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Steelworkers sue Alcoa to keep retiree life insurance benefits

By staff |
December 21, 2019
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Washington, DC - The United Steelworkers (USW) filed a lawsuit, December 19, in the Southern District of Indiana to protest Alcoa USA Corporation’s terminating life insurance benefits for approximately 8900 union-represented retirees.

Alcoa informed the retirees by letter on December 4 that it would eliminate life insurance coverage effective December 31, 2019. The company included with the letter a check equal to a fraction of the face value of their life insurance coverage and a federal 1099 tax form, since the payment would be taxable.

The lawsuit was filed as a class action, and three Alcoa retirees have joined the complaint as proposed class representatives. The Wenatchee Aluminum Trades Council, a coalition of unions representing workers at an Alcoa facility in Washington state, is also a plaintiff.

The union is also studying other announcements that the company made regarding the health care benefits for certain retirees effective in 2021.

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