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Friday, 25 October 2013 08:30

Ormet employees dealt another blow this week

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Health insurance claims may not be paid, says company letter

HANNIBAL, Ohio -- Displaced employees of a now-defunct Monroe County aluminum producer have been dealt another blow.
A letter from Ormet Corporation to its employees states their health insurance claims may no longer be paid. The letter, dated October 23, states that the Ormet Corp. "does not have access to funding sufficient to satisfy health care claims that have not been submitted for reimbursement by Blue Cross and Blue Shield." The notice says that, as a result, some health claims that employees have incurred or will incur will not be paid.
Union officials of the United Steelworkers of America said that they are as shocked by the news as their members. A spokesman added that the union believes the plant could re-open, if Ormet were to get help from Gov. John Kasich and other Ohio lawmakers.
More than 900 workers from southeastern Ohio were impacted by the closure of the aluminum production plant, announced earlier this month. Ormet officials said they were forced to shut down the Hannibal plant after a rate reduction settlement failed to compensate for budget shortfalls.

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