Rockwell Dodge Workers Strike Columbus Plant

Rockwell Dodge Workers Strike Columbus Plant Production workers at Rockwell Automation Inc. (USA; NYSE: ROK ROK) Power Systems division plant in Columbus, Indiana, went on strike yesterday. The plant manufactures Dodge bearings, Reeves mechanical adjustable speed drives, gears, and a variety of other power transmission products. Approximately 150 workers affiliated with International Machinists Local 1270 walked off the job at 12:10am this morning, after rejecting the company's last 5-year contract offer. The plant employs a total of 200 people. Predictably, the sticking points are related to insurance and hourly pay issues. The current contract negotiations began in May, but quickly broke down and did not resume until just a few days ago. Rockwell's last proposition is that workers shoulder 15% higher health insurance costs each year for the five years, and give up dental and vision benefits. The company is offering a 3% per year wage increase over the life of the contract. Other issues were not disclosed by either side. Members voting on the latest contract proposal reportedly rejected it, 90 for to 33 against, while at the same time voting 89 to 30 in favor of authorizing a strike action. In continuous operation since 1890, the Rockwell Automation plant is the oldest manufacturing facility in Columbus. Less than two months ago, Rockwell Automation announced plans to sell off its two Power Systems division business units: Reliance Electric motor and motor repair, and Dodge mechanical components. Dodge manufactures a wide variety of bearings, gears and other power transmission components. On the bearing side, it offers mounted and unmounted bearings: ball, tapered roller, spherical roller, hydrodynamic, plain sleeve and journal bearings. For mounted bearings, it offers mounted ball bearings, take-up frames, and other components. Follow-up : August 17, 2006 Rockwell and Local 1270 reached agreement on terms of a new five-year pact. Details were not released, but it reportedly contained no major changes from the rejected offer. Presented to workers, they voted today to accept the latest contract offer, 76 for to 56 against, ending the 11-day strike. Workers returned on the following shift.