Contract negotiations collapse, prompting NIPSCO to lock out hundreds of union workers

NORTHERN INDIANA -- The United Steelworkers (USW) and NIPSCO did not reach an agreement on a new contract after the final offer deadline of April 2 at 4 p.m. CT.

This comes after NIPSCO said it gave USW its fourth "Last, best, and final offer" at 4:22 a.m. on April 1, after 21 hours of negotiating.

The United Steelworkers (USW) say they want NIPSCO to guarantee fair working conditions, respect the contribution of employees and support long-term success of the company and community. 

NIPSCO sent a statement to ABC57 News tonight: 

"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. Learn more at www.NIPSCO.com/Stronger."

To read more on NIPSCO statement click here: NIPSCO Initiates Lockout of United Steelworkers-Represented Employees Pending Agreement on Company’s Last, Best and Final Offer

Below is United Steelworkers Press Release:

USW Condemns NIPSCO Lockout of 1,600 Workers Across Northern Indiana

"Mishawaka, Ind. - The United Steelworkers (USW) today condemned Northern Indiana Public
Service Co. (NIPSCO) for locking out approximately 1,600 experienced union members across
two bargaining units, calling the move an aggressive escalation that threatens worker safety,
undermines labor rights and disrupts communities across northern Indiana.

The lockout impacts members of USW Local 12775, known as the physical unit, and Local
13796, which represents clerical workers. The affected employees were willing to stay on the
job performing critical work to maintain safe and reliable energy services throughout the
region, but NIPSCO management chose to lock them out instead.

The company's actions come amid ongoing disputes over the increased use of outside
contractors, a mandatory overtime acceptance rate, and potential limitations on work
continuity during outages - all of which present serious safety concerns.

"This lockout is a reckless decision that puts profits ahead of the welfare of our communities,"
said USW International President Roxanne Brown. "USW members keep this system running
safely and efficiently, but instead of bargaining in good faith, NIPSCO chose to shut them out
and double down on proposals that would erode job security and jeopardize safety for workers
and the public alike."

"NIPSCO has pushed to expand contracting out of work that should be done by experienced
union members, threatening the jobs that feed our families and power our communities while
raising questions about training, oversight and accountability," Brown said. "At the same time,
the company demands excessive overtime acceptance rates that would further strain workers
who already face long hours and unpredictable schedules, which would create dangerous
conditions in an already demanding industry."

USW District 7 Director Mike Millsap said that the union has also raised concerns about the
company's dismissive attitude toward union driven safety proposals, which gives the
impression that the negotiations are focused more on profits than on protecting workers and
public safety.

The USW is calling on NIPSCO to end the lockout immediately and return to negotiations with a
commitment to reach a fair agreement that respects workers, protects safety and maintains
reliable service for Indiana residents.

"Our members want to do their jobs and serve their communities," Millsap said. "This dispute
can be resolved if the company obeys the law, negotiates with us in good faith and bargains a
fair contract."

The USW represents 850,000 workers employed in metals, mining, pulp and paper, rubber,
chemicals, glass, auto supply and the energy-producing industries, along with a growing
number of workers in health care, public sector, higher education, tech and service occupations."