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Freqently Asked Questions
Below are responses to some of the most Frequently Asked Questions received through the "Ask a Question" feature.
Check back regularly, as this list will continue to be updated with additional questions and answers.
If you would like to submit a question, click here.
What does it mean when a contract is extended?
It means the terms and conditions of the current agreements will remain in effect beyond the original expiration date of July 18. The new expiration date is August 15.
Does the extension mean negotiations are not going well?
The extension simply means that the two sides recognize that it will take additional time to reach a common ground on some of the more complex issues.
Can either side give 72-hour notice to terminate the extension?
No. The parties have agreed to extend the contract until 11:59 p.m. Eastern on Aug. 15, and the extension cannot be terminated by either side.
Q. Is Goodyear going to propose closing a plant during this contract?
A. Earlier this year, prior to the start of 2009 master contract negotiations, the parties agreed to “unprotect” the Union City, Tenn., plant. At this time, the Company has not proposed to unprotect any other plants.
Q. What has Goodyear proposed related to the grandfathering of employees’ wages under the old wage structure?
A. To remain competitive in the marketplace, Goodyear needs all of its employees to work within a market-based wage structure. That was the purpose of creating the six job grades during the 2006 contract. When the Company agreed to grandfather existing employees during the term of the 2006 contract, it was intended to allow employees time to transition from one job grade to another before the new wage rates take effect in July 2009. Whether grandfathering is eliminated, phased out over time or continued will be a subject of discussion between the parties during this negotiation.
Q. Will the pension multiplier be increased?
A. The subject of pensions will be discussed during the course of 2009 negotiations.
Q. Who are the members of Goodyear’s negotiating team?
A. Goodyear’s negotiating team is made up of the following:
Jim Allen, Vice President of Global Labor Relations – Chief Spokesperson for the Company
Chuck Cookson, Director of Human Resources, North American Tire Manufacturing
Tom Broderick, Director of Compensation & Benefits
Bob Horn, Manager of Corporate Labor Relations
Mike Hallbauer, Manager of Human Resources, North American Tire Manufacturing
Walt Lutz, Manager of Benefits Policy & Planning
Susan Moore, Manager of Health & Welfare Benefits
Mark Patterson, Manager of Financial Analysis, North American Tire Manufacturing
Wally Mueller, Labor & Employment Attorney
Amy Brei, Manager of Communications, North American Tire Manufacturing
Tom Gossett, Manager of Human Resources, Union City, Tenn., plant
John Czervionke, Manager of Human Resources, Gadsden, Ala., plant
Bill Quinn, Manager of Human Resources, Fayetteville, N.C., plant
Charles Hollis, Manager of Human Resources, Topeka, Kan., plant
Joe Pullano, Manager of Human Resources, Buffalo, N.Y, plant
Derek Bartholomew, Manager of Human Resources, Akron, Ohio, plant
Peggy Scholzen, Manager of Labor Relations, Danville, Va., plant
Brenda Ross, Labor Relations Administrator, Akron, Ohio, plant
Q. When will the tire building incentives be equal across the board for all tire builders?
A. The issue of incentives will be a topic of discussion between the parties during this negotiation.
Q. Will we be getting COLA increases back in this contract?
A. COLA was not “taken away” in the 2006 agreement. The Cost-of-Living-Allowance (COLA) is based on the consumer price index (CPI) from the Bureau of Labor Statistics. As part of the 2006 master contract, the parties agreed that the first $1.00 of COLA would be deferred to the Voluntary Employees Beneficiary Association (VEBA), which was established to provide medical benefits to USW retirees. After that $1.00 deferral was reached, COLA adjustments were added to wages in April and July of 2008. The 2006 labor agreement called for the October 2008 COLA payment to be paid as a lump sum, rather than added to wages. Since Oct. 2008, due to the economy, the CPI has not risen to a level resulting in any additional COLA adjustments.
Q. Why do new hires have to wait three years for a pay increase? Is there a proposal for a pay increase being brought to the table as part of this negotiation?
A. The current pay structure for ‘new hires’ was agreed to by Goodyear and the USW as part of the 2006 master bargain. During the course of the 2009 bargain, this subject may be discussed by the parties.