2012 National Oil Bargaining Page

Might seem so. Tesoro has shown no signs of bargaining in good faith, instead taking the old "take it or leave it" approach. Contract offers (last, best, final) have now been rejected at the Kapolei (Hawaii), Anacortes (Washington), and Martinez (California) refineries.


     Feb. 17 (Bloomberg) -- United Steelworkers union members at Tesoro Corp.’s refineries in Northern California and Washington state rejected the company’s contract offers, according to four people with knowledge of the union votes.

     Ninety-nine percent of USW members at the 170,000-barrel-a- day Martinez  refinery in California, the largest plant in Tesoro’s system, voted down the company’s “last, best and final offer,” said the people, who declined to be identified because the information isn’t public. Workers at the Anacortes plant in Washington also rejected the proposal, two people said.

     Martinez and Anacortes are the two latest  Tesoro sites to turn down the company’s offers. The union local at the 95,000- barrel-a-day Kapolei  refinery in Hawaii rejected a proposal Feb.

13. Workers at plants in Anacortes; Martinez; Kapolei;  Mandan, North Dakota; and Salt Lake City; totaling 508,000 barrels a day in capacity, may strike if they don’t reach settlements.

     Tina Barbee, a  Tesoro spokeswoman at the company’s headquarters in San Antonio, didn’t immediately return e-mailed and telephone messages left after business hours. Barbee said in an e-mail yesterday that the company is looking forward “to successful ratification of all agreements.”

     Union workers at the five refineries have been working on 24-hour rolling extensions of contracts that were set to expire Jan. 31.

     The premium of California-blend gasoline in San Francisco to futures traded on the New York Mercantile Exchange weakened by 6 cents to 24 cents a gallon, according to data compiled by Bloomberg. The fuel has risen 23 percent since the union local at the Kapolei plant rejected Tesoro ’s offer.

                       Contract Provisions

     Workers at the five refineries are opposed to a provision in Tesoro ’s offers that would allow the company to alter retirement plans, health care benefits and vacation time at a later date, four people said. Tesoro  is demanding “the unfettered right” to change language, Ron Espinoza, a union representative for Martinez , said Feb. 12.

     The union’s national negotiating team and Royal Dutch Shell Plc averted a potential general strike Jan. 31 by tentatively agreeing to a contract that includes pay increases of 2.5 percent in the first year and 3 percent in the second and third years, three labor representatives with knowledge of the negotiations said Jan. 31.

     Other companies involved include Tesoro,  Valero Energy Corp., Exxon Mobil Corp. , BP Plc , ConocoPhillips,  Chevron Corp. , Marathon Oil Corp., Sunoco Inc. and PBF Energy Inc.

     The national agreement becomes the pattern that Tesoro  and other refiners use in negotiating local contracts. Individual units may still decide to strike if the companies offer terms that don’t mirror those of the national agreement or can’t agree on language for local issues, such as job duties.


On a good note, the Tesoro Mandan site (North Dakota) recently won an NLRB ruling related to benefits. In short, the NLRB found Tesoro in violation of the National Labor Relations Act and ruled that Tesoro should:

cease and desist the unlawful practice(s)

bargain with the Union - including restoring the benefits and paying interest

For the full ruling, go here.

You should all be aware that this bargaining session is setting itself up to be the most contentious in decades. Our primary goal is to protect ourselves. We do not believe the oil companies have put workplace safety as the primary goal. Workers continue to be hurt or killed on the job. The recent NEP (PSM) audits found an almost universal failure to fulfill the requirements of PSM. We strongly urge our members to prepare themselves for some form of labor action.

In the event of a strike, the strike committee has set up the following hours:

First two weeks: 10AM - 5PM Monday through Saturday
Following weeks: 10AM - 5PM Monday/Wednesday/Friday
10AM - 10PM Tuesday/Thursday/Saturday

The Strike and Relief Committee will be located in the lobby of our Union hall.

To receive assistance during a strike, you will need to fill out a Request For Assistance form.

The rules on how the International Strike and Defense Fund operates can be found here.

To stay informed of where the International is in regards to negotiations, the International has set up the
Oil Bargaining web site, the Oil Bargaining Facebook page, and the USW Twitter Feed.