Lawyers involved in Sharon Steel Corp.’s bankruptcy have reached a settlement that would give the United Steelworkers $52,447 on behalf of the company’s former union employees and retirees — bu not directly to employees and retirees themselves.

The agreement was struck after union lawyers earlier this week asked other attorneys in the case to remember that Sharon Steel workers suffered the most when the company folded.

“The way they asked us was so nicely put it made us look within ourselves. It proved to be too hard to turn them down,’’ said Phil Beard, a former Sharon Steel creditor’s attorney.

Funds would come from recently discovered money from the defunct Farrell steelmaker that had been sitting in various accounts for more than a decade. Initially, $479,000 was discovered but that figure has now risen to about $590,000, Beard said.

Funds not earmarked for the USW will go to pay unpaid attorneys’ fees and other administrative costs stemming from Sharon Steel’s second bankruptcy.

Bankruptcy court Judge Warren W. Bentz has indicated he is likely to approve the agreement which could come as early as Tuesday. Bentz oversaw both of the steelmaker’s bankruptcies.

However, even if Bentz OK’s the settlement, interested parties can file an appeal within 10 days of his order.

USW attorneys acknowledged that while former union workers have $4.2 million in unpaid claims against the company they probably weren’t entitled to the money since there are outstanding legal bills. Under the federal Bankruptcy Code administrative fees and legal bills have a higher priority in getting paid. In this case the fees exceed the amount of the discovered funds.

“With a claim of $4.2 million we realize this is a symbolic thing,’’ Beard said.

Gene Bianco, the last president of the main USW local at Sharon Steel, attended a hearing earlier this year and pleaded with Bentz to give union workers something out of the funds.

“Not bad,’’ said Bianco upon hearing about the settlement on Friday. “At least we’re getting something.’’

A more interesting decision awaits.

If everything falls into place and the USW gets the money, the union must then determine where it will go. The final decision rests with the International USW based in Pittsburgh.

Johnny DeFazio, a USW district director whose territory covers Mercer County said Friday he was unaware a deal had been reached.

“Our legal department is going to have to get together and figure out what to do with the money,’’ DeFazio said.