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Report # 23
IUE-CWA Votes to Accept New GE Contract Nationwide
The IUE-CWA is reporting the following final results in the nationwide
voting on a new 2007-2011 contract with General Electric:
6,088 Accept (yes)
1,657 Reject (no)
Report # 22
Local 201 Votes to Accept Contract
On Tuesday, June 26, 2007, the members of IUE-CWA Local 201
voted to accept the Tentative Agreement on a 2007 - 2011 Contract.
Out of a total number of 2036 eligible voters, 1559 ballots were cast,
a 76.6% voter turnout.
1080 voted in favor of the contract (69.3%), and 479 voted to reject
the contract (30.7%).
Results from nationwide voting of the IUE-CWA will not be available
until sometime Thursday morning, 6/28/07.
Report # 21
Stewards Also Recommend Acceptance, 29-13
201 Policy Board Unanimously Recommends
Acceptance of 2007 GE Contract
On Thursday, June 21, 2007, the Local 201 Policy Board voted
unanimously to recommend acceptance of the 2007 IUE-GE
“Tentative Agreement”. Later that day, following a presentation by
BA Ric Casilli of the details of the new agreement, the Local 201
Stewards Council also recommended acceptance of the agreement
to the membership by a vote of 29 – 13. The Membership will vote
Tuesday, June 26th, in the shop.
The 201 Leadership bodies are recommending “acceptance” of the
agreement, despite some of the terrible increases in member
health care contribution costs, increases in co-pays, and new
co-pays. BA Casilli said, “We took a hit in health care costs, no
doubt about it. We could not beat everything back in all the
important areas of this Contract and still get the gains we did.”
The Board also noted that the percentage increases in medical
contribution were actually worse in our last contract.
However, the Board reviewed all areas of the contract, not just
medical. The Board pointed out that the Wage Gains (general wage
increases, COLA, & Skilled Trades adjustment) far outweigh the
added medical costs for members. Members, on average, will take
in almost $17,000 more over four years, even after subtracting their
medical contribution increases. If you account for the increased co-pays
too, the average monetary gain will still be substantial—even
excluding overtime.
But the Policy Board and stewards voted to recommend acceptance
not primarily because of the wage improvements, but because of
improvements in our number one Local 201 priority – Pensions. There
were improvements for Current Members to the guaranteed
Pension table, Pension supplements, a 75% Survivorship Pension
Option. We also got a renewed decent Pension update.
We also won a significant increase for our current retirees’
monthly pensions and it was structured properly, with those retired
the longest getting more, and built into their checks for the rest
of their lives. It was not enough, but a good “boot” nonetheless for
our poorest retirees that we’ve been fighting about for the last 7 years!
This is a legitimate breakthrough.
Another significant victory was in the area of New Hires. The
Company was thwarted from implementing their hated salaried new
hire “DELTA” plan on union new hires. The Union retained the
new hires’ right to retire with an unreduced pension at age 60,
the right to Pension Supplements, the right to SERO and all
other early retirement programs, the right to an equal Disability
Pension, and access to pre-65 medical insurance at 25% of the
Plan cost.
Thirty thousand current non-union salaried GE employees DO
NOT HAVE ANY OF THESE THINGS! The Company’s
“Work Till You Die” proposal took a serious beating at the
table by the Unions. Despite GE getting their way by reducing new
hires’ life insurance to $15,000 and eliminating their post-65 Medicare
“supplemental insurances” (mostly impacting over 30 years in the
future), the Union rebounded and won more vacation time for
recent hires right now and increased the old unfair 2 tier 60¢
Night Shift Bonus to $1.00 per hour. A New Hire will get (accrue)
20 vacation days during their first 2 years under this new
Contract instead of only 5 under the current contract. It was the
first Contract “Vacation” improvement in years.
The Union also retained and improved our SERO (Special
Early Retirement Option), a critical Job & Income Security provision,
and stopped the Company from their mission of eliminating the early
retirement SERO “Windows”. We still have two! In addition, the
Union secured new medical benefit improvements for members in the
CMB plan, raised weekly Short Term Disability (STD) payments
$100 over the life of the Contract, renewed and raised the Early
Retirement Bonus from $14,000 - $16,000, improved some retiree
medical coverage, and won an additional paid holiday beginning
this year (201 will negotiate the specific day).
More than ever before, this contract was about health care
costs—for current members, future hires, and retirees. The Local
201 Policy Board commits itself, and seeks every members’ help, in
fighting for national health care reform--starting now.
The Board felt, taking this whole package into account, that the
positives far outweigh the negatives, and it is in our members’
best interests to approve this contract. It is clearly not worth
striking over with a rejection vote.
We ask members to VOTE TUESDAY TO ACCEPT THE
CONTRACT OFFER.
Informational Meetings—All Shifts
Monday June 25: 7:15 AM, 1:00 PM, 3:30 PM
St. Michael’s Hall, 25 Elmwood Ave.
Vote in Plant
Tuesday, June 26: 6 AM to 5 PM
Tents at Fairchild St. Lot and Between Bld. 32 and RR Tracks
(or vote at Union Hall)
Absentee Ballots Available Now at the Union Hall
JEFFREY C. CROSBY RIC CASILLI ALEX BROWN
PRESIDENT BUSINESS AGENT VICE-PRESIDENT
Report # 20
THE GE CONTRACT 2007 June 21, 2007
The 15 person Local 201 Executive Policy Board voted today to
unanimously endorse the “tentative” contract agreement with GE.
The GE final offer was tentatively agreed to by top negotiators
IUE-CWA President Jim Clark and Conference Board Chairman Bob
Santamoor, and has been recommended unanimously by the full
IUE-GE Negotiating Committee that includes Local 201 Business
Agent Ric Casilli. The IUE-GE Conference Board also voted unani-
mously to recommend acceptance of the GE contract offer. Local 201
members of the Conference Board—President Jeff Crosby, B.A. Ric
Casilli, and Delegates Ted Comick and Lenny Redican, all voted to
recommend the contract offer to the membership.
WAGES
The 4 year offer would increase wages by 3%, 2 ½ %, 2 ½%,
and 3%. It includes a skilled trades adder similar to the one in the
2003 agreement: one cent for each 15 cents above an hourly rate of
R-18 or above, with a comparable adder for pieceworkers. The offer
also includes 8 Cost-of-Living adjustments with a slight improve-
ment in the Cost-of-Living formula to one cent for each .08%
increase in the cost-of-living index. There is an improvement in the
Night Shift Bonus for short serviced employees from 60 cents
per hour to $1.00 per hour.
SERO/SERO 30, BONUS and SERO WINDOWS
SERO and SERO 30 are renewed and the BONUS options are
improved from $14,000 to $16,000 immediately. The Special
Supplement is increased from $350 to $375 per month immediately.
The Regular Supplement is increased from $16 to $17 x years
service, effective immediately, and increases to $18 effective for
retirements beginning in July of 2009.
There will be 2 SERO WINDOWS with modifications. The first
one will be offered in Oct./Nov. of 2007 to a total of 500 employees,
and a 2nd SERO WINDOW will be offered in Oct./Nov. of 2009 to
400 additional employees. The determining factor for eligibility will be
Pension Benefit Service nationwide. Employees 50 to 54 will no
longer be eligible for these SERO WINDOWS; the new eligibility
is now age 55 to 59 with 30 years of PQS. Replacements are no
longer mandated under these SERO WINDOWS but there is
language in the contract that allows bargaining by the Local Unions
and GE on this subject. It is anticipated that, in Lynn, replacements
will be approved in most cases.
PENSIONS
The Guaranteed Pension Tables have been improved in several
areas. The Minimum payment under the new tables is raised from $33
to $34 a month per year of service. The maximum payment under the
Guaranteed tables has been raised from $60 a month to $70 per month
per year of service. Pension calculations under the Guaranteed Table
are still based upon an employee’s Highest 3 CONSECUTIVE years
of earnings in the last 10-calendar years prior to retirement. The middle
of the Guaranteed Tables have also been improved.
The Regular Pension formula remains the same but the breakpoint
has been raised from $35,000 to $40,000.
The PENSION UPDATE to the regular formula has been renewed
and will be applicable to employees’ BEST 3 CONSECUTIVE earning
years from 2001 through 2006.
Pension Supplements will continue to be paid until a retiree attains
the age to qualify for 80% of Social Security (age 63 for most
employees).
Effective 1-1-08, the company will offer a NEW 75% Survivor
Option in addition to the 50% and 100% Survivor Options currently
available.
Contributions to the Personal Pension Account that currently start
at $60,000 will now start at $70,000 enabling employees to keep an
extra $300 per year from their earnings.
RETIREE PENSION INCREASE
The Union was able to secure a raise for Retirees thanks to strong
support from the active memberships and retirees of all the Locals!
This was a major win!
Increase Retiree pensions by the following:
Retired prior to 1984, increase pension by $40 x Employee PBS
annually.
Retired 1984 thru 1992, increase pension by $30 x Employee PBS
annually.
Retired 1993 thru 2000, increase pension by $20 x Employee PBS
annually.
Retired 2001 thru 6-1-2003, increase pension by $15 x Employee
PBS annually.
Example: Retiree left the Company in 1990 with 30 years of
service, $30 x 30 years of service =$900 Annually divided by
12 = $75 a month increase.
NEW HIRES
The Union, thanks to a strong reaction from the active employees,
and a tough bargaining stance by negotiators, was able to retain most
benefits for New Hires. For Employees hired after 1-1-2008:
Optional retirement at age 60 with unreduced pension remains intact.
Pension Supplements, Disability Pension and SERO eligibility rights
remain intact. Retirees at age 60 or later with 10 or more years of
service pay 25% of Medical Plan cost and Retirees under the SERO
program pay 100% of Medical Plan costs. The Post 65 supplemental
medical coverage is no longer available. Life Insurance is capped at
$15,000. The Company failed to implement most of their hated
“work ‘till you die” proposal which they previously placed 30,000
of their non-union salaried employees under. This was a major win!
VACATION/HOLIDAY
Veteran’s Day has been added to paid Holidays. Application of
this additional paid day locally will be determined by Union and
Company. An additional week of vacation for short service members
is added. New hires will accrue 2 weeks of vacation to use during
the first year rather than getting one after the first year. They then get
2 weeks accrued for the 2nd year. Thus a new hire will get to use 20
days vacation under the new contract vs. 5 days under the old
contract in that 2 year period. Our current employees hired in 2006
through June 17, 2007 also gain a week’s vacation this year.
