Rexnord employees reach deal with union for severance package; layoffs begin in February
INDIANAPOLIS, Ind. – Union officials have reached a deal with Rexnord employees on a severance package just a few months before layoffs at the plant are expected to begin.
According to Chuck Jones, president of Steelworkers Local 1999, the severance package offered to Rexnord employees is almost exactly the same package offered to Carrier employees which is six months of medical and dental insurance and the equivalent of one week’s pay for every year of service.
“A severance package never replaces a job, but as packages go this one is pretty good,” said Jones.
The agreement affects 298 employees, and the union distributed the packets to workers yesterday and today.
The steelworkers will meet Sunday at 11:30 a.m. at the Union Hall to provide their input and have questions answered.
Jones says the responses they have gotten back so far have been pretty positive.
“It should give the workers a head start on moving forward,” Jones said.
The City of Indianapolis along with the federal government will assist with retraining opportunities through Employ Indy programs.
The timeline for the plant’s closure hasn’t changed. Rexnord will begin laying off employees in February and the plant will close in June and moves to Monterrey, Mexico.