|
Union, Company
Sum Up as Third
Week Concludes
NEW YORK, June 5 — In the final session of the third week of bargaining, the UE committee completed
presentation of its proposals. Both sides summed up their concerns as the talks concluded this first phase.
The union committee had a number of proposals concerning Article VII, Continuity of Service-Service Credits. UE said
that full, five-year recall rights should be extended to employees laid off with six months or more service. Bob Brown,
Local 332, said that Fort Edward, New York management subcontracted work, claiming saying that it would take too long to
train new hires. "We have people could move right into those jobs," Brown said, noting that hundreds of former
Fort Edward employees have fallen off the recall list. He reported a successful grievance that brought back a woman with
nearly 20 years service who had just fallen the recall list.
UE proposed the elimination of the "continuing absence" rule. The union objected to the arbitrariness of
the rule. The union called for the extension by six months of the accumulation of service credits during layoff or
illness. Also, the UE committee said that service credits for prior periods of GE service should be restored after one
year rather than the current three years. Finally, the union said that under Section 2 of Article VII, the lump-sum
repayment provision should be eliminated.
Commenting on these Article VII proposals, Patrick Rafferty, Local 506, "These are important to our people,
especially if they have to leave their jobs through no fault of their own," he said.
The union committee next considered changes to the contract language under Article XII, Reduction or Increase in
Forces. UE members said displacement rights should be based on minimum qualifications for one-month schedule jobs. And
UE called for an increase in the Section 10 return rights to one’s job by an additional six months, and the inclusion
of all leaves under the Family and Medical Leave Act (FMLA) under this provision.
The UE committee proposed changing Article XXVIII, Upgrading and Job Posting, to award all jobs within the
three-month progression schedule to the senior bidder with minimum qualifications. "It’s too arbitrary the way it’s
set up now," objected Rafferty.
The union renewed its demand for a regular workweek of 37.5 hours, Monday through Friday, with no reduction in pay.
"I don’t think we’ll have a breakthrough in this area," commented GE spokesperson John Curtin.
In its final presentation of proposals, UE demanded the elimination of the discriminatory 60-cent shift differential
to new hires. Union members insisted that they receive the full 10 percent differential. "The differential is based
on the inconvenience, stress and medical problems associated with working nights," observed UE’s Steve Tormey.
"That isn’t altered by the date of hire."
The union said that average earnings should be paid for all dispensary and related time. Rafferty argued that
pieceworkers are penalized for having to seek medical assistance.
And finally, the UE committee said that funeral leave should be considered as an automatic entitlement in the event
of the death of a covered relative. Union members said that there have been some difficulties with the administration
and application of the current contract language.
UE committee members took turns offering their observations and concerns at the end of this phase of bargaining.
Overall, they emphasized their members’ expectations for a fair contract, with improvements in wages, pensions, job
security, insurance and other areas.
Ed Baran, Local 751, warned that the "modest" wage increase and additional health-insurance cost-shifting
sought by GE represented "a dangerous mix" with no real gain. Local 751 members at Niles/Mahoning want more
time off and early retirement. Retirees are facing a ferocious assault, and need assistance, not higher costs. Local 751
members are opposed to higher costs for health care, and see GE as part of the problem in health care inflation. Niles/Mahoning
workers are proud of GE domestic manufacturing and hope that their jobs can be passed on to a new generation.
For years, the company has told us that job security is earned, said Frank Fusco, Local 506. In negotiations over
farmout, management said the issues were cost and quality. Quality was never an issue. "We build the best, there
was never any doubt of that," Fusco said. Cost was a questionable issue. "Our people are tired of seeing their
jobs leave the plant, and subcontractors coming in to do work we could do," he said. Fusco said he hopes jobs will
remain in Erie and other UE locations.
With regards to health care, Fusco continued, "we’ve all heard about the 70/30 split, our members strongly
disagree. They disagree with 75/25. GE makes a lot of money with health care, that’s apparently part of the
problem," he said. Erie workers would like to see the health care issue fairly addressed. When other corporations
were struggling to make profits, GE had no problem, Fusco said. "Employees made that, and we expect fair wage
increases," he declared. The Local 506 president recalled how former GE CEO Jack Welch objected to early retirement
on the grounds that people shouldn’t leave GE to start new careers. "We agree," he said.
"Seventy-year-old retirees shouldn’t have to go out and find jobs in order to make ends meet."
The non-exempt salaried unit in Erie has been eroded, and Local 618 members are in an emergency mode, said Lynda
Leech. GE should stop closing plants and outsourcing jobs. Displaced workers find it difficult to get jobs in the
service sector. ‘While this country is an economic shambles, GE has survived well, and that shambles is not the fault
of us on the shop floor," Leech declared. And there’s nothing "healthy" about being forced to see a
doctor one doesn’t know or trust, or to worry about the cost of care. Pension improvements and a decent wage increase
are in order, she said. "Our concerns are genuine, these are things we all feel strongly about. Leech concluded
with a quote from Gibran’s The Prophet on the value of labor, and the observation, "We are proud to be
part of labor. We would like to see us win an agreement that allows us to continue to be proud."
