Goodyear Tire & Rubber and the United Steelworkers (USW) have reached tentative agreement on a new five year master labour contract covering nearly 7,000 workers at five plants in the United States.
"We believe we have crafted a new labour agreement that positions both Goodyear and the United Steelworkers for success in the future," said Jim Allen, the tyre maker's vice president, global labour relations.
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The tentative agreement is subject to a ratification vote by USW members at the five plants covered by the contract: Akron, Ohio; Danville, Virginia; Fayetteville, North Carolina; Gadsden, Alabama; and Topeka, Kansas. It is expected that the local unions will schedule ratification votes within the next few weeks.
Goodyear's second quarter 2017 sales were US$3.7bn, down from $3.9bn a year ago, due to lower tyre unit volume.
Original equipment unit volume was down 8%.
Second quarter 2017 net income was $147m (58 cents per share), down from $202m (75 cents per share). Second quarter 2017 adjusted net income was $177m (70 cents per share), down from $314m ($1.16 per share) in 2016.
The company reported second quarter operating income of $361m in 2017, down from $531m.
