(TNS) — The United Steelworkers said it made “no progress” in a Thursday meeting with Nippon Steel that lasted less than an hour and provided little assurance to union chiefs that the Japanese steelmaker will protect American jobs.
“Nippon has still not earned the trust of the USW, and we remain convinced that the company does not fully understand its obligations to Steelworkers, retirees and our communities,” USW international president David McCall and negotiating committee chairman Mike Millsap said in a letter following the meeting.
The union has consistently sought to block U.S. Steel’s proposed $14.9 billion sale to Nippon since it was announced in December, arguing in formal grievances and a letter sent last week to U.S. Senators that it was left out of the deliberations and that the takeover will threaten domestic jobs and national security.
Nippon has agreed to honor all existing labor agreements, retain the U.S. Steel name, and keep its Pittsburgh headquarters. Both Nippon and U.S. Steel have said the deal will benefit both companies, and the union.
The Thursday meeting included multiple Nippon representatives, including executive vice president Takahiro Mori, the union’s letter said.
“Nippon offered more promises and commitments today, but did not provide us with anything enforceable,” the letter states. “Our concerns remain what they have always been: enforcing our labor agreements and obtaining transparency about Nippon’s finances in the event this transaction occurs.”
Nippon did not respond to a request for comment. The meeting took place a week after multiple outlets reported that USW and Nippon Steel signed a nondisclosure agreement.
Company officials have said the sale is expected to close in the second or third quarter of this year, but it remains subject to a review by the Committee on Foreign Investment in the United States, which some observers believe could take up to a year.
“It’s clear that USS and Nippon have barriers to closing the transaction,” the USW letter said.
All parties have stepped up their lobbying efforts since the deal was announced, though it is not entirely clear what impact, if any, those will have on the CFIUS outcome.
The Biden administration has called for “serious scrutiny” of the sale, while Republican frontrunner Donald Trump has vowed to block it “absolutely.”
