Employees at Montgomery General will vote on May 30 to decide if they will go on strike.
If the employees vote to strike, state health care regulations require the union give the hospital a 10 day notice.
The 130 workers represented by the Steelworkers Union rejected a tentative 3 year proposal earlier this month.
It would have frozen the wages, but could have been lifted if the hospital had become profitable.
The hospital has been losing money since 2004.
Nursing aides and custodians have been working without a contract since May 1.