International Paper and Union Reach Deal

[Omaha Steve]

http://www.forbes.com/feeds/ap/2007/08/24/ap4052058.html

MEMPHIS, Tenn. -

International Paper Co. on Friday said it reached a four-year master agreement with United Steelworkers union members at 14 of its U.S. pulp, paper and packaging mills.

International Paper (nyse: IP - news - people ) said the deal, which was ratified by union members on Thursday, lays out a framework for bargaining future local labor contracts at the mills.

The agreement establishes a separate wage structure for new hires and also bars labor strikes and lock-outs, the company said.

Union officials said workers will receive a 2 percent pay increase on the expiration date of their local contract and on the second anniversary. They will also get $1,000 lump sum payments on the first and third anniversaries, the union said.

FULL STORY AT LINK.