Steel cost redux

[GeoHorn]

Texas is a " right to work " state but the Lonestar plant has allways had a union and its history has not been a peaceful one in the early years in the 1950's. A few members had a thing for dynamite at stricke times.

“Right to Work” is a misnomer of-course, that refers to the Taft-Hartley Act known as 14-B which stipulates that a “closed shop” is not enforceable in Texas... So any union benefits also apply to non-union workers even tho’ they don’t pay dues or otherwise have to pay for the benefits.

LoneStar steel is a well-known case of jobs being exported for increased profits in a union-busting move by the company.... but when they need the workers again the company hopes to find sufficient experienced steel-workers who will come back to work at sub-standard wages and benefits. It’s been a long hard disagreement in the area.

 

[SidecarFlip]

George is correct. Michigan is also now RTW. In a union shop (in this case UAW) you don't 'have to join the union to be employed there but... While a non union scab worker gets the same benefits as a union worker, if the company has an issue with the non union worker, the union will not represent that worker in arbitration or collective bargaining. IOW, that worker is 100 % on his or her own concerning any workplace rules violations or 100% at the mercy of the employer.

Around here at least, non unions shops have to pay equal to a union counterpart in wages and ancillary benefits or they cannot find any employees and if they do, they will be substandard ones.

Like the outfit I retired from. The owner was adamantly non union but, he also paid comparable to union wages and benefits, actually, in some cases better and I didn't have to pay union dues so it was a good deal. Never had any issues filling positions, in fact, they always had a sheaf of applicants in waiting.

 

[GreensvilleJay]

scrap ( mixed tin) is about 5 cents per pound ay the local yard, get 2 more cents an hour away....
I worked at STELCO for over a decade before USS bought it,gutted it, left.There were 10,000 employed now 200-250 ... so it's not just the Chinese that have dessimated the steel industry.
Another big factor is PLASTICS. Not a lot of 'steel' in cars anymore and unlike steel, car plastics, at least here, do NOT get recycled..just landfilled.
As for RTW vs Unions. The 'builders unions' demands the city to ONLY hire UNION companies to do work !! Costs more, do less. Case in point. A SIMPLE summertime ,2 mile road 'rework' cost millions and took LONGER than the ENTIRE Alaskan highway project did. Nuther one, again SIMPLE....replace 4'D culvert under a 2 lane highway road, took over 4 MONTHS...'union job'. A private contractor would have done the job in 3 days ( 72 hrs).

 

[SidecarFlip]

Municipalities lack any foresight (for the most part) because they aren't spending THEIR money, they are spending YOURS so it means nothing to them. That plays in all levels of government from Federal down to local.

Nor all but most. Financial responsibility is usually lost when it comes to government entities in general.

Not familiar with Stelco or Lone Star but I am with Republic / LTV steel and they were bought out by Acelor Mittal which certainly isn't a domestically represented. In fact I believe the big owners are Indian (as in India).

Steel for me has increased in cost 3 fold and scrap had dropped like a rock since the Chinese quit sucking it all up.

Steel is as bad as lumber is but interestingly, the cost of milled lumber didn't increase that much, but the cost of OSB tripled. I'm not a big fan of OSB anyway. I don't get excited by wafer board and formaldehyde glue..........

 

[GreensvilleJay]

re: Acelor Mittal .. pretty sure they are from France, they bought out Dofasco here in Hamilton, years ago.
I'm just totally POed that FOREIGNERS control Canadian manufacturing.
BTW 2x4x8 is about $8 CDN ( $11 USD) per stick here this week ! keeps going up.... OSB 'flooring' is $36 ,so $50 US...per sheet...

 

[SidecarFlip]

Wherever they are from Jay, they aren't domestic (US) or Canadian and the profits leave.

 

[GeoHorn]

George is correct. Michigan is also now RTW. In a union shop (in this case UAW) you don't 'have to join the union to be employed there but... While a non union scab worker gets the same benefits as a union worker, if the company has an issue with the non union worker, the union will not represent that worker in arbitration or collective bargaining. IOW, that worker is 100 % on his or her own concerning any workplace rules violations or 100% at the mercy of the employer.

Around here at least, non unions shops have to pay equal to a union counterpart in wages and ancillary benefits or they cannot find any employees and if they do, they will be substandard ones.

Like the outfit I retired from. The owner was adamantly non union but, he also paid comparable to union wages and benefits, actually, in some cases better and I didn't have to pay union dues so it was a good deal. Never had any issues filling positions, in fact, they always had a sheaf of applicants in waiting.

So,.... just like unions say publicly... they Benefit Everyone!

When I drink with my friends.... I pay my share of the Tab!

(Unions—— The folks who brought you Weekends!)

 

[SidecarFlip]

Don't know George, don't consume alcohol.