Heavy Steel Industry to pay $2.4 billion to union for contract deal

Birmingham, Alabama — The heavy steel and aluminum industries will pay $1.2 billion to settle a union contract dispute, the Birmingham Industrial Council said Wednesday.

The union, representing some 3,000 employees, said in a statement the agreement included $1 billion in severance pay and $1 million in non-qualified bonus pay, in addition to an additional $200 million in pension and health benefits.

Union officials have not yet said how much of the settlement money will go toward pensions and other benefits for workers.