After months of hard work by your Bargaining Committee, we have reached a Severance Agreement with the company.  As we explained in the membership meetings we held on May 25, bargaining over the effects of a shutdown completely changes the dynamics of bargaining.  In short, the union faces a more difficult time because its usual leverage points are taken away.

Despite this, we were able to leverage the solidarity and support you gave us into the agreement we are describing below.  We are confident that we negotiated the best agreement possible and left nothing on the table. 

• The existing collective bargaining agreement (CBA) will continue in full force and effect through its termination date of March 17, 2023, except as modified in the memorandum of agreement with Mylan addressing shutdown issues.

• Severance – each person will receive two weeks of regular straight-time pay for every year of service, up to a maximum of 52 weeks.  However, no person, regardless of their years of service, will receive less than 12 weeks of severance pay.  Regular straight-time pay includes regular straight-time hourly wage rate, technical premium, longevity pay and shift premium. For employees whose bid-in job is the potency suite, regular straight-time pay will also include the potency suite premium at the level paid the day prior to the employee’s termination date.  Severance pay will be paid at normal pay dates rather than as a lump sum.  For example, if you have 20 years of seniority, you are entitled to 40 weeks of severance pay, which will be paid at the normal pay dates over that 40-week period.  The union and company agreed that these payments are severance pay in order to avoid any interference with unemployment benefits (though the State of West Virginia will decide all unemployment benefit eligibility questions).

• Healthcare – your healthcare will continue for the same length of time as your severance payments.  You will be receiving benefits as part of COBRA, the federal law that governs continuation of benefits for when you lose employment (as well as other reasons, but loss of employment is applicable in this situation).   The company will subsidize the entire cost of COBRA premiums for the period of time you are receiving Severance.  The subsidy will end when/if you are offered healthcare at a subsequent employer, but it is not clear how the company will administer this provision.

• Prescription drugs provided under Sections 26.6 and 26.7 of the CBA to eligible employees, eligible dependents and parents of eligible employees will continue to be provided until March 17, 2023.

• Employees on Short-Term or Long-term Disability coverage at the time they are terminated will continue to receive coverage for the maximum term described in Section 10.2.  Additionally, a person on Short-term Disability may also be eligible for Long-term Disability coverage.  Short-term and Long-term payments will be deducted from Severance payments, so that the employee will receive 100 percent of regular straight-time pay. 

• Vacation pay accrued, but not taken (per Section 21.4), will be paid within 10 days after the employee’s termination date.

• Current retirees, employees who may retire prior to or upon the day they are to be terminated, and those employees who would have obtained eligibility had they not been terminated are eligible to receive the $110 reimbursement payment described in Article 34.  These payments will end March 17, 2023.

• Current retirees and those employees who may retire prior to or upon the day they are to be terminated will continue to receive Mylan manufactured drugs at no cost (per Section 26.5), until March 17, 2023.

• Employees who are currently laid-off and have recall rights as of July 31, 2021, will receive a $2,000 payment (less applicable holdings).

• Employees may request, within two months of their termination due to the plant closure, a letter from the company that contains the following information: date of hire; titles of all jobs held during employment at Mylan; termination date; and the reason for termination was the result of the permanent closure of the facility.

• Employees receiving severance payments, including employees on lay-off with recall rights as of July 31, 2021, are required to sign a standard waiver and release in order to receive their severance payments/benefits.  This release has been negotiated and agreed to by both the USW’s General Counsel, as well as the Local’s outside counsel.

• There is a limited amount of work that will continue after the facility is closed.  Your Local Bargaining Committee worked with Local management to determine how this work will be filled.  Generally, the positions will be filled by volunteers who will be asked in order of seniority and in order of the following groups: employees on their bid in job and Seniors; Utility Workers and Department Coordinators in the designated work area; and then employees temporarily transferred to the job. Only if there are not enough volunteers, then the company will select the least senior employees in the required job classifications. Based upon conversations Local Committee members have had with employees, it is anticipated that there will be enough volunteers and junior employees will not need to be selected.  More information on this process will be explained by your Staff Representative and/or your Local Bargaining Committee members.

Your USW Local 8-957 Bargaining Committee
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