Possible Strike at Lockheed Plant

Story 1: Machinists at Lockheed Martin's aircraft plant in Marietta GA are preparing to strike next week after rejecting a tentative contract agreement that was backed by union leaders. It would be the second walkout in three years if the union follows through on its threat. Machinists shut down production for 49 days before signing their current contract in 2002. Union members voted 1240-602 on Sunday to reject a tentative deal that had been endorsed by union leaders, and about 70% cast strike ballots. IAM locals at Lockheed facilities in California, Mississippi and West Virginia ratified agreements with virtually identical terms. Local 709 members are 54 years old on average, which makes retirement issues critical in negotiations.

The elements of the deal in question:

• 10% wage increase over three years.
• $1,500 signing bonus.
• 17.8% increase in company's pension contributions.
• Increase in amount of 401(k) contributions company will match.
• Company pays 87% of employee medical plans, down from 100%.
• Company caps payments to retirees' Medicare Supplemental Insurance.
• New hires not eligible for retiree medical plan.

Story 2: Machinists gave Lockheed Martin formal notice Tuesday that they intend to strike next week at the Marietta plant. "I personally hand-carried a letter" to plant management, said Cornell Stevens, president of IAM Local 709. Lee Rhyant, the Lockheed executive vice president who oversees the plant, wasn't there at the time, but the two men later spoke by phone. "We had a good conversation, and there were no hard feelings at all," Stevens said. The union's letter starts a countdown to a strike that could begin Tuesday at the earliest [since five days notice is required].

Story 3: Federal mediators are trying to avert a machinists strike at Lockheed Martin's Marietta plant that could begin as soon as Tuesday. "Anytime there's a possibility of a work stoppage that could have this much impact on the economy and national defense, it's on our radar screen," said Jack Buettner, regional director for the Federal Conciliation and Mediation Service.

(I drive past the Lockheed plant on my way to work.)