AKRON -- Goodyear Tire & Rubber Co., North America's largest tiremaker, has set Friday as a deadline to reach agreement on a contract with its largest U.S. labor union, or it will begin announcing plans to lower costs.þþThe company's lead negotiator, Jim Allen, informed the United Steelworkers of America of the decision Wednesday, said Goodyear spokesman Chuck Sinclair.þþThe union posted a statement about the deadline on its Web site. Goodyear hasn't set a specific time on Friday or disclosed cost-cutting options, Sinclair said.þþThe union and Goodyear resumed talks last week after a one-month hiatus, as workers seek assurances the company won't close factories and will limit cuts in health-care and pension benefits. Goodyear is proposing to reduce costs after $1.31 billion in net losses the past two years and a drop in sales in North America, the company's biggest market.þþÿDifficult decisions have been made, and more difficult decisions will be made in the future if we want to preserve thousands of North American jobs,ÿ Sinclair said. He wouldn't say whether that means plant closings or job cuts.þþUnion spokesman Wayne Ranick declined to comment.þþÿWe're still committed to reaching a final agreement that gives us what we're seeking and is acceptable to the company,ÿ Ranick said. He said the union is prepared to bargain non-stop to reach an agreement.þþThe company's action may be an effort to force a decision by the union so that Goodyear can begin restructuring, said John Russo, coordinator of the labor studies program at Youngstown State University's College of Business Administration in Ohio.þþÿThe company might want to announce the plant closings, which would then give the union cause to strike,ÿ Russo said. He said the union could go on strike or use a ÿstrategicÿ campaign such as asking members to adhere to factory work rules, staging random or rolling walkouts or beginning a consumer information campaign.þþGoodyear plans to replace some U.S. tire production with products made in countries where employees are paid lower wages. Chief Executive Robert Keegan said in April that Goodyear plans to boost U.S. imports to 10 million tires a year from 4 million.þþ
Source: Chicago Tribune