MEDICAL/INSURANCE
Increases to Insurance Contributions and New Co-pays: Weekly
contributions for health insurance will increase twice during the
proposed contract, on 1/1/08 and 1/1/10. Payments will be based
on the current system: whether one person, two people, or 3 or more
are covered, sliding scales based on income level, and separate scales
for HCP and traditional CMB. Although not good, the contribution
increases are less than last contract. An example:
R-19 with spouse and child covered,
yearly 40 hr. base of approx $54,492+
Current contribution 1/1/08 contribution 1/1/10 contribution
HCP $23.35 $33.76 $41.52
CMB $31.80 $45 $55.01
The contribution for a working spouse who declines their own
insurance coverage doubles. The average Lynn member would now
pay $30 per week.
Co-pay increases: As of 1/1/08 co-pays for some specialists
who are not primary care doctors will increase from $25 to $30 per
visit. Co-pays for hospital admission are doubled from $150 to
$300 with max of two payments per family per year. There are new
$100 co-pays for outpatient surgeries and outpatient imaging
such as CT scan and MRI. There is a new three tier structure for
prescription co-pays. Generic drug co-pays remain the same at
$12 for 21 days, and $20 for 90 day mail order. Brand name
increases from $16 to $22 for 21 days and from $36 to $50 for
90 day mail order. There is a new category of Special that is $25
for 21 days and $50 for 90 day mail order.
Other improvements: There are some improvements in CMB
preventative care coverage, improvements in rates for Dental
Care, and improvements to mental health and substance abuse
coverage. There is a new premium vision plan, but no improve-
ment to the regular vision care. The health care max is raised from
$2.5 million to $3 million. The weekly Short Term Disability
payment goes from $600 to $650 a week on 1/1/08, and to $700
on 1/1/10. Overall, the package increases typical union employee
cost sharing from an average of 15% to an average of 20.5% .
PRE 65 MEDICAL FOR RETIREES
Health care contributions increase $2 per week per individual ($4
week per family) for current pre-65 retirees and current employees
who retired or became eligible to retire before Jan. 1, 2004. All
pre-65 retirees are impacted in the same fashion as to co-pays as
the active members.
POST 65 MEDICAL FOR CURRENT RETIREES
Increase in 1st day of hospitalization coverage is improved by
$25 in each plan, and lifetime maximum benefits raised $25,000 in
each of three plans. Prescription co-pays for 90 day mail order for
retirees who were enrolled in the plan prior to Jan. 2004 are
increased from $25 to $30. Retail stays the same at $15. For
those enrolled in the post 65 Pensioners Drug Plan on or after
Jan 1, 2004, their co-pay for drugs are impacted in the same
fashion as active members.
Thanks to the Local 201 membership, stewards, and activists
who stood by the future hires to beat back 4 and ½ of the 7 prong
attack and with retirees to win a pension increase that helps the
retirees who need it the most. The Local 201 Stewards Council
will meet at the Union Hall at 2 P.M. Thursday, June 21.
The Local 201 newspaper will come out Monday morning, June 25,
and a membership meeting will be held to hear an explanation of the
offer and answer questions at 7:15 AM, 1 PM and 3:30 PM on
Monday, June 25 at St. Mike’s Hall. Local 201 will vote in the
plant on Tuesday, June 26, from 6 AM to 5 PM.
More information should be available at union websites:
CBC (www.geworkersunited.org) and UE (www.ranknfile-ue.org).
IUE-CWA Local 201 Executive Board and Officers
2007 IUE-CWA NATIONAL NEGOTIATIONS
LOCAL 201 REPORT # 19
TUESDAY JUNE 19, 2007 11:30 AM
The IUE-CWA National Negotiating Committee, at approximately
10:15AM this morning, voted unanimously to go along with the
recommendation of the CBC Steering Committee, to support the
acceptance of the proposed new Contract.
These recommendations now go to the IUE-CWA GE Conference
Board, which is scheduled to convene at 8:30AM tomorrow morning (Wed.,
June 20) here in NYC. Delegates from all IUE-CWA GE Locals are
arriving in NYC today and tonight. Local 201 President Jeff Crosby, Ted
Comick (River Works) and Len Redican (Plant IV/Everett) will join BA
Ric Casilli and are 201’s Conference Board delegates.
2007 IUE-CWA/GE NATIONAL NEGOTIATIONS
LOCAL 201 REPORT #18
MONDAY, JUNE 18 9:45 PM
The IUE-CWA/GE Negotiating Committee spent hours today studying
the Contract Proposal and asking clarification questions in a formal meeting.
Negotiators are continuing to review it, following the meeting, and
tomorrow are scheduled to meet at 9:00 AM to clear up some of the
outstanding questions. The Negotiating Committee then will vote a
recommendation for the IUE-CWA Conference Board.
Delegates to the Conference Board are already arriving in NYC from
Locals around the country. The Conference Board delegates will be
reviewing the offer Tuesday and Wednesday morning, and then taking
their recommendation vote.
After that recommendation vote is completed, the Unions will be
issuing more details of the agreement in national press releases
and to all Locals so the Membership can review the package.
Local 201 anticipates having information for our members either
Wednesday afternoon or first thing Thursday morning.
2007 IUE-CWA/GE NATIONAL NEGOTIATIONS
LOCAL 201 REPORT # 17
SUNDAY JUNE 17, 9:15 PM
Local 201 BA Ric Casilli was called to an IUE-CWA GE National
Negotiating Committee tonight at 6:30PM. The “Small Table” top union
officials informed the entire elected negotiating committee members that a
“tentative agreement” had been reached with the “Small Table” CBC
negotiators. A CBC national press release went out minutes before the
meeting announcing such. Negotiators were given the press release and a
“Draft” of a summary of GE’s final Company offer.
Negotiators were told that there was to be no information to be
given back to the Locals or memberships about the offer until
Wednesday June 20th, until after the IUE-CWA National Negotiating
Committee votes its recommendation on Tuesday and the IUE-CWA
Conference Board votes its recommendation Wednesday. They said that
this Policy was per agreement of the CBC (all unions) top leadership.
BA Casilli opposed the Policy and fought the decision but was
unsuccessful in changing the decision, unless other CBC unions or the
Company break the blackout before the IUE-CWA CONFERENCE
BOARD Delegates vote on Wednesday June 20th. Then that decision
will be reevaluated. Also, it is the acceptance of the offer by that body
that makes it a real “tentative agreement”, and subject then to a
national vote of all IUE-CWA members. Voting with Casilli on the
Conference Board from Local 201, will be President Jeff Crosby,
and elected delegates Lenny Redican and Ted Comick.
On Monday, June 18 @ 1:00PM the IUE-CWA National
Negotiating Committee will be handed a complete Memorandum
of the offer to discuss and study. That Committee will vote a
recommendation on Tuesday, June 19.
Below is a copy of the National CBC press release:
For Immediate Release
GE, UNIONS REACH TENTATIVE AGREEMENTS
ON NEW CONTRACTS
NEW YORK, N.Y. – June 17, 2007 – The General Electric Company
and the national leaders of its two largest unions have reached tentative
agreements on new four-year labor contracts. The agreements are subject
to review by union negotiating committees and ratification by union
members by June 28.
The tentative agreements were reached Sunday after four weeks of
intense bargaining between GE and the IUE-CWA and the United
Electrical, Radio and Machine Workers of America (UE). Terms of the
new contracts will be extended to nine other unions that have local
contracts with GE.
GE’s existing four-year national contracts with the IUE-CWA and the
UE expire at midnight tonight. The tentative new agreements will provide
significant improvements in wages, pensions and benefits.
IUE-CWA President Jim Clark said, “GE and the unions have agreed
to accelerate our joint efforts to address the difficult health care issues our
nation faces. This will help to address a critical issue for not only GE
employees but all American workers. I congratulate our negotiating
committee members for their hard work.”
IUE-CWA GE Conference Board Chairman Bob Santamoor said, “At
this time when our troops are in harm’s way, GE has agreed to now allow
its workers to honor U.S. veterans with the first new holiday in a decade,
Veterans Day. This package is a huge victory for our members.”
Clark and Santamoor are recommending acceptance of the tentative
agreement to the IUE-CWA negotiating committee and the conference
board.
UE General President John Hovis said, “I think it’s an agreement our
members will recognize as a good one. I’m especially pleased with the
provisions that affect the shorter service people at the locations we
represent.”
Hovis is recommending acceptance of the tentative agreement to the
UE negotiating committee and conference board.
GE Senior Vice President Bill Conaty said, “We have achieved our
goal of producing balanced contracts that benefit both employees and GE.
These agreements provide employees with good wages and excellent
benefits while allowing GE businesses to continue competing in tough
global markets. We have made great GE jobs even better.”
The IUE-CWA/General Electric local union leaders will meet
Wednesday to review the tentative agreement and to submit it to its
members at GE for a ratification vote. The UE/GE Conference Board
will meet Tuesday to review the contract and make a recommendation
to its members. If recommended for approval by union leaders, the
ratification votes will be conducted by June 28.
The 11 unions affected by these tentative agreements represent
approximately 20,660 GE employees in the U.S. These unions are
members of the Coordinated Bargaining Committee (CBC) of GE Unions.
National negotiations are conducted with the IUE-CWA and the UE, and
local contracts are negotiated with nine other CBC unions.
The IUE-CWA and its locals represent about 10,030 GE employees at
company locations such as Louisville, Ky., (GE Consumer & Industrial);
Lynn, Mass., (GE Aviation); Schenectady, N.Y., (GE Energy); and
Arkansas City, Kan., (GE Aviation).
The UE represents about 4,050 employees at GE locations such as
Erie, Pa., (GE Transportation); and Fort Edward, N.Y., (GE Energy).
The unions with local contracts with GE are: the International
Association of Machinists (IAM); the International Brotherhood of
Electrical Workers (IBEW); the United Auto Workers (UAW); the
International Federation of Professional and Technical Engineers
(IFPTE); the United Steelworkers of America (USWA); Sheet Metal
Workers International Association (SMWIA); the International
Brotherhood of Teamsters (IBT); the United Association of
Journeymen and Apprentices (UA); and Service Employees
International Union (SEIU).
2007 IUE-CWA/GE NATIONAL NEGOTIATIONS
LOCAL 201 REPORT # 16
SATURDAY, JUNE 16 8:30PM
(Posted 11:45 PM)
With the SUB-COMMITTEE Negotiations completed on Friday, the
top Union International leaders and top Company leaders are meeting at
what is called the “Small Table”. All local leader bargainers are “on
call” Saturday and Sunday and not in the bargaining.
The “Small Table” met all day Saturday. A meeting was held with the
top Union bargainers from the “Small Table”, with all the elected Local
Union leaders, at 6:30PM tonight.
Local Leaders were told that “things were getting closer” but that
they could not tell us anymore. They said ‘things were going well” and
that “things changed a lot from yesterday”. The meeting was extremely
short and void of any information.
