 |
||
   |
 |
For Immediate Release WEIRTON, W.VA. – In keeping with proposed cost-cutting measures at Weirton Steel Corp., the company’s board of directors today voted unanimously to reduce by 20 percent the fee its members receive for board service. The action, which occurred at a regularly scheduled board meeting, affects six of the nine directors. The remaining three members are Weirton Steel employees and are not compensated for serving on the board. The decrease will take effect upon ratification of new labor agreements by the Independent Steelworkers Union and the Independent Guard Union. The company and unions reopened their contracts in December and recently reached a tentative accord. Among several issues, the new contract calls for pay reductions and a pension plan freeze. If ratified, management personnel will incur like reductions and be included in the pension freeze. "We’ve previously mentioned that contributions back to the company will be shared by hourly and management personnel. The board recognizes and appreciates sacrifices made today and in the past by our employees and wants to ensure it also participates in efforts to help our company’s competitiveness," said John Walker, Weirton Steel president and chief executive officer. The cost-saving steps are designed to reduce the company’s annual expenses by $38 million and are in response to an increasingly competitive steel industry, a weakened economy, steel imports and rising health care costs. Weirton Steel is the seventh largest U.S. integrated steel company.
Weirton Steel Corp. Media Contact:
|
