Approved BIW contract raises pay for union members

File photo / Tim Greenway Bath Iron Works, owned by Reston, Va.-based General Dynamics Corp. (NYSE: GD), employs around 6,700 people.

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By Renee Cordes

Bath Iron Works and its largest union have signed a three-year labor contract that will raise pay and increase benefit contributions.

The agreement was approved by 72% of IAM (International Association of Machinists) Union Local S6 members, averting a repeat of a nine-week strike in 2020 at the shipyard.

Local S6, made up of 4,200 members, is the largest of five unions at BIW, which employs 6,700 people, primarily in Bath. The company, a subsidiary of Reston, Va.-based General Dynamics Corp. (NYSE: GD), builds Arleigh Burke-class destroyers for the Navy and earlier this month got a go-ahead to construct three more of them.

The new union contract raises pay between 2.6% to 9.6% in the first year due to a mid-contract wage adjustment already in effect for some workers.

Additionally, the second year provides for a 5% increase, followed by a 4% increase in the third and final year. Local S6 called the increase the most significant pay increase in nearly 70 years.

The accord includes an increase in pension benefit contributions and 401(k) contributions; improvements to compensated time off and personal business time; floating holiday rollers; and tuition reimbursement improvements, according to the union.

"The membership here at Local S6 was present throughout these negotiations and voiced their concerns. The negotiating team took these concerns and crafted an agreement," said Christopher Williams, president of the Local S6 union. "The membership voted to accept the offer, and now we focus on returning to shipbuilding."

From the International Association of Machinists and Aerospace Workers, President Robert Martinez Jr. said, "I am proud of the IAM Local S6 members for standing strong and fighting for a fair contract. Their solidarity and determination have paid off. It is a testament to the power of collective bargaining and gives hope to workers in the shipbuilding industry everywhere.”

The contract went into effect Monday and BIW said it will start implementing terms of the agreement immediately.

"This agreement represents our desire to continue working together to deliver the Navy’s ships on time to protect our nation and our families," said David Hench, a spokesman for the company. "We appreciate our employees’ participation in the process. Training and implementation of the new elements of the contract begin this week."