Controversies and criticisms
Imerys Talc America worker lockout
After Imerys Talc America in Three Forks, Montana unveiled plans to phase out union workers' retiree insurance, seniority, and overtime clauses and to alter work rules and classifications, Boilermakers Local D-239 union workers did not ratify a new contract. On 2 August 2018 Imerys informed union workers by letter that they would be locked out of the workplace and escorted the remaining employees off of the property. The mill's union president, Randy Tocci, stated that the company brought in employees from other sites around Montana to run the mill in Three Forks, crossing picket lines. Over August and September, multiple Montana elected officials and candidates visited the picket lines, such as Democratic Governor Steve Bullock, Senator Jon Tester, and US House candidate Kathleen Williams. On 9 August Montana Governor Steve Bullock stood with the unionized plant employees for more than an hour, offering his support and expressing hope that the parties would return to negotiations.
On 6 October 2018, in response to the lockout, Tester introduced a bill called Prohibiting Incentives for Corporations that Kickout Employees Tax Act, or PICKET Act (S. 3544 ), that would raise tax rates and eliminate tax breaks for corporations while they are engaged in labor lockouts. Deduction of wages and benefits for temporary workers during the lockout would also be prohibited under the Act, and certain tax credits for hiring replacement workers would be prevented. This bill has no co-sponsors and has not received a hearing in the Finance Committee during the 119th Congress.
On 31 October 2018, after three months of negotiations, union workers voted to approve a new three-year contract with Imerys, effectively ending the lockout and allowing workers to return to the plant. Randy Tocci said that “Imerys brought some different people to the table on Oct. 25, which helped move the negotiations forward.” About the contract, Tocci further said that it “protects seniority while also considering skills in applying for jobs and will continue to provide health benefits to retirees who leave the company through 2019. Workers will get a 3 percent increase in base pay, but their pensions will be frozen”.
Talc business
Through Imerys Talc America, Imerys led operations in talc mining and talc transformation for many years in Montana and Texas. These activities served local markets, as varied as paper & board, plastics, and cosmetics. As a talc supplier for Johnson & Johnson, the company was a co-defendant with Johnson & Johnson in mass tort litigation in the USA involving powder products that some consumers alleged to have contained asbestos and caused them to develop cancer. Imerys Talc America has always denied that its talc products contain asbestos and stands by the safety of its products. Faced with a growing number of complaints, on 13 February 2019 the North American Talc Subsidiaries of Imerys (Imerys Talc America, Imerys Talc Vermont, Imerys Talc Canada) filed bankruptcy under Chapter 11 of the United States Bankruptcy Code.
On 15 May 2020 Imerys came to an agreement with representatives of the current and future tort claimants to resolve their historic talc-related liabilities. As part of the plan, the North American Talc subsidiaries agreed to sell their assets and contribute the proceeds to a Trust to compensate claimants. That sale process was completed in November 2020, when the Court approved the sale of the North American talc business to Magris Resources, a Canadian mining group, for $223 million. The debtors are aiming to close the sale in early 2021. Under the plan, the trust would also receive all insurance and indemnities related to the talc liabilities in North America, as well as a cash contribution from the Imerys Group. This plan of reorganization is pending approval by the claimants and the Court.
