NIPSCO union worker lockout reaches Day 5: 'Troubling and concerning'

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NIPSCO union lockout continues into Day 5

It's been five days since NIPSCO locked out 1,600 United Steelworkers. This includes not only the utility company's linemen, but clerical staff as well.

It's been five days since NIPSCO locked out 1,600 United Steelworkers

This includes not only the utility company's linemen, but clerical staff as well.

What we know:

The contract for members of USW Local 12775 and Local 13796 expired last Thursday. 

Negotiations began on Jan. 20, and throughout last week, both sides were at the bargaining table. USW Vice President Vernon Beck told Fox Chicago that last Wednesday, they were negotiating for nearly 20 hours, but did not come away with a deal.

USW called the lockout of union members, "an aggressive escalation that threatens worker safety, undermines labor rights and disrupts communities across northern Indiana."

Beck said mandatory overtime, limitations on hours worked in a single day and NIPSCO expanding the practice of hiring independent, non-union workers for work, remain the main issues for why they are still far apart on a deal.

"There's going to be an unlimited amount on [whether] they can hold you over, or have you come in three hours earlier, or have to keep you over," said Beck.

He also told us the linemen in Gary, Indiana's district are budgeted for 30 union members. Beck said there are only 14 members working in that area.

On Tuesday, hundreds of locked-out USW workers protested outside of NIPSCO's office in Hammond, holding signs, demanding to go back to work, and what they consider to be a fair contract.

"We really hoped that we'd be able to get to a resolution on the contract, and we offered to continue bargaining," said Ryan Baker, president of USW Local 12775. "Less surprise and more disappointment that they'd put these hard working men and women out on the street rather than have them doing their jobs every day."

The other side:

Fox Chicago reached out to NIPSCO for an on-camera interview Tuesday to get their side of the story on where negotiations stand. 

The company sent us a statement saying:

"While contract negotiations have been ongoing since January 20, NIPSCO and the United Steelworkers (USW) have not yet reached a new collective bargaining agreement.

As part of the collective bargaining process, and following the expiration of the prior agreement, NIPSCO has initiated a lockout of USW bargaining unit employees effective April 2, 2026. This action will remain in place until the Union agrees to the Company’s last, best and final offer and a new agreement is reached.  

Our goal is to obtain a ratified contract that demonstrates our commitment to our customers, communities and employees and best positions us to continue delivering safe, reliable and affordable energy.  

As a regulated utility, NIPSCO remains focused on safety and reliable service and obtaining a contract that demonstrates our commitment to our customers, communities and employees."

In a press packet, NIPSCO said its latest proposal to the union was based on "safety, long-term service reliability, efficient emergency response and customer affordability." The company offered pay raises of 4.25%, 4% and 4% over a three-year period to its employees, plus additional raises for lineworkers, senior building mechanics, and one time bonuses up to $5,000 for workers if they ratify the contract by April 10.

"The fact that they broke off talks is very troubling and concerning," added Baker.

How it's impacting families

Fox Chicago spoke with Justin Payne, USW Local 12775 member, and 26-year NIPSCO employee at its gas division in Gary, Indiana. Payne is married with two kids, and explained why this contract dispute is not about money.

"I've given up so much with my family," said Payne. "I'm a family guy with my wife and my kids. I have given up weekends, holidays, tons of special events for this company and to see this happen is just unbelievable."

Fox Chicago asked him about his biggest fear the longer the lockout goes on.

"My biggest fear, right now is providing for my family right now," said Payne. "We're very nervous what's going to happen with this. My youngest is a junior in high school, Crown Point, plays varsity baseball. I don't want to miss those games. My oldest, he's a college student at University of Indianapolis. I don't wanna miss his events, you know, so it's about quality of being with my family right now."

Political intervention

On Tuesday, USW Local 12775 told Fox Chicago members of Indiana Gov. Mike Braun's administration reached out to them to set up a meeting this week. 

The sole purpose was to end the lockout. A spokesperson for Braun sent a statement saying:

"NIPSCO should end their lockout immediately and get back to the table. Hoosiers depend on reliable energy and the skilled workers who provide it."

On Sunday, Hammond Mayor Thomas McDermott Jr., posted on Facebook about a power outage next to Horseshoe Casino, where multiple businesses in the area were reportedly without power for an entire day, and some for longer. This reportedly was caused by a car crash. McDermott said some stores were forced to close during Easter weekend.

He said in part, "Only now, 30 hours later, do we see out-of-state, non-union contractors finally arriving to fix the problem. This wasn’t a major storm.  This wasn’t a widespread outage.  This was a single accident. NIPSCO customers are already paying some of the highest electric rates in the Midwest.  The least they should expect is timely, reliable service when something like this happens.

Thirty hours to respond to a downed pole, impacting businesses and public safety, is unacceptable. Period.

NIPSCO needs to get back to the negotiating table and resolve this union lock-out, because right now, it’s local businesses, their employees, and the safety of our streets that are paying the price."

Other support

Hammond Firefighters also posted on Facebook supporting USW during the NIPSCO lockout saying,

"Did you know Firefighters often request utility workers to de-energize buildings during fires? The risk of active gas or electric can be fatal. GET THESE MEN AND WOMEN BACK TO WORK NIPSCO. Our lives depend on it."

What's next:

Braun's office is tentatively scheduled to meet with members of USW Local 12775 this week with the goal to end the lockout. 

NIPSCO told Fox Chicago it continues to stand by its "last best and final offer."

Hammond