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The Associated Press
Mountain Iron, Minn.

Fewer layoffs than expected coming to Minntac plant

U.S. Steel's Minntac taconite mine and plant
U.S. Steel's Minntac taconite mine and plant loomed over the city of Virginia, Minn., on April 10, 2015.
Dan Kraker | MPR News

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U.S. Steel is laying off fewer workers than originally expected as it plans to cut production June 1 at its Minntac plant at Minnesota's largest iron mine.

United Steelworkers Local 1938 official John Abrogast says the union and U.S. Steel reached an agreement this week to reduce the number of layoffs from 700 to 400 workers. The Mountain Iron facility employees about 1,500 people.

To reduce layoffs, some employees at the plant will go to a 32-hour workweek. Voluntary layoff forms are being handed out to workers, and more details about layoffs by department are expected Friday.

U.S. Steel has cited high steel imports, dumping of foreign steel and low steel prices in trimming Minntac's production. The Pittsburgh-based company has said the layoffs are temporary.