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Ontario GE Workers
Share in Back Pay Award


Thanks to vigilant enforcement of the provisions of the UE-GE National Agreement, 112 workers at the GE aircraft engine maintenance and repair facility here have divided up nearly a quarter of a million dollars in back pay. This settlement comes over a year after UE Local 1010 charged the company with underpaying newly hired workers.

In early 1997 in response to securing some significant new contracts, GE began hiring aircraft engine mechanics at a rapid pace. In trying to secure fully qualified mechanics, GE advertised widely, and even organized and participated in job fairs in their search for top notch applicants. By February 1997, mechanics were being hired at the rate of about 20 per week. Eventually 217 new employees were engaged.

However, Local 1010 officers quickly discovered that many of the new hires were being paid only 70 percent of the job rate and placed under an extended wage progression schedule that would prolong to three years the time it would take to make full rate. This extended schedule is provided for in the contract, but applies only to lower skilled jobs within the wage structure. GE was forced to acknowledge their error in the grievance procedure; affected employees were made whole.


GE then decided that they would start many of the newly hired mechanics four steps below the job rate, with a wage progression step to be paid each six months. While this would normally be the correct procedure, a longstanding provision of the UE-GE National Contract provides that "applicants experienced on the job for which hired will begin at a rate not less than two steps below the job rate and will be increased to the job rate within six months, if qualified."

Local 1010 filed a new grievance under this provision. Not only were the new hires obviously highly experienced, the vast majority were FAA licensed. What’s more, the union proved that such new hires had always been paid within two steps of job rate in the past. Nevertheless, GE steadfastly refused to change its position. At one point, management said that only those who had worked on GE engines, as opposed to those of other aircraft engine manufacturers, would be considered "experienced."

At the third step grievance meeting, GE’s corporate union relations representative conceded that he would hate to have to tell a non-GE customer that work on their engines paid less and was being performed by inexperienced mechanics. The grievance was referred back to Ontario for further discussion.


Instead of a discussion, however, GE management in Ontario read a prepared statement that they would move affected workers to job rate, but without any back pay. This they stated was "final." Local Pres. Al Estrada responded that the UE Local 1010 membership and not GE would be the ones to decide what would be final.

The grievance was again referred to the third step of the procedure and back once again to the local level, after which the Ontario management underwent a marked attitude adjustment. The settlement not only includes immediate advancement of the affected employees to job rate, but full back pay including overtime, and an apology to Local 1010 by GE local management.

Led by Pres. Al Estrada and Chief Steward Bill Wossum, the entire Local 1010 Executive Board was involved in this victory. Local 1010 officers are particularly gratified that they were able to help so many new members and thereby increase the strength and solidarity of the union. As Wossum recently noted, "Once again, the company helped to build our membership in more ways than one."

UE News - 06/98

Home -> UE News -> 1998 Archives -> Article

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