Negotiating Early Contract Extension for Major Defense Contractor
We successfully represented a major defense contractor in early contract extension negotiations tied to a major effort to win additional work for the employer’s unionized facility in Wisconsin. We developed a strategy to persuade the union to come to the table three years prior to contract expiration, and to consider significant concessions in return for a commitment to perform the work at that location. The union was naturally reluctant to commit to a long extension, and we assisted the client in exploring other incentives to create a true win-win opportunity for both sides. This involved not simply pitting a union location against a non-union location, but demonstrating that the concessions sought by the company were supported by comparables in the market. The client ultimately achieved a five-year contract extension, assuring it eight years of labor peace and a labor cost and benefit structure that would enable it to submit a competitive bid to the government.