The union representing 1,000 workers at Vought Aircraft Industries Inc.'s Nashville plant is on the verge of striking as members gather today to vote on a new contract.
The leadership of the International Association of Machinists and Aerospace Workers has recommended that Vought's production and maintenance workers reject a pact that would freeze contributions into the company pension for workers with less than 16 years of experience and set up a 401(k) investment plan.
The union committee that reviewed the offer believes it would leave retirees more vulnerable, spokesman Bob Wood said. "With everything blowing up (in financial markets), they're wanting to put everything in a 401(k)," Wood said. "People want something they can depend on."
Dallas-based Vought described the contract as its "last, best and final offer." Besides revising the retirement plan, the deal would raise wages by $1.75 an hour over its three-year term and give workers a $3,000 bonus if it is approved on the first member vote.
The contract, which applies to all of the facility's nonsalaried employees, also would improve health-care coverage for workers and their families, the company said.
"Vought is offering very competitive wages and benefits in this contract," the company said in a statement. "We are hopeful that our employees carefully evaluate the offer and vote to ratify it."
No more negotiating sessions were scheduled before a vote, which will be at the end of a membership meeting at noon today at McGavock High School. A vote against the contract could set the stage for a strike when the current agreement expires today at midnight.
Members must approve a walkout by a two-thirds majority to strike. Otherwise, Vought's offer would go into effect automatically. Maxie Garrett, the Nashville plant's human relations manager, said in a letter sent to workers on Friday that the company is prepared to continue production if a strike is called. Vought's Nashville plant also employs 200 executives, administrators and other office staffers.
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