Aug 16, 2016
MIDDLETOWN — Three unions rejected a contract Sunday with American Ordnance LLC and two unions went on strike at 12:01 a.m. Monday at the Iowa Army Ammunition Plant in Middletown.
Machinist and Aerospace Workers Local 1010, Teamsters Local 238 and Operating Engineers Local 150 failed to reach an agreement on a new contract. The collective bargaining agreement contracts ended at midnight Monday. The Machinist and Aerospace Workers Local 1010 and Teamsters Local 238 went on strike, while Operating Engineers Local 150 did not. The three unions were meeting Tuesday morning with American Ordnance officials.
"There are a few sticking points," said Scott Webster, business agent for Machinist and Aerospace Workers Local 1010.
Though American Ordnance tries to keep the benefits the same for all the unions, the pay issue can vary among the unions.
"We are continuing our negotiations," said Tammy Dean, arms and business development manager for American Ordnance.
The plant expects to continue limited production by using management and non-union employees.
American Ordnance did reach a three-year collective bargaining agreement with five craft unions and Electrical Workers Local 13.
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