Steelworkers sue U.S. Steel

The United Steelworkers union is seeking more than $43 million in damages for lost wages and dues following the shutdown of the former Stelco by U.S. Steel.

Workers  “suffered financial loss as well as emotional harm” as a result of layoffs and uncertainty at the firm’s Nanticoke and Hamilton plants, the union says in documents filed with the Federal Court of Canada.

“I believe that U.S. Steel has no intention of dealing with its employees, their bargaining agents, their local communities, and the Canadian steel industry in good faith,” Local 1005 president Rolf Gerstenberger said in an affidavit.

“I believe that the majority of persons directly and indirectly affected by U.S. Steel’s layoff and lockout of employees want U.S. Steel to get out of the Canadian steel business.”

Despite opposition from U.S. Steel, the union recently won intervener status in the Canadian government’s lawsuit against the steelmaker. Industry Minister Tony Clement wants to the court to order U.S. Steel to comply with the production and employment undertakings it made when it bought Stelco in 2007. He says those commitments were violated when U.S. Steel mothballed its Canadian facilities this year due to slumping demand.