The workers at the plant rejected the contract Wednesday with 62 votes to 11, the two sources said.
The workers are represented by the Independent Oil Workers Union (IOW) in Paulsboro. Officials from the IOW office did not respond to a telephone message.
Sources said the proposal had commissioned Exxon, not the union, to select security officers and the overturned profits the union had made with the company in previous arbitrations.
“You have used our fears to decimate this contract,” said one of the sources.
Exxon Mobil spokesman Todd Spitler said the allegations are unjustified.
“We reject these unjustified claims,” said Spitler. “You just have to look at the current market conditions to see that this is simply not true.”
Spitler said Exxon’s goal is to continue to negotiate in good faith to reach an agreement with the IOW.
“Exxon Mobil continues to focus on the safety and health of our employees and our contribution to addressing the impact of the novel corona virus in the community,” he said.
A United Steelworkers Union (USW) official at the Exxon refinery in Baytown, Texas said last Friday that the company was taking advantage of the economic uncertainty caused by the coronavirus pandemic to urge workers to sign a new contract.
Like most petrochemical manufacturing employees, the Paulsboro plant employees cannot do their jobs from home and have to work in shared production areas.
The Paulsboro plant produces and packages lubricants.
(Reporting by Erwin Seba; editing by Tom Hogue)