1917 |
Gillette (Safety) Tire Company formed by R.B. Gillette in Eau Claire, Wisconsin.
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1919 |
Gillette workers organize as Rubber Workers Union #16454.
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1929 |
Wage incentive plan (Bedaux system) initiated.
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1933 |
Gillette workers form Federal Labor Union No.18684.
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1935 |
International Union of United Rubber Workers of America formed. Federal Labor Union No.18684 becomes Local #19.
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1936 |
United Rubber Workers of America affiliates with the Congress of Industrial Organizations (CIO). First major successful strike of the Rubber Workers takes place against Goodyear in Akron, Ohio.
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1937 |
Recognition of URWA Local #19 as collective bargaining agent for wage employees at Eau Claire plant.
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1938 |
First written contract between Local #19 and Gillette.
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1940 |
U.S. Rubber acquires Gillette.
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1942 |
U.S. Rubber sells the plant to the U.S. government and converts the plant to an ordnance factory.
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1943 |
Election of Local #19 as bargaining agent for Eau Claire plant office workers.
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1944 |
Reconversion of the Eau Claire plant back to tire production. National War Labor Relations Board orders voluntary check off, maintenance of membership, and weekly pay period in response to union demands.
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1945 |
URWA changes to the United Rubber, Cork, Linoleum and Plastic Workers of America (URCLPWA).
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1947 |
Local #19 votes to establish a consumers' cooperative.
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1969 |
#1 Banbury automated.
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1974 |
Management implements cost cutting measures which eliminate overtime.
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1975 |
URW Local 19 workers give company a million dollars in concessions for capital investment in Eau Claire plant.
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1977 |
Cost relief programs implemented.
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1981 |
Management implements JSIP (job security investment program). Giant-off-the-road (GOTR) and monoply truck tires phased out of production. Conversion to radial tire production “radialization.” Plant slated for shutdown (again)--no equipment to make radial tires, which the market demands. 25 million dollars in concessions to company for new equipment.
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1982 |
ECAP (employee cost adjustment program) implemented.
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1983 |
Total Quality Management concepts introduced at Eau Claire. Concession of $1.25 per hour to make radial tire production possible at plant.
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1985 |
Clayton and Dubilier Inc., a New York based private investment firm that specializes in managed buyouts, buys Uniroyal Inc. (according to union lawsuit time line; not mentioned in Wall Street Journal however).
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1986 |
Merger of B.F. Goodrich and Uniroyal to form Uniroyal Goodrich.
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1987 |
B.F. Goodrich sells its half share of Uniroyal Goodrich Tire (UGT) to Clayton and Dubilier Inc. Buyout financed through 560 million dollars in high-risk high-yielding junk bonds issued by Drexel Burnham Lambert Inc. Uniroyal CEO gets a 1.6 million dollar bonus.
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1988 |
Contract includes many “give backs” to save the company money and prevent plant closing. Workers give back 63 cents per hour, and waive one week vacation and 3 paid holidays--concessions totaling somewhere between $14 million and $41 million. In return they receive a guarantee that the plant will not be closed in the next 3 years, as well as a Stock Appreciation Rights (SAR) program.
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1989 |
Michelin Tire Corporation buys UGT from Clayton and Dubilier for about $690 million ($1.5 billion including the company's debt). Eau Claire City Council approves a $2 million loan, in return for a promise the plant will be kept open until March 1991. Company also received $920,000 federal grant (Title IX).
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1990 |
Michelin acquisition approved by U.S. Department of Justice. Temporary 10 percent layoff at plant. Uniroyal Goodrich purchased by Michelin.
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1991 |
On January 8, UGT announces it will close the plant in 1992. Phase out plan includes stopping radial tire production in July 1991 (with a loss of 500-600 jobs), and eliminating all other jobs in 1992.
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1992 |
Local 19 files a lawsuit against UGT, Michelin, and Clayton and Dubilier, seeking $145 million plus triple damages. First attorney Jack Blum is replaced by Michael Shaw. June 26--final closure date. July 11--Local 19 drops lawsuit after accepting $2.88 million settlement. Final vote 201 to 198. April--Michael Shaw is fired as attorney and sues the union for unpaid legal fees and a share of the settlement. Union claims settlement was part of 1988 contract, in which Shaw was not involved. Shaw loses suit. A countersuit in which the Local accuses Shaw of filing a “frivolous” suit is won by Shaw.
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