Gerdau Ameristeel Halts Operations at Texas Mill

Gerdau Ameristeel ceased operations at its Beaumont, Texas mill late last week. In halting the mill’s operations, the company management said that the decision is part of an effort to encourage the United Steelworkers of America labor union to act on the company's "last, best and final" agreement offer presented to the union committee May 9.

"We regret that the union committee has forced us to take this action until a labor agreement is achieved," said Philip Bell, director of human resources for Gerdau Ameristeel. "The company has exercised this legal provision to end the uncertainty both sides face by not having a new labor contract. We are eager to get the mill reopened as soon as an agreement is reached. We want our employees back at work as soon as possible." The company and its workforce have been working without a labor agreement since March 31, 2005, and have been negotiating since The Beaumont mill, acquired by Gerdau this past November,  recycles more than 500,000 tons of steel each year to produce wire rod.