Casey, Fetterman, Deluzio, Lee Demand Answers from Nippon Steel on Commitments to Pennsylvania

On day of announcement of Nippon Steel’s proposed purchase of U.S. Steel, members of Congress question Japan-based company’s commitment and future footprint in Keystone state

Members also admonish Nippon Steel for breaking commitments to United Steelworkers under current labor agreements

Members: “Our railroads, skyscrapers, and critical infrastructure across the country would not exist without Pennsylvania steel and the workers who forged it”

Washington, D.C. - U.S. Senators Bob Casey (D-PA) and John Fetterman (D-PA), and Representatives Chris Deluzio (D-PA-17) and Summer Lee (D-PA-12) sent a letter to Japan-based Nippon Steel pushing the company for commitments to Pennsylvania and the United Steelworkers in its?proposed acquisition of U.S. Steel. In their letter, the Pennsylvania members of Congress pressed Nippon Steel on the critical importance of U.S. Steel’s impact on Pennsylvania’s workers and industrial base and chided the two companies for not communicating with the United Steelworkers ahead of the announcement. The members also demanded specifics on how Nippon Steel plans to keep commitments made to workers and retain jobs in Pennsylvania. 

“Our railroads, skyscrapers, and critical infrastructure across the country would not exist without Pennsylvania steel and the workers who forged it,” the Members wrote. “For generations, union steel jobs have been sought after for the opportunities they provide to Pennsylvanians and their families. U.S. Steel and the steel industry are a part of Pittsburgh and Pennsylvania’s core economic identity. As you seek to acquire U.S. Steel, our top priority is what this means for Pennsylvania’s economy and communities, as well as the workers that provide the backbone of both.” 

Full text of the letter below and the signed PDF can be found here. 

Eiji Hashimoto 

President 

Nippon Steel Corporation 

2-6-1 Marunouchi, Chiyoda City 

Tokyo 100-8071, Japan 

Dear Mr. Hashimoto: 

We write today to express our deep concern that, in your plans to acquire U.S. Steel Corporation, you could fail to fully recognize the importance of Pennsylvania workers and the Pennsylvania industrial base. Your proposed acquisition of U.S. Steel Corporation, if completed, would make you a major employer in Pennsylvania and across the Nation, as well as a critical part of the U.S. steel industry. It is imperative that anyone who seeks to acquire U.S. Steel understand and comply with the commitments made to the United Steel Workers (USW) under their legally binding contract. This deal has already demonstrated a disregard for these commitments to workers because the USW was not consulted or notified ahead of the public announcement of the sale, as their collective bargaining agreement would seem to require. 

Workers, who have propelled the U.S. steel industry to the top of the global market, should be a central consideration when making decisions about this acquisition and your continuing operations. Pennsylvania's industrial might, too, warrants your full attention. Simply put, our railroads, skyscrapers, and critical infrastructure across the country would not exist without Pennsylvania steel and the workers who forged it. For generations, union steel jobs have been sought after for the opportunities they provide to Pennsylvanians and their families. U.S. Steel and the steel industry are a part of Pittsburgh and Pennsylvania’s core economic identity. As you seek to acquire U.S. Steel, our top priority is what this means for Pennsylvania’s economy and communities, as well as the workers that provide the backbone of both. In that regard, we would like further clarity on the proposal and its potential impacts to Pennsylvania’s industrial base and workers. 

1. How does your acquisition of U.S. Steel Corporation impact workers in Pennsylvania? 

1. 1. How many current U.S. Steel employees will be retained in the short and long term? How many will be reassigned? How many jobs will be displaced by existing Nippon employees? 

1. 1. Are you aware of the full scope of commitments made to workers under U.S. Steel’s contract with the United Steel Workers? What are your plans to comply with them? 

2. How do you plan to utilize U.S. Steel’s existing operations, facilities, and supply chain in Pennsylvania should you successfully acquire them?   

3. What impact would an acquisition of U.S. Steel have on your production, operations, and locations both in the US and abroad? 

4. What engagement has Nippon Steel had with stakeholders with an interest in this acquisition, such as the United Steelworkers and other relevant trade unions, state officials or agencies, local government officials, or other Pennsylvania entities? 

1. 1. To what degree have you worked with U.S. Steel to conduct this engagement? And are you aware of U.S. Steel’s obligations to do so according to their contract with the United Steel Workers? 

5. What commitments, if any, can Nippon Steel make about its intention to preserve or expand operations and employment in Pennsylvania should it successfully acquire U.S. Steel? 

Thank you in advance for your responses to these questions. If you have any questions, please feel free to contact us directly or have your staff contact Senator Casey’s office at (202) 224-6324.    

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