Union workers went on strike at Kohler Co. on Sunday after overwhelmingly rejecting what the firm had called its "last, best and final offer."
The strike — the first at the company since 1983 — was declared after paper-ballot voting by an estimated 1,800 United Auto Workers members attending a meeting at Sheboygan South High School.
Ninety-four percent voted down the Kohler proposal, Tim Tayloe, president of UAW Local 833, told cheering workers after the ballots were tallied.
Local 833 represents about 2,000 employees at the company's huge plumbing-ware factory in the Village of Kohler and at a generator plant north of Sheboygan.
Workers on Sunday cited multiple problems with the company's offer, ranging from what they described as an inadequate pay increase to higher health care costs and continuation of a two-tier wage scale.
In 2010, with the economy still reeling from the worst recession since the 1930s, the Local 833 membership accepted a company proposal that froze wages for five years, increased health insurance costs and established a system that pays newer employees much less than their longer-tenured co-workers.
This time, with area unemployment low and a resurgent housing market benefiting Kohler, the workers wanted more.
"The company has been taking it to us for many years now, and we've had enough," said Eric Koene, 43, of Sheboygan, a Kohler employee for 22 years.
Particularly objectionable, he said, is the two-tier wage scale. If that were scrapped, as Local 833 proposed to do over six years, "this (contract) would pass easily, maybe even 100%," Koene said.
In a statement Sunday afternoon, the company said it was "very disappointed" by the union vote and indicated it has unspecified plans in place to continue production.
The firm said a strike could hurt job growth at its Sheboygan County operations and said it was "concerned that union officials may have misrepresented what could be achieved in a strike."
"A work stoppage like this will unfortunately cost our associates and can negatively influence our desire to grow jobs in this location," the company said.
"The contract proposal offered wage and benefit increases during each year of the contract, an increase of the pension multiplier for eligible associates, increases across the board in life insurance, short-term and long-term disability and other insurance benefits, and more health care options," Kohler said in its statement.
Employees are welcome to report to work as normal Monday, the company said.