Local 201 Business Agent Ric Casilli said “it was the least information
we have ever received in one of these sessions in the 4 National negotiations
I have been at. The whole bargaining process has once again sucked, and
this adds more frustration to bargainers after 4 weeks of getting no answers
from the Company. I am glad we are being told ‘things are getting
closer’ but it is insulting and condescending to not give a shred of information
to the people that have been fighting day in and day out for our members for
4 weeks In New York City. And it is insulting to our members who are
sacrificing and supporting this fight and are wishing to stay informed. Every
negotiator realizes you don’t publish every detail in a negotiation, but to tell
us “nothing” is an insult!”
I can only suggest our members read Local 201 Report #15 for the
latest real information we have from yesterday or go to the CBC (www.geworkersunited.org) or UE International Union (www.ranknfile-ue.org)
websites to see if they are going to release any more information tonight about
today’s developments. However, I doubt there will be much new on those
sites either. If there is, then it appears the last minute information “blackout”
is selective.
Local 201 will release more information as soon as any is available.
On a more positive note, word is that the memberships of many Locals
around the country have shown through many activities and actions this week
their strong determination and will to secure a decent Contract….a large part
of the reason “things are going better” reportedly at the “Small Table”.
2007 IUE-CWA/GE NATIONAL NEGOTIATIONS
LOCAL 201 REPORT #15
FRIDAY JUNE 15, 2007 11:30 PM
PENSION & INSURANCE SUB-COMMITTEE
Union negotiators today went over the specifics of our Pension
Proposal – calling for major improvement in the Career Annuity
formula, the Guaranteed Minimum Pension Tables, the Pension
Update, and Pension supplements. The Union pointed out that it’s
proposal also had simplification aspects to it, identical formulas for
both the Career Annuity formula and the Pension Update formula,
while eliminating the 2 different breakpoints entirely. It also simplified
and improved the years that could be used to calculate your Pension
under the Pension Update, or under the Guaranteed Pension Tables, by
dropping the requirement that the years used had to be “consecutive.”
The Company was cautioned that any Pension Proposal offered would be
carefully scrutinized by some major Locals looking for significant increases.
It was also pointed out that it was a “must” that current retirees get a
properly structured pension increase, and that an inflation protection
clause was needed for both current members and retirees.
A number of Locals then testified that the “SERO WINDOW” was
also a “must” to be in the Contract or it would not be recommended. It
again was suggested “if you are so concerned about costs of the ‘Window’
program, then skim some monies off the huge salaries of some of the top
executives.” It was also pointed out that there are savings by having a
SERO “window”, as the replacement workers are younger and usually
healthier, more productive, with less vacation and sick time. Also, in many
cases, they come in at lower wages under some 2 tier systems. Negotiators
pointed out that GE could get higher skilled replacements into the plants if
GE increased it’s commitments to community and internal training programs
and centers. Other negotiators pointed out that the Company could save
money by not offering our negotiated programs to anyone other then those
in CBC Bargaining Units.
Negotiator after negotiator vehemently attacked GE’s NEW
HIRE PROPOSAL AGAIN, GE’s attempt to make new employees
“2nd class citizens by stripping them of 7 retirement and benefit rights!
This proposal continues to annoy Negotiators big time and hardly 10
minutes goes by in any session, where someone does not get really “ticked
off” about it.
New Hires and Retirees have clearly drawn the most emotional
outbursts in these discussions. GE, once again, was warned: do not
shift more health care costs onto the backs of retirees!! “They need
medical cost relief and a dental, vision, and hearing aid plan, not new and
increased contributions and co-pays!”
CONTRACT LANGUAGE SUB-COMMITTEE
The Contract Language Committee today again pushed many of their
proposals, including improvements in Article 22 Job and Income Security
language and paid time off.
BOTH SUB-COMMITTEES END EARLY – FRUSTRATED
Union sub-committee negotiators have decided, at this point, to
end their meetings. In the past, they have met on Saturday. They feel all
union proposals have been explained over and over again to the Company.
The Company’s only response has been that the union messages on all the
issues will be relayed to top Company negotiators at the “Small table”.
Sub-committee negotiators feel frustrated with the entire process. Local
201 has disliked this outdated bizarre process since 1994 (See
Contract Report #1). The feeling on the sub-committees is that there
is no way the Company does not understand all our positions and the
arguments for them. The big question is: are they going to take them
seriously and apply them fairly, creating a decent Contract Package
Proposal, or are they going to force a National Strike????
All sub-committee negotiators will be on-call Saturday and Sunday in
the event the top Union “Small Table” Negotiators need them to meet
again on any issue, or for any urgent developments.
THE “SMALL TABLE”
Top Union Negotiators thanked all the union’s sub-committee nego-
tiators for all their work in presenting the Union ’s proposals clearly,
logically, and passionately, and sympathized with the frustrations the
Company put them through all week with their lack of response... The
frustrations emanate from a flawed process that the Company apparently
thinks is fine. Negotiators do not!! Neither do members back in the shops
appreciate this type of “collective bargaining” process that only increases
anxiety!
On some of the major issues, this is where things are, at this point,
according to the Unions’ top leaders:
Pensions: The Union has countered the Company’s original Pension
proposal which contained some minor improvement in the guaranteed
pension tables, contained a Pension Update of some sort, a tiny improve-
ment in the supplements, and no improvement in the Career Annuity
Formula. It had no inflation protection clause and there were no pension
improvements for current retirees. Today, the Company presented
nothing new except a slight improvement on the supplements. Significant
Pension improvements are not there.
Heath Care: The Union and Company negotiated all morning today on
Health care. The Union is making counter proposals to reduce terrible
Company proposals for major cost-shifting, with huge member contri-
bution and co-pay increases, and additional co-pays. The Company
moved only slightly, lowering a few co-pay increase amounts. The
Company is considering Union demands for some improvements in the
amount of Short Term Disability (STD) payments
New Hire Proposal: The Company has not withdrawn this from the
table despite negotiators clearing telling them “IT IS HATED!!”
Job & Income Security: So far, the SERO and SERO 30 Programs
will be renewed and today (as mentioned before), the Pension supple-
ments were improved slightly.
Wages: The Company made a 2nd wage proposal, after the Union had
rejected their first one. Again, it contained only a slight improvement. The
offer is not close to acceptable.
Early Retirement: Today, the Company agreed to one SERO “window”
with weakened provisions. In the current 4 year contract we had 2
“windows”. It is unacceptable.
Contract Language: The Company responded today to Union demands
on the 60 cent Night Shift Bonus (NSB) with some sort of initial proposal
to improve it slightly. There was some sort of Company response to shorten
the time of the current extended new hire progression schedule, and slight
improvements to some vacation time for lower service workers, but it was
combined with a complicated proposal for recalculating the vacation
multiplier. The union is reviewing this new material. There was also
response to some Service Apparatus shops demands concerning things
like tools and shoes.
There has been no response from the Company, yet, on many,
many Union proposals such as (but not limited to) improvements in
Dental and Vision Plans, and Job & Income Security language and
benefits.
There has been no response to Union demands for improvements
in Retiree Benefits such as hearing aid, dental and vision coverage.
Instead, the Company is trying to raise retiree medical co-pay and
contribution rates. All unacceptable!
The top “Small Table” Negotiators stated that they expected a long
day of negotiating Saturday that may go well into the evening. Sub-
Committee negotiators must remain “on- call” for any urgent matter.
Growing membership dissatisfaction is still being reported from around
the country (see Report #14), with some additional locals reporting
Support Protests today.
NOTE: I would like to thank so much Local 201 Officers, Board
Members, Stewards, Captain’s, Canvassers, and Members for the
GREAT SUPPORT you are demonstrating in Lynn . Thanks so much.
It means a lot to me down here!!!!!
Sincerely and Solidarity---Ric Casilli
2007 IUE-CWA/GE NATIONAL NEGOTIATIONS
LOCAL 201 REPORT #14
THURSDAY, JUNE 14 9:00PM
PENSION & INSURANCE SUB-COMMITTEE
After hearing reports coming from the “Small Table” (that the pension
increases being proposed by GE for current working members were
not nearly enough), union representatives reinforced the need for significant
pension increases for both our current members and retirees. Included in
this need, was a demand to lower the reduction in one’s pension for taking
Survivorship options or a Disability Pension.
The union continued to press for inflation protections in the Pension plan.
The Company has made no pension proposal at all, to this point, for
current retirees!
The Union slammed the negative impact of their “New Hire” proposal in
regards to raising the age of retirement, eliminating the pension supplements,
and reducing a low disability pension amount even lower. Union reps. are
now referring to GE’s “New Hire” proposal as the “THE WORK TILL
YOU DIE” PROPOSAL, as it also includes major health care benefit
cutbacks and eliminations. Union reps said, “If you need to save money,
then cut all of upper management’s salaries by a small percentage and throw
it to help with our program costs”.
The Union continued to make clear that it is mandatory that the SERO
and SERO “Window” Programs are in the Contract.
On insurance issues, the Union spent time arguing for the Company to
subsidize 50% of the cost of the Long Term Disability Plan and asked
them to review blending together the Salaried and Hourly LTDI Plans to
also help lower the major cost increases our members have absorbed the
last 3 years. Part of the Company’s response to union demands for improve-
ments in the Short Term Disability Plan (STD) were acceptable to the
union sub-committee, and that recommendation will be referred back to
the “Small Table.”
The union said increases to contributions and/or co-pays to pre-65 or
post- 65 retirees was intolerable and that the Union wanted the claims
deadline extended on post-65 medical claims and the 90 day eligibility
sign up deadline also eliminated. The Union wants the post -65 GEMIP
(Part B supplement) paid for by GE. The Company, per usual, said they
would refer our comments to the “Small Table.”
The Company also had no response to our previously submitted vision
or dental plan improvement proposals. There was some discussion around
“dental in-plant” coverage but the Company proposal was not acceptable
to union reps.
All in all, union negotiators felt disgusted with the lack of Company
response.
CONTRACT LANGUAGE SUB-COMMITTEE
The Contract Language sub-committee spent most of the day stating
that the GE NEW HIRE PROPOSAL was not acceptable, nor was the
elimination of the SERO WINDOW acceptable. This was interesting
to note, as neither is really a “Contract Language” issue but are really
attacks on early retirement, normal retirement, pension supplements,
medical, life and disability Insurances. That ought to send GE a
message, when the Union’s Contract Language sub-committee spent
much of the day joining in with the revolt coming out of the Pension&
Insurance sub-committee against these 2 Company proposals!!
The union co-chairs took GE to task for having no response
to any of the Union’s Contract Language proposals that were
presented to them over 3 weeks ago!!!!!!!!!!
THE SMALL TABLE REPORT
Top Union leadership reported that GE presented an initial Wage
proposal that was “meager” and contained a slight improvement in COLA.
There was no mention of a Skilled Trades adder. The Company said
they would renew SERO and SERO 30 but there were no improve-
ments offered in their renewals. The Company made no proposal on
the SERO WINDOWS and has not responded to Union demands on
them. The Company also has not responded to the Unions’ demands
concerning the 60 cent Night Shift Bonus (NSB) issue.
