California state health care and social services workers

Most employees would see a two-step 3-percent general salary adjustment over the life of the contract (1.5 percent in July 2014 and again in July 2015), but two job classifications would receive equity adjustments totaling 8 percent (4 percent in July 2014 and again in July 2015). According to published reports, the timing of the proposed pay hikes depends on the state's assessment of state government finances next year — if revenues are not on target, the raises would not be implemented until 2015.

The Minnesota Association of Professional Employees (MAPE) announced August 12 that its membership overwhelmingly approved the 2013-2015 state contract agreement, which was passed by over 97 percent of the members who voted.

Approximately 13,000 state employees represented by MAPE will receive across-the-board raises of 3 percent for each year of the contract, but will pay more for their health care premiums.

“We hope that once the Subcommittee on Employee Relations reviews the contract, they will vote to accept it,” said Sandy Dunn, Co-Chair of MAPE’s Negotiations Team. “As legislators from both sides of the aisle have often remarked how they support the hard work state employees do, one of the best ways to show their support for us would be to vote to accept this contract.”

The state contract agreement now goes to the Legislative Coordinating Commission Subcommittee on Employee Relations (SER) for action, which must act within 30 days or the contract goes into effect. After the contract has gone to the SER, regardless of the result of the committee’s actions, it will be taken up by the full legislature in 2014 for a final vote.

The 2013 pay raise is retroactive to July 1, 2013. The new contract also maintains step progressions in both years, increases allowances for safety shoes and out-of-town meals, and raises the dental maximum by $500 to a new yearly total of $1,500. Beginning in 2015, all employees will pay 5 percent of the individual health insurance premium.

By Pamela Wolf, J.D.

The federal judge presiding over Detroit’s municipal bankruptcy has ordered that the parties appear for mediation and assigned the job of mediating to Gerald Rosen, Chief Judge of the Eastern District of Michigan. The facilitative mediation will include the negotiation and renegotiation of collective bargaining agreements. Judge Rosen has ordered that the parties appear for their first mediation session on September 17.

The case has drawn much controversy focusing on the public worker pensions that are at stake in the city’s Chapter 9 bankruptcy filing. A state court earlier determined that city’s bankruptcy filing violated Michigan’s constitution because it threatened accrued pension benefits and ordered that it be withdrawn. The federal bankruptcy judge later held, however, that the federal bankruptcy court has exclusive jurisdiction over the case, that state court litigation challenging the Detroit’s Chapter 9 filing should be consolidated into the bankruptcy case, and that further litigation against the city should be suspended during the bankruptcy process.

Aiming to protect public worker pensions, Michigan Attorney General Bill Schuette announced that he would join the bankruptcy case in the role of “Peoples Attorney” on behalf of the pensioners who stand to lose pension benefits during the proceedings. The AG’s move pits him against Michigan Governor Rick Snyder, who on July 18 authorized Detroit Emergency Manager Kevyn Orr to file the bankruptcy petition. The AG agrees with the state court: “Michigan's constitution, Article 9, section 24, is crystal clear in stating that pension obligations may not be ‘diminished or impaired,’” he said.

The question on everyone’s mind is whether the Michigan constitution will afford any protection at all for the public pensions at stake in the federal bankruptcy proceeding.

The Teamsters Union reported on August 20 that funeral industry giant Service Corporation International (SCI) has locked out 59 Chicago-area funeral directors despite a purported unconditional offer to return to work that was made by the union’s Local 727.

A state court judge in Chicago last month denied an emergency motion filed by SCI, which uses the brand name Dignity Memorial, in an effort to silence picketers. SCI operates 16 funeral homes in the Chicagoland area. Workers began an unfair labor practice strike there in July. Strikers have been picketing at Dignity locations since July 2.

As of July 22, the Teamsters reported filing more than 10 Unfair Labor Practice (ULP) charges against SCI since negotiations began on June 14. The charges included worker intimidation, threats of job loss, and worker surveillance, and are pending before the National Labor Relations Board.

The union now reports that through 40 hours of negotiations and 50 days on the strike line, SCI “has offered only unlawful regressive proposals to the bargaining committee, including the elimination of worker pensions and higher premiums for health care coverage.”

