Locked out union workers at the BP refinery in Whiting would lose unemployment benefits if the company has its way.
Many of the roughly 800 workers, represented by the United Steelworkers Local 7-1, filed for unemployment after they were locked out in March.
The union says B-P did not challenge that. Now, the company is, seeking the okay from the state to end unemployment benefits, and to potentially require the workers to pay back what they've already received.
Union President Eric Schultz calls it “unconscionable.” State Senator Rodney Pol, a Democrat representing Northwest Indiana, agrees.
“That’s about as low as you can get,” Pol told WBBM. “The idea that you’re going to hold them in purgatory, not fire them, not give them benefits, not let them eat, and put the locks on the gates and then bring other people in, that’s pretty low.”
Pol said “it’s a manipulative negotiation tactic” during a labor dispute that has gone on for more than six months.
The union says many of the locked out refinery workers have been getting about 300 dollars a month in unemployment benefits.
Union workers outside the BB refinery in WhitingUSW Local 7-1
There are efforts on the state and national level to guarantee that locked-out workers get those benefits.
“If you’re terminated, you get unemployment benefits,” Pol said. “If your employer basically says, ‘well, you’re not terminated but you can’t come to work, you’re not getting your benefits, you’re not getting paycheck, and if you go and get another job, you’re gone,’ it’s a strangulation tactic.”
Pol doesn’t disagree with the union’s assertion that BP’s goal is to break the union. He noted that one company demand is for 120 days of notice before a strike could occur.
BP issued the following statement:
We are working diligently to reach an agreement with the USW 7-1 bargaining committee. bp Whiting refinery remains committed to bargaining in good faith toward an agreement that supports our employees, our community and the Whiting refinery's long-term future. We continue to believe that constructive dialogue at the bargaining table is the best path forward to reaching an agreement that allows our union-represented employees to return to work.
- Throughout this work stoppage, bp has continued to provide certain employee benefits, including access to medical, dental and vision coverage.
- The unemployment claims process is an ongoing legal matter before the State of Indiana. bp does not comment on ongoing legal matters.
On background:
Changes to benefits eligibility during a work stoppage are common across our industry. However, bp has continued to provide certain employee benefits, including medical, dental and vision coverage, throughout this work stoppage. Employees also have options to continue coverage through programs such as COBRA if their eligibility status changes.
What is the bp Whiting refinery proposing?
- Modernized job structures, training and upskilling – giving employees opportunities to grow, develop and strengthen their skills at every stage of their career, while supporting a safer and more reliable refinery for the long term.
- Greater long-term certainty for employees, the refinery and the community through a proposed six-year agreement and an extended 150-day industrial peace clause before any future strike or lockout after contract expiration.
- Base wage improvements that build on already strong pay, which ranks in the top 10-15% in Indiana by offering USW National Oil Bargaining Program (NOBP) “industry pattern” base wage increases for six years and the same “industry pattern” $2,500 lump sum signing bonus.
- Additional $5,000 to $7,500 payments for employees in certain roles.
- On aggregate, the entire employee base will see a 13% increase on base wage rates over the first 4 years, and then NOBP wage rate increases for the last two years.
Has the refinery been impacted?
The refinery continues to operate safely, reliably and compliantly, with no impact to operations as a result of the current labor dispute.
Please find the latest updates on the Whiting refinery labor negotiations by visiting our website at WhitingNegotiations.com.Statement from USW Local 7-1
BRITISH PETROLEUM ASKS STATE TO DENY UNEMPLOYMENT FOR LOCKED-OUT WORKERS, FORCE THEM TO GIVE BACK ANY PAYMENTS RECEIVED
British Petroleum has officially filed an appeal with the State of Indiana, asking that already-approved unemployment claims be denied
for hundreds of workers the London company locked out of their jobs in March.
If the company’s appeal is granted, United Steelworkers Local 7-1 members will lose the roughly $310 a week in unemployment benefits
they are now taking home. Worse, they could be required to pay back unemployment benefits they’ve already received.
Union leaders will join state legislators are calling on Gov. Mike Braun, who oversees the agency that decides unemployment appeals, to reject the company’s effort.
“British Petroleum’s latest attempt to hurt Northwest Indiana families is unconscionable,” said Eric Schultz, president of USW 7-1. “Locking us out of our jobs and taking paychecks away from hundreds of local families was always part of their negotiating strategy. This is the next step in their negotiating strategy and proof they truly do not care about this community or the people who call it home.”
Earlier this year, more than 98% of the union’s roughly 800 members voted to reject the company’s demands to eliminate dozens of jobs, impose pay cuts for most workers and that all workers give up bargaining and seniority rights. British Petroleum then chose to lock those workers out of their jobs and deny them paychecks.
Many of those union members then filed for unemployment, which was approved by the State of Indiana. British Petroleum did not challenge those filings before a state deadline, but now says that was an error they are asking the state to overlook.
A hearing is set for Oct. 16 on British Petroleum’s unemployment challenges against the Whiting refinery workers.
Whiting is the last union refinery in the U.S. for British Petroleum, which has already delivered nearly $6B in profits to its shareholders this year. Still, their CEO vowed to deliver even more profits this year, while continuing to demand hundreds of Whiting refinery workers be locked out of work until they agree to the company’s demands to cut jobs, wages and workplace rights.
More information can be found at www.supportoilworkers.com.