The Union made a counter offer to GE’s first low Pension proposal
that dealt with all areas of the Pension- the guaranteed tables, the career
annuity formulas (breakpoints), the pension update (breakpoints), and the
pension supplements etc.
The Union plans to present a counter proposal to GE’s outrageous
Health Care Proposal. That GE proposal contained huge contribution
increases, co-pay increases, new co-pays, and hit both current
members and retirees.
One top CBC leader said “there was a tiny bit of positive
movement today, but the Company’s movement is that of a glacier.”
THE MOOD OF UNION NEGOTIATING TEAM
Frustration...Frustration...Frustration!!!!! Real Company
responses are almost non-existent and the whole process is slow
and repetitive. The Company has had all the Unions’ proposals for
3 weeks and heard almost every argument for those proposals time
and time again. They have not responded to the vast majority of
Union proposals at all. They have presented only a few proposals
themselves, and these of course included the “HATED 3”- (1)their
NEW HIRE “WORK UNTIL YOU DIE” proposal ( with 7 prongs
of attack on them), (2)their outrageous MEDICAL COST
SHIFTING proposal, and (3)their intention to ELIMINATE THE
SERO WINDOW. Union Negotiators are not “happy campers”
these days!!!!
Apparently, many members in many Locals are also not happy
campers either as reports are coming into NYC of a rash of local
problems breaking out in many plants around the country. The
unofficial word is that a number of 24 hour Strike Notices have
been given, and other activities have also stepped up concerning
a variety of local problems like farm-out, OT, seniority, bargaining
unit work, etc.
Reports have been heard from such locations as Schenectady,
Louisville, Erie, Madisonville, Evendale, Strothers, Salem, Lynn
and other various locations.
This looks to be a long tense weekend down here in NYC too.
It is Father’s Day weekend and a good time to relax from all this
tenseness with family and friends.
Negotiators will not be relaxing this weekend and are counting
on our Membership’s support!!!!
2007 IUE-CWA/GE NATIONAL NEGOTIATIONS
LOCAL 201 REPORT #13
WEDNESDAY, JUNE 13, 2007 9:00PM
PENSION & INSURANCE SUB-COMMITTEE
In the session today, IUE-CWA withdrew their Union Proposal for a
flat based simplified Pension Plan formula, based on years of service (not
wage based).
The Union then presented a 5 point improvement to the current
Pension Plan for current members that demanded improvements to the
career annuity formula, the guaranteed pension tables, the current
pension update, the regular supplement and the special supplement.
In total, the Union felt the demands were in line with GE’s current Plan
design, affordable considering the surplus in the Plan, and reasonable
considering the serious problems that current members see happening to
our current Retirees. This new Union proposal was only a replacement
for IUE-CWA’s “flat based Pension Plan Proposal” that the Company
clearly was showing no interest in. The Union still has demands “on the
table” for a pension “inflation protection clause” for retirees and
current members. The Union also has demands for a major increase
in current retiree’s pensions. The Company said the union proposal
was very “rich”.
Union Representatives, led by Louisville, Schenectady, Lynn, Evendale,
and Erie, “wailed” on the Company over their PENSION proposal to the
“Small Table.” Negotiators declared that proposal was not close to being
acceptable--- that all members needed a significant boost in their
pensions, especially the lower wage members.
After a break and short caucus, the reps. from all the big Locals sat
together and then led a charge opposing any cuts to SERO, SERO
WINDOW, increased medical costs or co-pays to retirees, excessive
medical costs and co-pays to current members, and the 7 prong attack
by the Company on NEW Hires’ retirement rights and benefits. All locals
backed up the passionate and aggressive defense with numerous logical
economic and political arguments. The Union’s arguments have been
repeated time and time again for weeks with little Company response.
Many of the arguments were laid out for 3 long weeks at the “Big Table”.
The Company asked questions, defended their proposals a bit, and replied
once again they would “take the Union’s comments back to the “Small
Table”.
As 201 has predicted, frustration with the whole process finally,
inevitably, escalated. The Local 301 representative from Schenectady
gave an articulate and passionate speech on his feelings about retirees,
new hires, and current members, and criticized the Company’s “smug”
or “non-existent” responses up to this point. He basically said “we have
made all our arguments” and it is time you give us some answers and
“stop trying to rape us.” Within 10 minutes of this, the Local 301
Schenectady representative stood up and said he was leaving the
meeting. The IUE-CWA Local 201 representative (Lynn Ma.) stood up
and followed him out of the room.
Later, Local 201 BA Ric Casilli said, “That is what this flawed
negotiating process does. It takes legitimate major frictions on issues
and escalates them to an even higher level. Everyone feels both sides
have made their points repetitively for weeks, yet the Company says
nothing different to the negotiators who repetitively have made almost
every point they can make on all the issues. That is why Local 201 hates
this outdated, unhealthy negotiating style. The differences are real and
need to be addressed more openly, honestly and faster. It is not any
surprise to Local 201 this occurred.”
CONTRACT LANGUAGE SUB COMMITTEE
The Contract Language Sub-Committee finished discussing all their
proposals previously presented today. They reported that the Company
presented some “really minor” positive changes and a couple of major
negative ones. One was taking away the double time payment from
day shift employees reporting for call-in after midnight hours. That
proposal met “stiff resistance from Union Negotiators.”
“SMALL TABLE”
The “SMALL TABLE” Report from the top Union leaders to the
Sub-Committees was short. They declared “Needless to say, the NEW
HIRES COMPANY PROPOSAL (as expected) was delivered today,
and it did not go well!!!!”
Instructions and direction were given to both Sub-Committees for
tomorrow’s sessions. The leadership said they thought the Company
was maybe misinterpreting “signals” from the shop floor and Locals, as
to our members’ determination and passion on these issues of significant
pension improvements, our retirees, new hires, SERO’s and SERO
WINDOWS, etc., and on holding down medical costs.
Negotiations resume at 9AM Thursday morning.
2007 IUE-CWA/GE NATIONAL NEGOTIATIONS
LOCAL 201 REPORT #12
TUESDAY, JUNE 12 9:00 PM
(posted 6/13 9:40 AM)
This was the first full day of meetings of the “Small Table” and the 2
Sub-committees.
In the Pension & Insurance sub-committee meetings, the Company
asked many questions concerning different Union proposals. It seemed
they were trying to find out which proposals are high-priority, and which
ones are areas where members run into a lot of problems. The Company
made it clear they intended to ask questions, listen, make some comments
and then pass on our remarks to the “Small Table”. Per usual, they
presented no proposals here.
Pensions
The Company did come very close to outright rejecting a union
proposal for a flat rate, simplified pension plan not based on wages, but
only service. The Union requested an answer as soon as possible on that
point. Union negotiators stated the Pension Plan payouts are low to our
members, compared to large high profit Companies and that we wanted
significant increases. The current pension Plan was criticized for paying
high management wage earners excessive Pensions, while our members
come out on “the short end of the stick”.
Union negotiators continued to press for good size pension
increases for both current and future member retirees, with inflation
protection clauses. Union bargainers also raised, once again, that we
were outright opposed to any proposals the Company might make that
would increase union New Hires optional retirement age (with
an unreduced pension), that would take away their Pension
supplements, that would take away their rights to SERO Programs
and would reduce the amount of their disability pension payments.
(4 out of the 7 negative prongs)
Medical & Insurance
Similarly (as the Company did with the Unions Pension proposals),
the Company asked many clarification questions about the Union’s
proposals on medical, disability, dental, and vision. The Union
explained why our members needed improvements in many specific
areas of all these plans. Union negotiators said that our proposals in
the pre-65 and post-65 retirees’ insurance plans were very important,
as retirees were already suffering enough with frozen pensions and their
health care costs skyrocketing. Similarly, the Union said, to even
consider taking away union New Hires post- 65 medical, make
them pay 100% of the cost of pre- 65 medical, and lower their
Life Insurance, is ridiculous. (the last 3 of the 7 negative prongs)
Contract Language- Job Security
The Contact Language Committee spent all of the morning pressing
for Article XXII changes to improve the JOB and INCOME Security
provisions in areas like Plant Closings, outsourcing, farmout protection,
IEA etc. There was “great participation” and the Company seemed to
be listening and taking a lot of notes. In the afternoon, they spent time
on Article V (Working Hours- Straight Time and OT), Article VIII
(Service/Seniority issues), Health & Safety, Organizing and article XV
(Arbitration).
Small Table
Top National Union Negotiators from the “Small Table” reported
that the Company made some of their first proposals in the Health Care
and Pension areas.
In the area of Health Care, they said the proposals were extremely
“regressive”, “even exceeding our expectations”!! They said the
initial Company proposals called for outrageous members’ contribution
increases in 2 rounds over a 4 year time period. They also proposed
another round of co-pay increases involving certain “specialists”,
drugs and in-hospital stays. They also proposed some “brand new
co-pays” for certain types of procedures including certain types of
"scans” and “imaging” ( Note: remember GE already makes profit
by selling these type of machines). The Company proposals did not
leave retirees alone either, with pre-65 retirees getting a major
contribution hit, and both current and future retirees getting hit
with increased prescription co-pays. Union negotiators reported
that the Company proposal contained only some very minor improve-
ments in selected areas like mental health, lifetime max’s etc.
In the Pension area, top negotiators reported that the Company’s
initial proposal had some “reworking” of the Guaranteed Pension
Tables, not much on the Pension supplements, had an “update
formula”, and had some sort of breakpoint change (probably negative)
as the only change in the regular career annuity formula. Negotiators
reported that any improvements were not anywhere close to being
enough.
Tomorrow, the Company plans to give the “Small Table” a
proposal on Union New Hires. What a surprise!!!!! That proposal
IS SURE TO BE WELL RECEIVED!!! Almost as much as their
Medical cost shifting proposal was today.
Negotiations resume tomorrow morning at 9:00AM.
IUE-CWA LOCAL 201 TAKES ACTION
Tuesday was a day of contract related actions by members of
Local 201. Over 900 sign wielding members stood out on Western Ave.
and the Lynnway, during morning and afternoon rush hours, waving and
shouting out to the passing traffic, letting the community know it’s
contract time at GE, and letting the Company know we’re looking for
improvements, not give-backs! The signs proclaimed: "Health Care for
all, not cuts for GE Workers" and "No cuts in benefits for GE Workers!"
The Local also participated in a Workers Rights Board Hearing that
examined the state of health care for GE workers. Organized with the
help of Jobs with Justice, a panel of community and health care activists
took powerful testimony from both current and retired GE employees,
including the members of two 3-generation GE families, the Wallaces
and Wheatons. The hardships described made a clear case for
improving benefits. The Hearing was video taped for future use.
Thanks to all our members who built for and participated in
these actions.