In more than 22 years of employment at the Ontario jet engine repair shop, Marco Coeur said, he has seen the
workforce shrink and the pain in the eyes of co-workers forced out. "The head-counters made these decisions knowing
full well they won’t have to face these employees. We officers and executive board of Local 1010 do," Coeur said.
Retirees have seen the value of their pensions dwindle due to the high cost of medical care, and have been forced into
jobs like Wal-Mart. "Their long-time dream has turned into a nightmare," Coeur said. "Our membership
wants long-term protection, major improvements in the contract. We want our fair share, nothing more, nothing
less," he declared.
Bill Wossum, Local 1010, said Ontario workers "work really hard for our customers, we appreciate the
customers." It’s painful to lose customers and work to new GE facilities around the world. "It’s tough to
see people go out the door, and feel that pain," he said. The remaining workers need and deserve pension
improvements and affordable health insurance. "Our members definitely don’t want to go backwards this year,"
declared Wossum.
Local 332 members are expecting "fair and decent" contract improvements in all areas, said Bob Brown. He
emphasized that these are not one or two-issue negotiations. Pension benefits should be adequate, so that retirees don’t
have to get jobs to make ends meet. Fort Edward workers want to have the option of retiring at age 55, he said. With
regards to health care, Brown said, "We are paying too much now, we want fair and decent improvements, which the
company can afford." He said that with its profits from the health-care sector, GE is part of the problem. "We
want fair wages, we’re not working just for the satisfaction of making profits the company. Three years ago," he
said, the company gave what it considered an adequate raise. "We all know they could have done better."
"Hopefully, we will walk away with a fair and equitable agreement for both parties, not just the company,"
Brown concluded. "You’ve got it, we deserve better. The alternatives are a no-win solution."
Pat Rafferty, Local 506, said he had no doubt the company can attract new workers; he saw the lines waiting for SERO
replacement jobs. Five of the new hires are now stewards. "Until inequities are addressed, workers will always join
together," he said. UE members have already demonstrated their opposition to further health insurance
cost-shifting." Without job and income security protections, Rafferty commented, "the other things in the
benefit package don’t mean much, do they?" He reiterated support for improvements in both the career formula and
guaranteed minimum tables. And he said, "retirees must not be forgotten. They should have pensions they allow for
dignified retirement and that recognize their contributions."
"Higher profits per worker hasn’t come without a price," Rafferty continued. Workers deserve more paid
time off. The union’s expectations are reasonable, he emphasized. "All of our proposals are important in
developing a package that fairly rewards GE workers," he concluded.
David Dennison, Local 332, complained that the pension plan was inadequate and needs improvement. He stressed the
need for retirement at age 55 with 25 years’ service, opposed further cost-shifting, and insisted on removal of the
60-cent cap on shift differential.
Jeff Ogg, American Flint Glass Workers, said that a settlement containing increased health-care costs and minimal
increases in wages is not what his members are expecting. "I hope I don’t have to go back to them with a sad
story," he said.
"Our goal has always been to negotiate wage increases to improve our standard of living and purchasing power,
not to stay even with inflation," said Tormey. GE workers need wage increases in line with that goal, and an
improvement that keeps COLA meaningful. "The company with relatively painlessly make pension improvements," he
said. UE is under no illusion that GE will make job guarantees, but the company ought to make the changes to Article
XXIII proposed by the union. Low capacity is an unconvincing argument on GE’s part for rejecting the union’s
paid-time-off proposals.
Recognizing that medical insurance represents the single most difficult area, Tormey expressed the hope that the
company remains flexible in its approach to this issue. He also reiterated the union’s intention to seek a range of
medical improvements. "We’re willing to work very hard to find common ground," he concluded. "We hope
you do as well."
"Being an optimist, I have to believe we can get a contract, but we’ve got a job ahead," commented
President John Hovis.
Retirees may account for a number on the company’s balance sheets, Hovis said, but in the communities where UE
members work and live, they are parents, grandparents and life-long friends. They are the people built this company into
the manufacturing giant of today, he said. "If you go after those folks on medical insurance and prescription drug
plans, you are doing so at a certain amount of risk," Hovis said. ‘People aren’t going to stand idly by and let
that happen. This is a real hot-button issue."
Hovis said that the contract needs to address job security, in a way that improves the process already in place. As
others had done, the UE president thanked the company side for its respectfulness.
GE’s Curtin, in his transition remarks, said that the company would develop proposals with reference to the first
three weeks’ discussions. "As in previous years, our offer will not completely satisfy either the company or the
UE," he said. "Our proposals will, taken as a whole, result in solid economic improvements over the next four
years for your members."
Negotiations resume next Tuesday, June 10.
Representing the union today were General President John Hovis; UE-GE Conference Board Secretary Steve Tormey; Bob
Brown and David Dennison, Local 332; Frank Fusco and Pat Rafferty, Local 506; Lynda Leech, Local 618; Ed Baran, Local
751; Marco Coeur and Bill Wossum, Local 1010; Jeff Ogg, American Flint Glass Workers Union; and Bob Santamoor, IUE/CWA.
International Representative Chris Townsend represented UE at the IUE table. These bulletins during the first three
weeks have been prepared by UE NEWS Managing Editor Peter Gilmore.
|
