Cliffs, Steelworkers announce tentative labor agreement

Cleveland-Cliffs announced Wednesday that tentative contract settlements have been reached with the United Steelworkers union, representing approximately 2,000 hourly employees at its four managed iron ore mines in Minnesota and Michigan. Contracts at Hibbing Taconite and United Taconite in Northern Minnesota, and Empire and Tilden Mines in the Upper Peninsula of Michigan are set to expire on August 1.Company officials said no details of the settlements would be released publicly until union members have ratified the contracts.John S. Brinzo, Cliffs' chairman and chief executive officer, said, “We are pleased that tentative settlements have been reached. These were difficult negotiations but together we have achieved labor agreements that are fair to our employees, while allowing the Company to maintain a competitive position within our industry. We appreciate the hard work that went into these negotiations.”Governor Tim Pawlenty sent his comment on the situation as well. “Today's news that Cleveland-Cliffs and the United Steelworkers have reached a tentative agreement on a four-year contract is good news for Minnesota. A divisive and emotional strike had the potential to not only disrupt the lives of the workers and their families, but the economy of northeast Minnesota. I applaud both parties for their willingness to reach an agreement. “The state of Minnesota looks forward to working with Cleveland-Cliffs on the Mesabi Nugget project and other projects that have enormous potential for economic growth in Northeast Minnesota,” said Paw-lenty.Cleveland-Cliffs Inc, headquartered in Cleveland, Ohio, is the largest producer of iron ore pellets in North America and sells the majority of its pellets to integrated steel companies in the United States and Canada. The company operates six iron ore mines located in Michigan, Minnesota and Eastern Canada including Northshore Mining in Babbitt and Silver Bay.