2007 IUE-CWA/GE NATIONAL NEGOTIATIONS
LOCAL 201 REPORT # 11
FRIDAY, JUNE 8 11:00 PM
Negotiations recessed Thursday afternoon June 7, until next Monday at
1:00PM. Thursday, June 7th, was the conclusion of the first 3 weeks of
what is called the “Big Tables”.
GE’S CLOSING REMARKS AT THE “BIG TABLE”
GE made some closing statements on the importance of being globally
competitive and a number of statements referencing how good and
competitive their wages, pension plan, medical plans and Job Security
“safety net” programs were. They said health care costs are going up 2 to
3 times the rate of inflation and “we all are going to have to pay more”
with some comment about union members having fixed contribution rates
currently. GE defended their plans for new hires, stating that their plan for
them was “responsible, sane and a measured response” and stating we are
not talking about taking away their defined Pension benefit plans as some
Companies have done.
UNION CHAIRMAN RESPONDS
IUE-CWA Chairman Bob Santamoor then read out a “big table”
closing statement re-emphasizing the crucial nature of our issues on Job
Security, Pensions, Neutrality in Organizing, Health Care cost shifting,
Paid Time off, Retirees and New Hires. Some notable quotes from the
speech:
“Retirees must receive a substantial increase in their Pension
along with a COLA…it’s time, it’s time, it’s time.”
“Make no mistake about the importance of the issues surrounding
New Hires. Do not let the voices you heard go unheeded. It would be
a major mistake to do so. I believe a mistake could bring you on a
journey no one wishes to take”.
“We expect substantial increases in pensions with a replace-
ment income that assumes inflation adjustments”.
“Your own figures tell us that health care costs in the last contract
did not come close to your projected increases. We will not be fooled
this time with inflated figures or the argument increases are needed.”
“We must protect these workers from work transfers and plant
closings…….from the scandal of farm-out and subcontracting”.
“There are areas I have not specifically stated that need improvements.
They are not to be taken lightly. Areas such as improved dental and vision
care coverage (Note: Retirees have none)...a true wage adjustment for
skilled trades.”
“In closing, I must say that I am less optimistic of being able to bake
the cake this time than any other contract negotiations that I have been
involved with. If an agreement is to be reached it must meet our needs
and not just GE’s. It has to be a good contract, not an inferior one and
one with no give backs. Give backs will unite this table like you
have never seen before. Believe me when I say that, do not make
the mistake of just listening. Make sure you hear us.”
UNION NEGOTIATORS BACK UP CHAIRMAN
Following Santamoor’s detailed closing statement, all Union nego-
tiators reinforced all of the Chairman’s points. Each negotiator made
short closing remarks hitting some of the issues. Almost all negotia-
tors mentioned their hatred of the GE’s presentation on New
Hires and the 2005 plan forced upon their salaried workforce.
Local 201 (Lynn) BA Casilli said that the Unions want higher levels
of “replacement income” in the Pension Plan for current members
and a significant increase for Retirees is critical. He also challenged
a GE negotiator’s previous remark, about union members supposedly
having “fixed” Health care contribution costs, by stating “that is totally
incorrect,” and read off contract health care contribution charts
showing that our members rates went up significantly in 2004
and again in 2006, while many members jumped additional levels by
going into a higher wage bracket, or by adding spouse or dependent
coverage. Many members’ rates almost doubled during the last contract
and some members got hit much worse. The BA stated our Retirees
already are paying too much and they do not have dental, vision,
or hearing aid coverage and they need these. He also said “your
New Hire 7 prong attack is very worrisome…this is an attack on
the Union as an institution...you go after our fathers who came
before us (the retirees) and now are going after our children
coming after us”. The IUE-CWA Local 1004 (Stothers) union rep.
echoed similar sentiments- saying “you seem to go after everyone who
is not present at this table!”
On Monday, June 11 @ 1:00 PM, the “Small Table” Negotiations
open with the Company. This involves the top national Union officials
and top GE officials. This “table” meets all week and through the
coming weekend to try to hammer out a Contract.
Beginning Tues. June 12 @ 9AM, two Sub-Committees will also
be bargaining in separate rooms with GE: (1) Pension & Insurance,
(2) Contract Language. Local 201 BA Casilli is a member of the
Pension& Insurance sub-committee. The union Sub-Committee members
usually caucus with the top union officials from the “Small Table” each night.
Local 201 is planning a major “visibility protest” on Western Ave.
and the Lynnway at 3 different times on Tues., June 12, and wants
members to participate. Flyers with details have been distributed in
the shops. Also, Local 201, MassCARE, and Jobs with Justice are
sponsoring a Massachusetts Workers Rights Board Hearing on the same
day @ 9-11AM at North Shore Community College, in Room T102,
examining the question “Is there a future for health care at GE?”
2007 IUE-CWA /GE NATIONAL NEGOTIATIONS
LOCAL 201 REPORT # 10
WEDNEDAY, JUNE 6 8:00PM
In the AM session, the Company put on presentations on the
Savings & Security Program and on Job and Income Security.
On the S&S Program, they reported the utilization of the S&S
Program by union members was growing, that 85% of members
were now participating in it, and that 70% were saving at the Company
50% match cap level of 7% or more. GE went over the features of this
Defined Contribution Plan, as differentiated from our Pension Plan,
which is a Defined Benefit Plan.
The Company then made a presentation on Job and Income security
discussing the Plant Closing Pension Option (PCPO), Special Early
Retirement Option (SERO), SERO 30, the Special Supplement Benefit
Option (SSBO), Preferential Placement, IDP, and Job Preservation
Committees.
The Company stated the cost of one SERO was $280,000, and
SERO 30 was $385,000, and that pension improvements and rising
health care costs “make SERO and SERO 30 increasingly
expensive to provide. They said 2,609 hourly, 423 non-exempts,
and 669 exempts took SERO’s during the recent contract. They
reported that 203 hourly and 31 non-exempt’s took SERO 30 during
the same period. Union negotiators remained silent.
GE then explained the SERO “WINDOW” program in the current
Contract. They reported 600 union and 250 non-union went out in the
first 2003 “window” on retirement; and 420 union and 180 non-union
went out during the second window in 2005. They complained that,
out of the total of 1450 window retirements, 515 were SERO 30
window retirements and that the total cost was $307 million. They
said the administration of the window feature was difficult and
that “they are extremely costly and not responsive to current
business conditions”. Union negotiators remained silent again
and said “see you this afternoon”.
Neutrality in Organizing
In the afternoon session, union negotiators asked the Company
why they oppose Union drives, despite the fact that in general there
is cooperation in most IUE-CWA GE plants on things like VPP,
Job Preservation, productivity, lean, etc. The Chief Spokesman
responded, “Because generally there are less encumbrances, more
flexibility and productivity in non-union shops.” He restated GE’s
historic position of working with Unions where they exist but
maintaining a position that they do not want or need them in shops
where they don’t exist. He restated GE’s opposition to the
“Employee Free Choice” bill, but admitted that that could become
law if a Democratic President comes in office next election.
Negotiator after negotiator told stories of the benefits that GE gets
from having unions – structure, some agreed upon rules, help in
securing work through politicians, help with customer’s cooperation
in securing work, and partnering for the good of the business.
Negotiators said “times have changed” and it is time GE revisits
their old outdated historical position of fighting union drives in their
plants and the hope is someone inside the Corporation would
spearhead this review.
Negotiations Resume Tomorrow
Negotiations resume tomorrow with the Union doing a “Wrap up”
of many of the key proposals given the Company over these first 3
weeks of Negotiations. The “Big Tables” (IUE-CWA/GE and
UE/GE) officially will end after tomorrow morning. The “Small
Table”, with top National leaders from the major CBC unions and
top GE Negotiators, shall convene on Monday June 11 at 1PM for
the last week of Negotiations.
All other CBC Union Negotiators from the Locals and Conference
Board Staffs will be meeting with company negotiators in 2 Sub-Com-
mittee rooms. One is Pension & Insurance, the other is Contract
Language. The Sub-Committees shall convene on Tuesday morning
June 12. Local 201 Business Agent Ric Casilli is on the Pension
& Insurance Sub-committee. Usually, at then end of each day, the two
union Sub-Committees caucus with top union leaders from the “Small
Table” for a briefing.
2007 IUE-CWA/GE NATIONAL NEGOTIATIONS
LOCAL 201 REPORT # 9
TUESDAY, JUNE 5 11:00 PM
-
NATIONAL CBC Rally
Negotiations continued today, following a long weekend recess that
featured a major national CBC rally in Erie, Pa. An estimated 2500 GE
workers participated in the rally sending a clear message to GE on the
major issues concerning members. Those issues are clear: improving
significantly pensions for current members & retirees, improving
the 60 cent 2 tier NSB, renewing and improving the SERO and
SERO “window’, holding down medical cost shifting, and protecting
new hires from a now known 7 prong attack (keeps growing the
more we know) on their retirement options and benefits. Other
areas are also important but these are the major conflict areas.
UE Local 506 in Erie hosted the Saturday rally, which drew representa-
tives from Locals all across the country from the various CBC unions.
IUE-CWA was represented well at the Rally, led by a huge contingent
from Louisville Kentucky. IUE-CWA Conference Board Chairmen
Bob Santamoor was a featured speaker along with top UE National
representatives. Local 201 (Lynn) sent a delegation of 22 people, including
most Board members and Officers. Many other IUE-CWA Locals sent
good sized contingents. Many new hires participated in the spirited event.
IUE-CWA Local 1004 (Arkansas City, Kansas - Strothers) put out
a new button today that all Negotiators wore at the negotiating table.
It depicts a baby in diapers getting a GE machine screw though the heart
and says “Don’t Screw the New Guy”.
GE WAGE PRESENTATION
In the morning session today, GE made a presentation on their current
wage package and how the general wage increases, the COLA formula,
and various skilled trades adjustments are designed to “attract and retain
the best and the brightest” employees.
They said that data shows that the wage package is very competitive
and has provided a 4.8% increase over inflation rates during the last 4 years.
They then showed data that purported to demonstrate that wage related
premiums (OT, NSB payments etc), wage related benefits (holidays,
vacations, S&S, etc) and non-wage related benefits costs (health care, etc.)
roll up the “average” GE wage of $25.43 an hour to a $52.00 an hour cost.
GE presented charts showing they paid better wages then those in the
“total manufacturing industries” in the US, better then those in “durable
goods manufacturing”, and better then those in the “electrical equipment
& appliance” industries. This comparison they call "benchmarking".
Union negotiators began questioning their analysis and what it left out and
why it leads one to the wrong conclusions. One significant omission was it
never compared the profit amounts of any other company with GE’s
annual profit of $65,000 per employee. It is understandable why they
would not want to "benchmark" those figures
Negotiators also pointed out that GE was using unfair comparisons to
“companies” which included small businesses, non-union companies, low
profit marginal industries, and less skilled industries. If GE was compared
to the government NAICS indexes for aircraft engines, aerospace, power
generation, or locomotive manufacturing (where GE has many employees
in each sector), the wage differences would be negligible!!! The Company
admitted that it clearly would be much closer in a wage comparison.
