United Steelworkers union sets 2026 contract goals, emphasizing wages, healthcare, and AI protections, per several media reports and officials.
The United Steelworkers (USW) union has officially put forward its proposals for the upcoming round of contract negotiations with major energy companies, aiming to begin talks in early 2026. This development was announced by Mike Smith, Chair of National Oil Bargaining for the USW, during a meeting held in Pittsburgh that gathered over 300 union members. The current labor agreement, which covers approximately 30,000 refinery and Chemical Plant workers nationwide, is set to expire just after midnight on February 1, 2026.
These workers, employed at facilities responsible for processing more than half of the United States’ crude oil supply, are represented by the USW in what are known as national pattern negotiations. The lead negotiator for the USW will once again be Mike Smith, joined by International Vice President Roxanne Bron and International President David McCall. Formal negotiations are expected to commence in January with Marathon Petroleum Corporation (MPC), the lead employer in these talks.
Marathon Petroleum, for its part, has expressed optimism about the upcoming negotiations. “As the leading company in the national pattern negotiations, MPC is looking forward to productive negotiation with the USW. It is also committed to working towards a mutually satisfying agreement," according to several media reports.
A primary focus for the union in this upcoming round of negotiations is wage enhancement. Smith emphasized the importance of strong wage proposals amid today’s economic challenges. Workers covered under the current contract are reported to earn, on average, more than $50 per hour. However, Smith did not disclose specific figures for the proposed wage increases, citing the preliminary nature of the discussions.
Another major issue highlighted by Smith is the rising cost of Healthcare. “We are trying to ensure good health care without having to bear the brunt of rising cost,” he said. The union’s healthcare-related proposals aim to maintain quality coverage without shifting additional financial burden onto workers.
In a forward-looking move, the union is also introducing a proposal related to Artificial Intelligence. Smith explained that the AI proposal is designed to safeguard jobs and the industry as the technology continues to evolve. “The AI proposal was to protect our industry as we try to understand its impacts,” he stated.
Before formal discussions can begin, a supermajority of local USW unions must approve the proposals within 45 days. As for the potential difficulty of the negotiations ahead, Smith remarked, “It’s early. No bargaining session can be easy or simple. Our members are willing to do whatever it takes to get a contract that is fair for all of our members.”
In the previous agreement reached in 2022, the USW secured a 2.5% wage hike in the first year, followed by 3% raises in the second and third years, and a 3.5% increase in the fourth year, as reported by several media reports.
