering working conditions.
The steelworkers represent about 100,000 pulp and paper workers nationwide. International Paper has 59,000 employees worldwide.