It also should be noted that many GE lighting, appliance, and motor
locals have taken wage freezes over the years and now have 2 tier lower
wage rate systems. Those wages should have been carved out of the GE
presentation today and compared to the” low wage" industries GE did use
in their data. If so, the differences would be negligible again! In addition, the
“$52 an hour roll up costs” GE was presenting us are drastically lower
at most of GE’s lighting, motor and appliance plants, where MAJOR wage
and 2-tier concessions have been given (between Contracts) to satisfy GE
complaints about competitiveness and the Union’s wanting to keep jobs
here under Article XXII Job Preservation language.
Other negotiators questioned whether the increased 2003-2007
employee medical contribution and LTDI increases were subtracted from
what amounts to just a 1.2% annual wage gain vs. inflation (even by GE
figures). GE responded that the medical employee contribution increases
were subtracted and they would check on whether the major LTDI
employee increases were taken into account. LTDI increases were major!
GE referenced the fact the COLA clause has been improved a number
of times over the years. However, it is still a fact it only covers about 40%
of the rise in inflation and the general wage increases and skilled trades
adders have been needed just to keep members’ heads above water. Some
union negotiators also pointed out that the downsizing and outsourcing of
jobs to foreign countries has significantly lowered GE’s wage and roll up
costs over the years.
The Union made it clear was expecting substantial general wage increases,
an improved COLA and improved skilled trades adder to make sure our
members “keep their heads above water.”
GE LIFE INSURANCE and DISABILITY PRESENTATION
In the afternoon session, GE put on a presentation on their Life Insurance
offerings, Short Term (STDI) & Long Term Disability Plans (LTDI), and on
Disability Pensions.
The presentation was informative and the GE presenter believed there
were “opportunities to purchase higher amounts of coverage, in many
instances at lower costs”…specifically referring to the “Dependent Life
Flexible Choice” Insurance Plan. GE said the “flexible plan” was being
under utilized compared to the traditional dependent life plan, to the
detriment of many union members. GE also said some simplification of
current programs may also make sense. The presenter was informative,
clear, interesting and answered all questions.
Note: Not disputing these above points, the Union notes that we had
previously presented demands calling for hard monetary improvements
in all these Plans the Company was talking about today. But per usual,
this so called “negotiating process”, means GE will respond later
(maybe) to Union demands in this area. This negotiation “process”
is outdated, unique, condescending, bizarre, and embarrassing. It is
absolutely not in synch with labor relations existing at most of our GE
plants, or conducive to anyone being happy with any agreement that
comes down at the end…..but alas it continues. Local 201 does NOT
DO CONTRACT OR LOCAL NEGOTIATING ANYTHING LIKE THIS
at GE or our other REPRESENTED Companies and it works 100%
better!( See Contract Report # 1 for background on this subject.)
On the LTDI Plan, IUE-CWA Local 201 said at the table “the Plan
changes made 2 years ago were terrible and many members (who all pay
100% of the Plan costs) cannot afford to be in this Plan any longer.” GE
pointed out that the Plan changes were negotiated nationally at “a small table
with the Unions” and that GE had given the unions 3 choices on changes to
keep the Plan afloat and the Union chose the one in place. However, GE
admitted upon questioning that they offered no plan where GE would
actually subsidize part of it!! Instead, employees got hit with higher
contribution costs and a cutback on the amount and length (in some cases)
of the benefits that they pay for! (Such a great deal?)
Also, it became clear at the Company Presentation that the disability
pension plan for exempt salaried new hires (and some non-exempt) had
negative changes made to it, making it the now the 7th area of negative
retirement and benefit changes to new hires!!!!!!!
Wednesday, June 6th- GE Presentations on Contract
Language, S&SP, and Job Security…. Starts @ 8:30 AM
2007 IUE-CWA/GE NATIONAL NEGOTIATIONS
LOCAL 201 REPORT # 8
FRIDAY, JUNE 1, 11:00AM
Yesterday, IUE-CWA Conference Board Chairman Bob Santamoor
opened up negotiations saying recent Company behavior in Florida was
really “distasteful”. The IUE-CWA National Director of Organizing was
brought to Negotiations to testify concerning events that occurred in the
recent IUE-CWA organizing win of a GE Service Shop in Daytona,
Florida. The Director said that GE management carried on a campaign
of fear, intimidation and harassment on the 12 person workforce to scare
them out of voting to go union. The Director said GE management
behavior was deplorable and not in the spirit of the 2003 Contract
sidebar letter committing that such behavior would not occur. He testified
that GE turned on sprinklers on the workers when they “hand billed” the
plant on more then one occasion. Workers were subject to threats of the
shop closing, layoffs, loss of benefits, etc and were taken into “one on one”
meetings, among other things. The Director made the point that it is just
this type of behavior that is generating so much support for the Employee
Free Choice Act.
One of the courageous workers, now a union brother, came up from
Daytona and corroborated the Organizing Director’s testimony. The
Service Center technician said due to the reprisal threats made, they
are waiting for “the other shoe to drop” now that they voted the Union
in overwhelmingly. The Company Chief Spokesman stated “There
will be no reprisals”. He did reference a recent “distasteful cartoon”,
concerning companies opposing the Employee Free Choice Act, he
saw in an unnamed CBC union newspaper.
A more complete meeting with the Company is going to be scheduled
soon on what happened in Daytona. In any event, the workers are
under the National Contract now. We welcome our new
brothers!!!!!!!
APPARATUS SERVICE CENTERS
There are over two dozen GE apparatus service centers under the
IUE-CWA National agreement. Conference Board Secretary-Treasurer
Vinny Vines and negotiator Mike Cerrone (Philadelphia, Pa. Service
Center) led the presentation of the Service Center union proposals to
the Company. Witnesses from other Service Centers, like Pittsburgh,
added comments explaining the 15 proposals. Some of the key
proposals were increasing premiums for different types of work and
different locations, both inside and outside the United States. Proposals
were also made concerning schooling, safety, tool allowances, time off
after lengthy stays on the road, “layover” pay on outside jobs, and
restrictions on retirees and others from doing bargaining unit work.
The Company asked clarification questions on the proposals and said
they would review them.
SKILLED TRADES
Conference Board Staff member Jim Ledford then had some of the
negotiators and skilled trades witnesses from the locals talk about the
need for a skilled trades adjustment. A skilled trades member from
Louisville said they have a hard time hiring skilled electricians off the
street because of the competition with companies paying more.
Negotiator Ric Casilli from Lynn read a letter from Local 201’s Skilled
Trades Chairman Jerry Gove, who could not be present due to vacation
plans. The letter stated that many members were leaving skilled jobs,
like Tool & Die Maker jobs, and going down to less skilled jobs due
to more overtime or to get a better upgrade path to jobs with more
overtime. To restrict this trend, he suggested improving the 2003
skilled trade’s adjustment formula so it provides a bigger
adjustment for the Rates 18 and above. Casilli added that Lynn has the
same hiring problems as Louisville with some of the Skilled Craft
classifications and Nurse Classification. The Union had previously,
on May 24, presented a demand for a Skilled Trades improvement
(above the last one) as part of their Wage proposals.
NEGOTIATIONS RECESS
NATIONAL UNION CBC RALLY
Negotiations are on recess to next Tuesday morning, June 5. The
June 5- 7 period will be the last week of what is known as the “Big
Table” which then, on the week of June 11, breaks into the “Small
table” and two Sub-Committees (Pension/ Insurance and
Contract Language).
The one National CBC Rally is occurring this Sat. June 2nd
in Erie, Pa., hosted by UE Local 506, which represents production
workers at the GE Erie plant. Many locals within driving distances have
hired buses. IUE-CWA Local 201 is sending a delegation of between
22 and 25 people, including most Local 201 Officers and Board
Members. BA Casilli will be returning from NYC for the important
Local 201 Stewards/Contract activists meeting at the Union Hall
today, Friday June 1st, and then join the delegation going to Erie
over the weekend, before returning to NYC Monday.
One other note, UE Local 506 (about 4000 members) apparently
took a limited Strike action yesterday (Wed, May 30), with all shifts
walking out on Strike for 4 hours over some unresolved grievances
on farm out.
2007 IUE-CWA/GE NATIONAL NEGOTIATIONS
LOCAL 201 REPORT # 7
WEDNESDAY, MAY 30, 6:00PM
GE made 2 presentations in the morning. The first was by Richard
Sorian, VP of Public Policy of NCQA (National Committee of Quality
Assurance). He gave an overview of health care quality problems,
rising costs of “low-quality” care in the United States, and summarized
some of the initiatives to correct a broken system. These included labor/
employer committees, state, and federal legislation.
Despite it being an interesting “neutral” overview of the “trends” in
Health Care, it was the opinion of Local 201 BA Ric Casilli that the
lengthy presentation was mainly a thinly disguised attempt by GE to
“soften up” negotiators to be prepared to accept a lot more health
care cost shifting.
Data was shown that showed the “average” American, with employer
sponsored coverage, was now paying 27% of the medical insurance
premium with the employer paying 73%. Data GE presented May 23
showed that it is estimated that the average GE worker in 2007 is paying
“only” about 14% of the premium. The conclusion GE wants the union to
draw is that GE workers are “lucky” to be only averaging 14% compared
to paying 27% of the total premium and thus should not mind getting big
premium hikes this Contract.
201 BA Casilli replied that “You derived the average for Americans
paying 27% by including small businesses, non-union companies and the
Wal-Marts of the world,” where employees are forced to pay 50% to
100% of the premium. Big unionized Companies like GE, Lockheed, and
GM, etc. pay lower percentage amounts due to collective bargaining by
the unions, bringing the total “average” down to the 27 %. Casilli added
(paraphrased) “You also have got to look at this in a historical perspective.
In the 1970’s, unionized workers paid 0%, while small businesses and
non-union employees were paying 20% to 30%. Yes, we are going to
always pay way less than the national average. That is why we are here.
We are the only obstacle to driving down the standard of living and
blocking the cost shifting by employers on to employees every-
where…which is the real trend going on in health care!”
A second presentation was given by Shane Fitzsimons, a GE VP of
Financial Planning and Analysis. It was a business overview that looked
at growth, risks, investments, profits, revenues and realignments of GE’s
portfolio structure.
GE PENSION PRESENTATION
In the afternoon, GE’s Mike Gorman put on an informative presenta-
tion of the design and structure of our current Pension Plan. He
explained how it is GE’s view that it is designed to achieve 70% to 80%
of “replacement income” (of what you were making before retiring),
when combined with Personal Savings and Social Security. He then
went into a number of different complicated elements that fit into that
design such as the guaranteed tables, regular pension, pension update,
supplements, PPA, VPA, etc. He said the plan is designed to provide a
“competitive level of benefits,” along with a matching 401K Plan and
Social Security, and he benchmarked it against some other
Corporation’s retirement plans.
