BIW and its largest union tussle over contract, while yard wins $43M in new work

Courtesy / BIW Bath Iron Works continues negotiations with its largest union, and recently won a contract award for work on Burke-class destroyers like the USS Jason Dunham, shown here.

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By Staff

Employees from Bath Iron Works' largest union were scheduled to rally Wednesday morning in opposition to a proposed new contract, as the shipyard recently received go-ahead on a $42.8 million assignment for ongoing work on Navy destroyers.

The International Association of Machinists & Aerospace Workers Local S6, representing 4,000 BIW production employees, planned the 6 a.m. gathering in Bath to draw attention to the contract offer from the yard’s owner, General Dynamics Corp. (NYSE: GD).

The IAMAW has said two proposals put forward would outsource jobs to out-of-state contractors and attack union seniority provisions. Union members “are likely prepared to strike if necessary to maintain good quality union jobs at BIW,” according to a statement from the local on Tuesday.

Contract negotiations began May 26 and are due to be finished by Friday, followed by a union vote on any agreement June 19. The current five-year contract with Local S6 expires June 21.

BIW President Dirk Lesko on Tuesday also issued a statement, itemizing elements of the company’s contract offer. It includes annual wage increases, maintenance of health insurance and other benefits, and the continuation of union member seniority policies in some work assignments.

“BIW is not trying to ‘bust’ the union or undermine its rightful role as the representative of our workforce,” Lesko said. “The men and women of BIW have been represented by unions for more than 50 years and BIW has a longstanding relationship with organized labor, with the vast majority of our workforce being represented by four different unions.”

In other BIW news, the shipyard has been awarded a contract modification to provide engineering assistance and upgrade designs for DDG-51 Arleigh Burke-class destroyers. The $42,772,449 award is a cost-plus-award-fee modification to a previous contract for lead yard services.

“From maritime security patrols in the North Atlantic to freedom of navigation missions in the Pacific, Arleigh Burke-class (DDG-51s) are the workhorses of the Navy,” said U.S. Sens. Susan Collins, R-Maine, and Angus King, I-Maine, in a joint statement.

“This contract reflects the Navy’s ongoing confidence in Bath Iron Works to support and deliver high-quality ships that are essential to our national security.”