The Teamsters resumed contract negotiations for two meetings on August 6 and 8, during which, according to the union, SCI resubmitted its original demands “to eviscerate workers’ seniority rights and to eliminate authority of the arbitrator in arbitration decisions.” In addition to its unconditional offer to return to work on August 19, Local 727 had made some movement on issues critical to SCI, including allowing the company to withdraw from the Teamsters’ Pension Fund for an economically equivalent 401(k) plan, the union said.

“SCI has chosen to lock out its employees rather than see them return to serving grieving families in their communities,” said John T. Coli, Secretary-Treasurer of Local 727. “SCI has forced this lockout to get rid of its longtime employees and boost its bottom line. But the Teamsters will continue to fight on behalf of our members for justice, and for a fair and equitable contract.”

Teamsters Local 727 has represented Chicago’s funeral directors and embalmers since 1946; it represents more than 6,800 men and women in the greater Chicagoland area.

The NLRB has created a new Division of Legal Counsel at its agency headquarters in Washington, D.C., headed by Associate General Counsel Margery E. Lieber. The new division will include three branches created by the consolidation of several headquarters’ offices. The consolidation eliminates duplication of functions, improves services delivery, streamlines operations, and integrates services, according to the NLRB.

The move follows the agency’s announcement in the Federal Register on July 25 that it was restructuring and realigning the location and lines of authority of certain agency headquarters offices to create an independent Division of Legal Counsel that reports to the Office of the General Counsel.

The three Branches of the new Division of Legal Counsel are:

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  The Ethics, Employment and Administrative Law Branch, which provides the NLRB with legal counsel and advice in the areas of ethics, labor relations, employment and personnel law, government contracting, and Federal Tort Claims Act matters.
  
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  The Contempt, Compliance and Special Litigation Branch, which provides compliance and contempt advice and conducts litigation when external statutes, programs, or outside proceedings threaten the NLRB’s ability to carry out its mission. This branch also gives advice and engages in litigation to attain compliance with outstanding court judgments and initiates ancillary collection proceedings; protects the Board’s remedial orders in bankruptcy courts or against attachments, garnishments, and liens; assists with defending agency employees when they have been sued in their individual capacity for actions taken in their official capacity; and assists Regions regarding compliance work related to potential derivative liability.
  
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  The Freedom of Information Act (FOIA) Branch, which coordinates the processing of all FOIA requests in the Regional Offices and directly handles all FOIA requests in NLRB Headquarters, as well as all FOIA appeals. The agency anticipates that all FOIA work will soon be centralized at NLRB Headquarters; at that time, the FOIA Branch will be responsible for processing all FOIA requests nationwide.
  

By Pamela Wolf, J.D.

Unions that collectively represent 70,000 American Airlines and US Airways employees, including pilots, flight attendants, mechanics, technicians, aircraft dispatchers, call center representatives, and others, are pushing for a November 12 trial date in the DOJ’s civil antitrust lawsuit challenging the proposed $11 billion merger between US Airways Group Inc. and American Airlines’ parent corporation, AMR Corp. The suit has stirred a firestorm of passion in the union world.

On August 22, the Allied Pilots Association (ALPA), the US Airline Pilots Association (USAPA), the Association of Professional Flight Attendants (APFA), Association of Flight Attendants-CWA (AFA), the Transport Workers Union (TWU) and the Communications Workers of America (CWA) stressed their desire to quickly dispose of the government’s lawsuit: “We urge the U.S. District Court and the Department of Justice to begin the trial on November 12, 2013 in order to get to a speedy resolution to this exciting merger,” the unions said in a statement.

“Our members want a fair shot at competing in the marketplace,” the unions explained. “The airlines we work for, US Airways and American Airlines, can together succeed in a way that neither airline can alone, bringing new competition to the domestic and international airlines that serve Americans. The improved network and higher quality product will attract new customers, allowing the airlines to compete with the megacarriers in a way neither airline can do alone, creating greater job security for our members as a result.

“Delaying a trial puts our families and our customers at further risk. For American and its employees, the uncertainty of the last two years in bankruptcy has already exacted a heavy toll. Employees at US Airways have had similar hardships with two bankruptcies since 9-11. In order to make new American competitive, that uncertainty should be ended as soon as possible.”