Union negotiators made a number of comments to the effect that we
are not wedded to the principle of the Pension Plan paying out benefits
on “a percentage of replacement income,” as we have already proposed
a non wage based flat pension plan. Also, it was pointed out that the
Unions never have accepted the so called “3 legged stool” concept when
negotiating a Pension Plan, i.e. personal savings and social Security
should not be factors in negotiating Pension Plan Benefits! In addition,
the 1997 Pension “adder” was attacked relative to the better 2000
Pension Update. There also were comments and questions regarding
the accuracy of GE’s replacement figures for some categories of
individuals, and the disastrous effect of inflation, over time, on such
figures having any real meaning when a Pension Plan has no automatic
cost-of living adjustment.
The Union has previously presented their Pension demands.
With $54.8 Billion in the Pension Trust Fund, and $15 Billion
surplus, there is no reason GE should not be able to significantly
increase the future pensions of those still working, give a big
increase to current retirees, scaled to those that need it most,
and put inflation protection for all into the plan!
The Company has not made any Pension Proposals to this
point, or proposals in any other area for that matter. The morning
presentations, particularly, were part of the “drawn out, wear
them down, soften them up” style of bargaining (unique to nego-
tiations with GE) and not “healthy” as a collective bargaining
process (See Local 201 Contract Report #1 for more on
this subject).
Negotiations resume tomorrow with the Union presenting its
skilled trades/service shop proposals.
2007 IUE-CWA/GE NATIONAL NEGOTIATIONS
LOCAL 201 CONTRACT REPORT # 6
TUESDAY, MAY 29, 8:00PM
Tony Daley, from the CWA Research Dept., today presented a union
outline and perspective on the health care crisis in the United States. He
said CWA was for the principles of universal coverage, comprehensive
benefits, affordability, fair financing and quality care. He pointed out that
data should only be used from 2003 forward because the Unions and
Company previously bargained adjustments in cost sharing in the 2003
Contract.
He showed data that illustrated GE’s health costs increasing 8.4%
from 2003 through 2006, while the National average for that period was
12.2%. Meanwhile, during the same period, GE employee contributions
rose 18.2% and GE profits per employee rose 11.2%.
He said this illustrated that GE should not be talking about “competi-
tive levels of cost sharing or benchmarking” in comparison to what other
companies do. He stressed GE needed to use “imagination” and be a
leading player to work with the Unions to find solutions to the national
Health Care problem rather then just asking for more cost sharing all the
time.
Health cost containment cannot be solved at the bargaining table and
GE needs to change their approach if they want to solve their “competitive-
ness" complaints, said Union researcher Daley. A major point, he was
attempting to get the Company to see, was that the hard data on health
care cost increases could probably be mutually agreed to, but how the
Union and Company interpret that data to come up with solutions is where
there is a disconnect in approach.
The Union then presented demands on Medical, Vision, Dental, Disabil-
ity, Life Insurance, and Retiree Benefits, calling for improvements in each
area, with no or little cost shifting on to members. The list of demands was
extensive, reflecting members’ problems in many areas. Some of these
included more coverage and higher coverage levels in the medical, vision,
and dental plans. Improvements in STD and LTDI were included. For
retirees, the Union put forward some current medical “cost relief” demands,
called for improvements in the four post-65 supplement plans, while also
asking for Dental and Vision plans.
In the afternoon session, the Unions put on a powerful presentation on
behalf of retirees. Union negotiators, one by one, read out approximately
two dozen letters from GE retirees addressed to GE CEO Jeffrey Immelt
asking him for pension increases, no increase in health care costs, and
describing in detail their daily and personal situations in struggling just to
survive.
Retiree guest speakers from Louisville, Schenectady, and Lynn made
excellent presentations on the plight of GE retirees. Randy Peyton from
Louisville said it really hurts him and makes him feel sad when he sees
retirees having to make the choice between buying medication or food.
“It’s high time we fix this situation” he retorted.
“I always thought GE was about progress. Well, progress would be
updating their pensions,” said Peyton.
Helen Quirini, a long time retiree from Schenectady, went through the
history of retiree’s problems and asked GE “to put people first” and have
some compassion for those older retirees living below the current minimum
pension of $33 per month per year of service.
She said “I retired when the minimum was $18 and thus only get a
pension of $734 monthly. This is a trust fund for us and it is shameful,”
she said. GE Spokesperson Bill Casey referred to Quirini’s presentation
as “thoughtful, historical and forceful” but took issue with her calling the
GE Pension plan “discriminatory”.
Kevin Mahar, from Lynn, handed out the “Hall of Shame” leaflet to
all GE and Union negotiators which showed former CEO GE Jack
Welch’s pension at $800,000 a month, as compared to the $734 for
Quirini. Mahar talked about having no eyeglass, dental or hearing aid
coverage “at a time in your life when you need it most.” He spoke of
having to fight to get hospital benefits for people being denied, and about
a retiree that has to use more then 6 of his pension checks just to pay his
annual taxes of $3,600 on his house!!!
Mahar concluded: “It is out of balance, it is crying out for a fix, and it
is fixable in a systematic way that both automatically adjusts pensions
while safeguarding the Pension fund.”
Many negotiators backed up the three retirees’ presentations and the
dozens of letters read, telling the Company this is a “hot button” issue this
year and something must be done.
The GE chief spokesperson said “we listened, and will pass on your
comments, and hopefully capture your conviction and passion”.
IUE-CWA Chairman Bob Santamoor concluded with the remark
“You may be listening but I’m not sure you are hearing.”
Union Negotiators summarized informally, after the day’s session, that
this may have been the best presentation on retirees issues done at the
table, particularly by the three retirees, who kept their remarks sharp,
forceful and to the point.
Negotiations resume tomorrow Wednesday, at 9 AM, with the
Company scheduled to make presentations on the State of the Business,
Health Care, and Pensions.
2007 IUE-CWA GE NATIONAL NEGOTIATIONS
LOCAL 201 REPORT #5
FRIDAY, MAY 25, 11:00AM.
On Thursday, May 24, the Union presented the Company Wage and
Contract Language proposals.
The Union demanded “substantial percentage wage increases”, an
improved COLA formula, a skilled trade’s adjustment and a premium
for hazardous job duties. Some of the Contract Language union
demands presented were restoring the 10% Night Shift Bonus for
everyone, making seniority the “controlling” factor in upgrading ( if
minimally qualified), equalization of overtime across shifts, and
additional paid time off with more vacation days, holidays and
sick & personal days.
The Union also asked the Company to recognize the principles of
“card check” and “neutrality” in union organizing drives, especially in
light of recent Company interference in a successful union drive by GE
workers in a Florida Service Shop. The Company responded that they
play “by the rules” and follow “NLRB law” and inquired whether the
2003 “Sidebar” letter on the Dispute Resolution procedure was not
working satisfactorily. The Union’s Conference Board Chairman replied
“No it isn’t and your behavior in Florida was disgusting!” Both sides
agreed this would be discussed more.
The Company announced that they would be coming out with a
Statement on International Employee Rights in the near future,. The Union
then requested that GE take a Union CBC (Coordinated Bargaining
Committee) group on a tour to China to review employee rights in GE
factories. The Company replied “We will review that request”.
Led by the IUE-CWA Local 301 rep (Schenectady, NY), numerous
union representatives hammered the Company about not providing
Veterans Day as a listed paid holiday (Note; Local 201 does have it as
a paid holiday as it was locally selected to be the “additional” holiday).
Union reps stated angrily that not having Veterans Day as a paid listed
holiday is an insult to all the men and women who serve this country,
including our veterans in the shop. Other negotiators also testified to the
need for more Sick & Personal days and for strengthening seniority in
upgrading.
Led by the IUE-CWA Local 201 rep (Lynn, MA.), negotiators spoke
on the need to restore the 10% Night Shift Bonus for everyone. The Local
201 rep. read from a March 26, 2006 shop floor petition, initiated by new
hires, calling for changes in the $.60 NSB. The Local 201 rep. pointed
out that the $.60, set back in 1988, has lost more than half its value by
2007, and said that this whole disparate situation needs rectification! The
Local 701 rep. (Madisonville, KY) quickly added supporting remarks on
fixing this situation for recent and future new hires.
No negotiations are scheduled for today, Friday May 25. Negotiations
will resume on Tuesday, May 29 with the Union scheduled to present its
demands in Medical and Benefit areas for both current members and
retirees. In the afternoon, the Union is bringing in some Retiree Council
leaders to make a presentation concerning the plight of GE retirees.
2007 IUE-CWA/GE NATIONAL NEGOTIATIONS
LOCAL 201 REPORT # 4
WED. MAY 23, 7:00 PM
GE put on a Health Care presentation today, which purported to show
that GE Health Care Costs were rising extremely fast, that GE workers’
levels of cost sharing were too low, and that the GE Medical Plans were
better then average when compared against plans of other unionized
companies. In the presentation, they focused on the amount an employee
contributes, co-pays (drugs, specialists, outpatient, imaging charges), cost
of retiree health care and continued to reference the number of “New
Hire” provisions other Companies had put in place.
Union negotiators questioned a number of points regarding the extensive
data GE was presenting. When comparing co-pays of different employers,
GE figures were low on our members’ medical contributions because they
did not add in what the GE worker pays as a result of the deferred COLA
in the 1990’s in order to keep medical contributions down. GE also did not
compare themselves to any Companies that had anywhere near the number
of employees in the GE plans. In addition, union negotiators pointed out
that we are not responsible for the cost associated with extending medical
coverage to non-union salaried or non- union plants in general, as we do
not negotiate for them.
In the afternoon session, GE put on their presentation explaining their
New Hire Benefit Program which went into effect on Jan 1, 2005 for most
non-union salaried employees. The Company explained what they do
get and what they do not as compared to current employees. It was not
received well. Union negotiators reacted strongly against this type
of program being dumped on union new hires! More negotiators
spoke on this subject then any subject in the previous day and a half
of Negotiations. Opposition ranged from logical, institutional, and
practical reasons for the Company to drop this subject from further
discussions to outright anger that the Company would even suggest doing
this. Forceful speech after speech was given opposing any proposals
the Company may make on union New Hires that would do to them
what GE did to their non-union salaried employees (raises their
unreduced pension retirement age from 60 to 62 or 65, eliminates
their pension supplements, provides either no pre-65 retiree health
care or paying 100% of the costs, eliminates their post-65 retiree
medical, lowers their retiree life insurance, and makes them
ineligible for programs like SERO). Top IUE-CWA spokesmen asked
the Company to remove this item from the table due to the “irritation” effect
it was having on union negotiators and its potential “deal breaking” nature.
