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Marathon and Teamsters End Strike with Seven-Year Pay Agreement

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Marathon and Teamsters End Strike with Seven-Year Pay Agreement
Teamsters Union members picket at the Marathon Petroleum Detroit refinery on September 4, 2024 in Detroit, Michigan. Getty Image/Bill Pugliano

After three months of halted negotiations and a strike that began in early September, Marathon Petroleum and union workers at its Detroit refinery have reached a seven-year agreement.

Members of Teamsters Local 283 voted to ratify the deal on December 14, bringing an end to the first strike at the facility in 30 years.

Detroit Refinery Strike Ends with Union Victory on Pay, Benefits, and Safety

The new contract offers significant wage increases while maintaining union-provided health care without employee contributions. Workers also retained their pension plans, which were a critical point in the negotiations.

The agreement comes after months of failed discussions regarding pay and safety conditions. Marathon had been operating the refinery with substitute workers during the strike, a move that union members argued created unsafe conditions for employees and the surrounding community.

The strike, which involved over 200 workers, began on September 4 after the union's previous contract expired in January, Reuters said. Despite multiple mediation sessions, the two sides had been unable to reach a consensus until now.

The 140,000-barrel-per-day facility, located in Southwest Detroit, is one of Marathon's 13 refineries in the United States, contributing to its total capacity of 2.9 million barrels of oil per day.

Union leaders highlighted the significance of the new agreement, emphasizing that the wage increases and maintained benefits represent a victory for the workers, many of whom faced economic challenges during the strike.

They also noted that improved safety measures were essential for ensuring a secure working environment going forward.

Detroit Refinery Strike Highlights Safety and Staffing Needs

Marathon expressed satisfaction with the outcome and confirmed that preparations are underway to bring employees back to work safely. The company stated that it remains committed to producing transportation fuels for local communities while ensuring safe operations.

The strike and subsequent resolution shed light on broader issues in labor negotiations within high-risk industries like oil refining.

According to Yahoo, Union members had raised concerns about unsafe conditions caused by untrained replacement workers, which underscored the need for qualified personnel in such a critical sector.

As operations return to normal, the new seven-year contract provides a foundation for long-term stability at the Detroit refinery.

Both the company and the union hope to move forward collaboratively, focusing on worker safety and efficient production.

This agreement also serves as a reminder of the power of collective bargaining, particularly in industries where safety and fair compensation are paramount.

For the workers of Marathon's Detroit refinery, the deal marks a significant step toward better pay, job security, and improved workplace conditions.

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