Next Bargaining Session Feb. 27
GE HOLDING TO POSITION TO END PIECEWORK SYSTEM
Local 201’s expanded bargaining committee met on February 6 for hours reviewing the Company’s proposal given the Union on January 27 that calls for conversion of the Plant IV piecework system to a daywork system on July 1, 2014.
The union committee decided to contact the company over a number of information requests Local 201 had made at the January 27 meeting and especially information concerning the productivity of the piecework system vs. a daywork system. The union discussed various “ideas” how to make the piecework system more cost effective but came to no final conclusions and decided to ask the company their level of interest in any proposals attempting to adjust the system versus ending it, and their reasoning behind their desires.
The company responded in writing that they have reviewed themselves various options to “fix” the system over the last year and for one reason or another have ruled them all out. They cite that piecework was mainly designed for manual operations and not NC machining and that “70%” of Plant IV is now NC machining. The company says it is not conducive anymore to be a cost-effective system and any efforts to make it such run in to obstacles with pricing disputes (one man multiples). They also declared that Plant IV is only “slightly “ more productive than LMO and that margin falls short of the cost they pay for that productivity. The company plans on showing the union slides to demonstrate that point. On top of all this, they state they do not have the necessary resources to mange the system anymore.
The Company is also stating that without a major change, on shop costs and rates, Lynn Plant IV (they cite as the most expensive in the whole Aviation Supply chain) will not be in a position to compete for new work. They are saying that with the anticipated cost impact on a conversion to daywork, they will be able to look at competing to bring work back into Lynn and can seek consideration on future new work by continuing to demonstrate progress on costs and flexibility across one pay system. They state the removal of the piecework system best positions the Lynn site and Lynn Plant IV for the future.
The union bargaining committee met again on Wednesday, February 19 to discuss the above company response and an afternoon bargaining session with the company has been set for Thursday, February 27. Local 201 Business Agent Ric Casilli stated “We hope to have former Everett/ Plant IV Board Member Fred Merchant Jr. join our Committee for this bargaining session with the Company.”
Piecework Negotiations are the featured item of the February 25 monthly membership meetings.