The Company said “you are digging in a bit early” and we have not even
given you a proposal on this subject yet. The Company stated that they felt
their ideas were a “measured response” to changing factors like longer life
expectancies, changes in Social Security ages etc. Chairman Bob
Santamoor replied “It is an insulting response”. On this note, bargaining
concluded for the day.
Negotiations resume on Thursday at 9:00AM with the Union scheduled
to make their Wage and Contract Language proposals.
2007 IUE-CWA/GE NATIONAL NEGOTIATIONS
LOCAL 201 REPORT # 3
TUESDAY MAY 22, 5:30PM
Negotiations opened this morning, with a moment of silence for the family of
IUE-CWA Local 201 (Lynn, Ma.) member Peter Allouise, as the press is
reporting that in “an apparent murder/suicide” he took the lives of himself, wife
and 26 year old son. Prayers go out for them, and friends and relatives of the
Allouise family.
On another somber note, the entire IUE-CWA Negotiating Committee
continued to wear pins commemorating the tragic death of Michelle Rodgers
on the picket line four years ago during the nationwide Health Care Strike.
In the AM session, the Union presented its list of Article XXII Job and
Income Security demands. Some of the key demands presented were no
plant closing for the life of the agreement, a prohibition on sub-contracting
and outsourcing, increase in IEA and other layoff benefits, improved
bonuses, and making Article XXII violations arbitral.
Discussion ensued, with Union Negotiators pointing out that the key is
saving jobs and NOT just improving the benefits after the jobs are lost. The
closings of the Jonesboro Ark., Tells City Ind., Murfreesboro Tenn., and
Atlanta plants were highlighted. The Union noted that the 1997 Job
Preservation Committee Language was not working effectively in most cases
and that there was not enough accountability being forced on local manage-
ment to make them work.
The GE spokesperson praised the efforts of union leaders, in a number of
locations, for their perseverance in making the committees work despite not
always being popular or successful.
Union leaders said GE has to take a stronger role in making them work
and rewarding locations with more work, new products and investment, and
stop sending stuff to China. Union Conference Board leaders said “it is time
to think out of the box” and stop tying “saving jobs” to wage and benefit
concessions, a pattern in the lighting and appliance industries. It was pointed
out, that even in the “healthier” GE industries with no layoffs; attrition was
eroding away job security and farm-out was still an issue.
In the afternoon session, the Union presented its Pension Demands.
Some of the key demands presented were for a significant increase in
pensions and restructuring it to a simple flat (non-wage based) pension plan,
a pension increase for retirees, pension inflation protection for current
members and retirees, renewed and improved SERO and SERO 30
job/income security Programs, and an enhanced SERO WINDOW early
retirement program.
Discussion ensued, with the Union raising the approximate $55 billion in
the pension fund and again raising that it is about $15 billion over funded.
The Company, again, showed little desire to want to convert to a non-wage
based Pension Plan. They cited the major reason being that such a plan does
not take into account the central principle of the plan which is to give
individuals a certain percentage of replacement income from what they were
making as an active employee. Despite that objection, union negotiators
argued that the plan was too complicated, extremely unfair to low wage
earners, pushed people to working too hard in their later years and did not
provide a high enough level of replacement income for anyone.
With little progress on changing the “structure” of the Pension Plan being
made,
negotiators “laid into” the Company again about how disgraceful their
treatment of retiree’s pensions was. “We have retirees living in houses with
dirt floors!” said one negotiator.
The Chairman of the Conference Board said, despite GE’s pre- negotiations
remarks, “We also intend to keep and improve the SERO and SERO
WINDOW programs. Union negotiators added that “we also are not interested
either in increasing new hires normal 60 year old Retirement age, taking their
pension supplements away, making them pay 100% for pre-65 retirement health
care, or eliminating their post- 65 health care.
The Company responded that they understood the Union’s positions on
these matters but would withhold further comment until “tomorrow” when GE is
scheduled to make their Health Care and New Hire Benefits Presentations.
These presentations are not likely going to “over joy” union negotiators, having
heard GE’s views on these matters in the pre negotiations publications they have
been putting out.
Negotiations resume tomorrow morning at 9:00AM.
2007 IUE-CWA/GE NATIONAL NEGOTIATIONS
Local 201 REPORT # 2
Monday, May 21, 7:30 PM
Negotiations opened today at 2PM at the London Hotel in New York City.
IUE-CWA President Jim Clark spoke about the destruction of the “middle
class” in the country” and a 3 million loss of Industrial jobs during the last
decade. From his visits around GE locals, he referenced the high skills and
productivity of the GE workforce and that GE needs to bring back work from
places like China, invest in America, and reward the high skills and productivity
of their GE workers in this country. He stated “We can’t match the wages and
benefits of ‘Third World’ countries and did not come here to do such.” He
complained about GE press releases showing leanings to drive down benefit
packages, despite year after year of record profits. He cited GE’s complaints
about medical costs, pension costs, retiree costs etc. with the stark reality of
GE profits of $20.8 billion, a $16 Billion over funded Pension Plan, and huge
executive pay raises making their pleas for more and more sacrifices fall on
deaf ears.
CWA President Larry Cohen said the entire 700,000 members of CWA
stood in support of the GE workers. He called on GE to exercise real leadership
and join the fight for real health care reform, but was concerned that GE was
balking because they profit so much (GE Medical Systems) from the current
dysfunctional U.S. Health Care System. Cohen angrily attacked GE for their
“interference”,” intimidation” and undemocratic behavior and “threats” of job
loss in trying to influence GE workers in Florida from unionizing recently.
( Note: Despite that, the small GE Service Shop just voted the Union in). He
told GE “it is time you begin supporting the U. S Middle Class, not the Chinese
Middle Class- that is the job of the Chinese Government”. He stated “the winds
of change are coming” and GE should join and be a real leader as there are
“incredible opportunities” to improve things in this country.
IUE-CWA Conference Board Chairman Bob Santamoor said “we are here
today, not to hear just what you want and listen to your agenda, while you
ignore our proposals.” The Chairman then reference the national Health Care
Strike just over 4 years earlier and that “we are tired of the cost shifting”.
Santamoor also said that we make sacrifices to keep jobs but where are the
rewards? He said this Negotiating committee wants higher replacement values
on pensions and will not put up with attacks on retirees.
Following the 3 union leaders opening statement, GE Chief Negotiator Bill
Casey gave the Company’s opening Statement. Casey said he came into this
Negotiation not concerned about “winning” but “resolving issues”. He stated GE
had not changed their philosophy, that they pay not what they can afford, but
what was fair and competitive. He said they had the same traditional GE goals
where there would be “a fair amount of giving, and some amount of taking”.
On Health Care, Casey said they desired a "competitive level of cost sharing"
and that they would “refresh some old ideas and bring in some new ones”. He
said they were planning no major overhaul of Benefit Plans but then Casey
complained about the escalating costs of programs like the "SERO WINDOW".
He defended GE not having to pay into the Pension Plan since 1987 on
good Fund Managers and said basically GE still has put in double what
participants have put in.
Casey also defended what GE did in January of 2005 to their non –union
salaried new hires, saying “they still have both a defined benefit Pension Plan
and an enhanced 401k Plan”. He stated they were carefully measuring these
types of plans with increasing competition and longer life expectancies. He
concluded by stating he was hoping to get a handshake on an agreement by
Father’s Day.
With the ceremonial opening over, negotiations will begin at 9AM
Tuesday, May 22, with the Union presenting its Job Security Demands in the
morning and Pension demands in the afternoon.
2007 GE NATIONAL NEGOTIATIONS
Local 201 REPORT #1
Sunday, May 20th 8:00 PM
Negotiations open in NYC at 2:00 PM tomorrow. The following is the reprint of an article published in the Local 201 Electrical Union News back on July 18, 1994, immediately following Local 201’s recommendation to approve that contract (which the membership did). It was written by current 201 B.A. Ric Casilli, then 201 Vice-President, and seriously criticized what he believed was a “flawed Bargaining process” which thus, many times, led to a “flawed product” (contract) at the end.
The Business Agent feels not much has changed in the GE bargaining process in these 13 years, and has serious concerns that the 2007 negotiations will follow that same “process” which inherently creates unnecessary stress, conflict, and anger. Thus, Local 201 is reproducing the column here, on the eve of the 2007 negotiations.
V.P. Ric Casilli, July 18, 1994
The Local 201 Executive Policy Board's position on the 1994-1997
Contract was clearly outlined on the back page of the last issue of the
Union paper. I do not intend to go over the strengths and weaknesses
of the contract or the details of the Board's position. Suffice to say,
there are some decent gains that made this contract "acceptable".
However, I do want to comment on our remark in that article that
stated “The 11th Hour Bargaining Method GE used again,
is heartless and not in the spirit of Good Faith Bargaining.”
GE's bargaining method seems to be to put more and more
"takeaways" on the table with each succeeding contract, and their
method also seems to include leaving them on the table to a later
and later time with each succeeding contract.
The reason this is "heartless" to our members and their (GE)
employees is that it unnecessarily panics individuals and their families
into thinking strike is inevitable. Now, the Company can claim the
Union promoted this feeling — to which I say "yes— that's
absolutely right! We did promote it" — because when something
"looks, walks and quacks like a duck" — we call it a "duck".
The Company had approximately 80 take-aways on the table,
and all the major ones were kept there until the last minute.
If that doesn't promote strike feelings — what would? If the
Union put forward demands like a 20%, 15%, and 10% wage
increases with a 20% night bonus, free 100% medical plan coverage,
with a 100% job guarantee, and triple the pension payments—
we would be viewed as "employees looking for a strike". And
if our Union negotiators held firm on these demands to the last day
— we would probably be "committed". This would be viewed
as the ultimate in bad faith bargaining.
Well, in my opinion, that's exactly what GE is doing. Our
negotiators know it, my fellow officers know it, our Stewards
know it, and our members know it. GE's strategy — throw lots
of take-a-ways on the table, test the "waters", withdraw the vast
majority of take-a-ways at the last minute (due to a strong
response from our rank and file) and give just enough to prevent
a strike and make everyone "happy". Well, despite the vote, we
are not overjoyed with the offer, and we are especially bitter about
the GE method. The purpose of contract negotiating is to come up
with a "fair" offer that is arrived at "fairly". If the method is tainted,
then the final product (the contract proposal) is also tainted. And
now, after all that they put us through, we are expected to get
excited over co-operation for the next 3 years? I'm just jumping
with enthusiasm. Locally, the Union has associated co-
operation with jobs; Nationally, GE now has shown it continues
to disassociate co-operation with jobs. (NOTE: No joint sourcing/
subcontractors language in contract). Thus, it looks like a long 3 years
unless corporate "empowers" it's different localities to bring work
into the union locations. I'm not holding my breath after watching their
behavior at the National Negotiating table.






