Frequently Asked Questions

Kennecott is hopeful that we can reach an agreement with the Unions to extend the current CBA, including agreement on compensation during the extension period, before the Apex investment proposal is presented to the Rio Tinto Investment Committee and Board of Directors. While an agreement would not guarantee approval of the Apex investment, demonstrating labor stability for the near future could strengthen the case for the project.  

The planned mine expansion, referred to as Apex, is expected to produce an additional 1.2 million tons of mined copper and to extend the life of Bingham Canyon Mine to about 2040. While some early works for Apex were approved in 2025, the full mine-life extension is not yet approved. We are on track to seek full funding approval from the Rio Tinto Investment Committee and Board of Directors at the end of this year. If we receive approval, the full project would likely begin in 2027.

CBA negotiations and the Apex investment decision are separate processes. The Apex decision will depend on numerous factors.

If we do not receive approval for Apex, we will progress toward closure with an approximate closure date in 2032. 

No. These are referred to as “Apex Early Works,” and they were approved separately, to allow certain projects to get underway that in the event Apex is approved, it will create a simpler start for the full project.  

As of this date, there is no plan to return to negotiations prior to 2027.

The decision to return to negotiations is a mutual decision between both the Unions and Kennecott, and as of this date, there is no plan to return to negotiations prior to 2027. However, Kennecott has agreed to honor the terms of the current Tentative Agreement between the Unions and Kennecott, should it be ratified by November 16 at 5:00 p.m.

The recent negotiations were specific to a 3-year extension of the current CBA and wages during those 3 years. Should the Tentative Agreement between the Unions and Kennecott be ratified by November 16, the benefits as outlined in the current CBA would remain the same through the extension period (March 31, 2030). However, if the parties proceed to negotiations in 2027, the full CBA will be subject to bargaining.

The wages as noted in the wage chart provided in the mailer and posted to this site were negotiated between the Unions and Kennecott. 

There is no change to the pension plan as that was not within the scope of this negotiation. As such, the pension multiplier will remain at the 2027 amount through the 3 years of extension.

Under the Tentative Agreement negotiated between the Unions and Kennecott, Mechanical & Electrical Craft and Line Crew would have $3 per hour of the current tool allowance rolled into their applicable base wage rate prior to calculating the year 1 base wage increase of 4.5%. This new base wage would also be increased by 3.25% in year 2 and an additional 3.25% in year 3 if the Tentative Agreement is ratified prior to November 16. In addition to the increase in base wages under the Tentative Agreement, Mechanical & Electrical Craft and Line Crew would receive an annual lump sum tool allowance payment of $1,000.   

Pension plan: 

Effective January 1, 2028, the noncontributory pension benefit multiplier will increase to Fifty-eight Dollars ($58.00). 

Effective January 1, 2029, the noncontributory pension benefit multiplier will increase to Fifty-nine Dollars ($59.00). 

Effective January 1, 2030, the noncontributory pension benefit multiplier will increase to Sixty Dollars ($60.00). 

Retiree medical and VEBA: 

Upon successful funding of the Apex capital project, the contribution rate per hour worked will be $0.94 effective January 1, 2027; $0.98 effective January 1, 2028; and $1.02 effective January 1, 2029. 

If Kennecott does not receive capital funding for the Apex Capital Project, the contribution rate per hour worked will remain at $0.90.