Union steelworkers plan to rally on Friday in Granite City to protest stalled negotiations with United States Steel Corp. on a contract that expires on Sept. 1.

“Negotiations with U.S. Steel are not going well,” said Dave Dowling, subdistrict director for the United Steelworkers (USW) union.

“We’re concerned over the possibility of a work stoppage sometime after Sept. 1. I’m not predicting that,” he said.

A spokeswoman for the Pittsburgh-based steelmaker declined to comment on the bargaining.

Dowling says the company wants “drastic changes” in its ability to outsource work, in work scheduling and job assignments. The company wants to increase employee costs for health care, and reduce health benefits for retirees.

“Wages are not even on the table yet,” he said.

U.S. Steel lost $261 million in the second quarter amid a 34 percent drop in revenue. The company has been hurt by imports of less expensive foreign steel and an overall decline in demand for steel.

The union represents 17,000 members at U.S. Steel, including 2,000 workers at its steel mill in the Metro East, the Granite City Works. In May, U.S. Steel reversed plans to temporarily idle the plant.

The company is completing the installation of a caster and work on one of its two blast furnaces, Dowling said.

“We’re reasonably confident about the future of the plant,” he said.

U.S. Steel on Monday announced that it would permanently close a blast furnace in Birmingham, Ala., idling 1,100 workers.