The settlement, which the board says is one of the largest ever reached by the NLRB, resolves monetary obligations arising from a series of unfair labor practice charges filed by the Paperworkers International Union (PACE) and five individuals against APC beginning in 1987, and concludes nearly 16 years of litigation.

APC's liability for back wages and retirement benefits arose from an October 10, 1989 board decision in which the board held that APC had violated the National Labor Relations Act by failing and refusing, at the end of an economic strike in 1987, to offer qualified strikers reinstatement to their appropriate pre-strike positions.

Under the terms of the settlement, APC will pay to the 95 claimants entitled to back wages, severance pay, medical reimbursement, and/or interest, a total of $11,745,000. APC will establish an account in the company's 401(k) plan for each eligible claimant, and will allow each claimant an opportunity to voluntarily contribute to the plan the maximum amount allowable for each year covered by the back pay period of each claimant. APC will contribute, using funds separate from the $11,745,000, a total of $41,619 to the 401(k) accounts of 42 eligible claimants; and APC will grant each of 71 claimants so entitled additional pension credits for the time they should have been employed by APC, but were not.

Additionally, under the terms of the settlement, APC's pension plan will be obligated to credit eligible claimants for all lost pension benefits, with APC assuming responsibility for any pension plan shortfall that may result from the granting of such additional credits.

Links

• National Labor Relations Board