Despite downturn, charities reap a piece of profits
EAST CHICAGO | United Steelworkers Local 5133 members say they are sharing some of their past good fortunes with three area charities.
During summer, when the union was negotiating a new labor agreement with U.S. Steel Corp., comments on area message boards showed that many in the community thought "steelworkers are worthless slugs," said Jeff Coggins, financial secretary for the local.
The company's hourly workers each received a $6,000 signing bonus after the union ratified a new, three-year labor agreement. The contract boosted hourly pay by $1 during its first year and by additional amounts during the following years. Workers also received healthy third-quarter profit sharing checks.
"We want to show them we have big hearts," Coggins said. "We need to show people we do care about the community."
The local 5133 is making a $1,500 donation to each of three local charities: Haven House, a battered women's shelter in Hammond; Manna for Hammond-St Joe's soup kitchen; and the Salvation Army of East Chicago. It also has scheduled a "gate collection" Dec. 10 for the East Chicago Salvation Army's Angel Tree.
"In the troubled economic times we are experiencing, these three organizations are seeing increased need," said Local 5133 President Jason Hughes. "Though the steelworkers are being struck disproportionately hard by the downturn in the economy, we feel it is our responsibility to support those less fortunate than us."
Because "people are still eating Campbell's soup," the 340 hourly workers at U.S. Steel Corp.'s East Chicago tin mill haven't been touched yet by the steel industry's recent down turn, which caused the company to lay off 677 U.S. workers last month, Coggins said.
However, he said the potential is there for all three charitable organizations to help his local's members.
"Layoffs have been minimized at all facilities on the lake front," Coggins said. "But who knows what the future will bring."
Posted in Local on Tuesday, December 2, 2008 12:00 am Updated: 12:54 am.
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