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NLRB to charge Titan with massive Natchez liabilities
July 18, 2000 @ 05:00:00 am
PITTSBURGH / USWA / - The following was issued today by the United Steelworkers of America (USWA): Today, Curtis Wells, Director of the National Labor Relations Board

The following was issued today by the United Steelworkers of America (https://www.uswa.org/]USWA[/url]): Today, Curtis Wells, Director of the National Labor Relations Board?s Region 15 in New Orleans, informed the Steelworkers and Titan Tire Corp. of Natchez, Miss. - a subsidiary of Titan International Inc. (NYSE: TWI) - that the NLRB will be issuing an unfair labor practice complaint against Fidelity Tire, a Division of Condere Corp. and Titan Tire Corp. of Natchez.

The basic theory of the NLRB?s case is that Titan Tire Corp. of Natchez is the alter ego of Fidelity Tire. Under labor law, an "alter ego" employer is a company that shares substantially identical ownership, management, business purpose, equipment, customers, and supervision with another supposedly-distinct employer. An "alter ego," when it takes over a business operation, is obligated to hire the employees of its predecessor and to assume the predecessor?s collective bargaining agreement.

On September 4, 1998, Titan Tire Corp. of Natchez purchased the Natchez tire plant from Fidelity Tire. Titan Tire Corp., and a related entity, OTR Wheel (which was owned by the two brothers of Titan and Condere CEO, Maurice Taylor, Jr.) had held a controlling interest in Condere?s stock. When Titan bought the plant, Condere fired the entire work force, Titan refused to rehire the employees, and Titan refused to accept the terms and conditions of employment which had applied between Fidelity and the Steelworkers.

Three hundred members of Steelworkers Local Union 303L who were unlawfully terminated began an unfair labor practice strike on September 15, 1998 - a strike that continues through today, over 21 months later.

Among the legal relief that the NLRB will be seeking will be an order compelling Condere and/ or Titan to pay the 300 Steelworkers back pay and all other make-whole relief dating from their discharge by Condere in September 1998. The amount of liability is likely to be at least $20 to $30 million and increases daily until the case is determined or settled.

Leo T. Bradley, president of Steelworkers Local 303L responded, "We are ecstatic about this decision. Although we recognize that we may have a long road ahead of us, the NLRB?s decision confirms what we have been saying for two years ? those jobs are our jobs.

"Morry Taylor could not take those jobs away from us, or take away from us the benefits we had worked for years to achieve. His scam of selling the plant from one company he controls to another just won't wash. With the help of the federal government, we will bring Condere, Titan, and Morry Taylor to justice."

Bradley also stated that the union would soon conduct a meeting of its members when more of the specific details are known. It is anticipated that a hearing before a NLRB administrative law judge could occur as early as the fall of 2000.

For more information contact Leo T. Bradley (601-445-5172) or Tom Johnson (888-519-4295), both of the United Steelworkers of America. Or visit the USWA website at: www.uswa.org.

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