Sub-Zero Workers Accept 20 Percent Pay Cuts To Keep Jobs
MADISON, Wis. (AP) — Union workers at Madison-based Sub-Zero/Wolf have agreed to a deal that will save their jobs, but with a 20 percent cut in pay and benefits over a year.
Company vice president Chuck Verri tells the Wisconsin State Journal on Friday that the agreement runs through October 2018 and will save the jobs of about 200 workers.
Last month, the employees of the home appliance company narrowly rejected an initial proposal from the company that was similar to the one they ratified Friday.
Sub-Zero/Wolf had threatened to move Wolf production to Kentucky if the concessions were not approved.
But union spokesman Dave Goodspeed says company officials reached out last week and the two sides reach an agreement that he says contained some improvements.
For one thing, the cut will now be gradual, 5 percent at the start of each quarter.