“The department sued to block this merger because it would eliminate competition between US Airways and American and put consumers at risk of higher prices and reduced service,” said Bill Baer, Assistant Attorney General in charge of the DOJ’s Antitrust Division. “If this merger goes forward, even a small increase in the price of airline tickets, checked bags or flight change fees would result in hundreds of millions of dollars of harm to American consumers. Both airlines have stated they can succeed on a standalone basis and consumers deserve the benefit of that continuing competitive dynamic.”

“The Justice Department’s move isn’t rooted in the economic reality facing the aviation industry and its workers, one of the most fiercely competitive industries in the global economy,” ALPA said. “Moreover, the DOJ appears to have completely overlooked the need for U.S. carriers, such as American and U.S. Airways, to position themselves to compete in the international marketplace against powerful—often government-supported—foreign airlines.”

• 
  Filing an amicus brief with the court in opposition to the DOJ antitrust lawsuit.
  
• 
  Using social media to mobilize union members to tell Attorney General Holder to drop the lawsuit and allow the merger to proceed, and communicating with elected officials, urging them to speak out against the suit.
  
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  Circulating petitions to Holder that will be hand-delivered to DOJ headquarters in Washington D.C.
  
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  Political action, working with the AFL-CIO and its Transportation Trades Department (TTD) to mobilize elected leaders to oppose the DOJ lawsuit.
  
• 
  Offering assistance to local unions with organizing press conferences in their communities to educate the public about how the merger is good for workers, consumers, and the community.
  
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  Working with the AFL-CIO, TTD, and leaders of the nation’s labor unions to send the Attorney General a strong message that all of organized labor is united in support of the merger.
  

In this somewhat rare convergence of union and employer interests, all eyes will be watching to see if the government will continue down a trajectory that has already spawned so much labor strife.

By Pamela Wolf, J.D.

On the labor scene, UPS Teamsters are making strides in ratifying supplements and riders to the UPS National Master Agreement, Goodyear steel workers ratify a new CBA, Comcast/NBCU writers call for the release of impounded election ballots, and train and engine employees have a new collective bargaining agent at Texas-Pacifico Transportation Ltd.

UPS Teamsters. Last week, UPS Teamsters in New York ratified the Upstate New York supplement to the UPS national agreement with 65 percent voting in favor. This is the first of 17 supplements and riders that were rejected by members in June to be renegotiated and re-voted, according to the union. Members ratified the national agreement in June, but the contract does not take effect until all supplements and riders have been approved.

The UPS National Master Agreement achieves many contract enhancements that members identified as extremely important, including wage and benefit increases, additional full-time jobs, and language improvements on issues such as harassment, 9.5, SurePost and military leave. Those provisions, including a 70-cent per hour wage increase, were negotiated to take effect August 1. However, there have been no changes reflected in paychecks yet because the national agreement does not take effect until all regional supplements and riders have been approved. Seventeen supplements and riders had yet to be approved as of August 22.

The current Agreement has been extended on a month-to-month basis to give the supplemental negotiating committees time to address issues.

The union said that many supplements and riders have failed because of confusion and misinformation about a change in some of its members’ health care benefits in the national agreement. Members currently in a UPS health insurance plan are being moved to alternative plans in order to ensure that they continue to receive excellent health insurance benefits without having to pay a monthly premium, according to the union. Moreover, because health care is contained in the national agreement, the union informed its membership that votes against the 17 supplements and riders will not impact health care. The supplements deal strictly with local area issues, and not the broader, national economic and language issues that are covered by the national agreement, which was approved.

According to USW International President Leo W. Gerard, the ratified contract improves income, retirement, and job security, as well as other benefits.

The new CBA also protects plants against closure throughout its term, noted Tom Conway, USW International Vice President, who chairs the union’s Goodyear negotiations. “We also negotiated a commitment from Goodyear to invest in our North American facilities so that future generations can look forward to continuing the tradition of manufacturing in these communities.”

Comcast/NBCU writers. Writers from more than 20 of the most popular shows on the NBC and USA networks say they have sent a letter to Comcast/NBCU CEO Stephen Burke urging him to respect the results of a recent representation election at NBCU-owned Peacock Productions. That election was ordered by the NLRB and NBCU has impounded the ballets, according to the writers. NBC Universal employees at Peacock have been working to organize a union for more than a year, but their efforts have been purportedly stalled by NBCU's “legal maneuvering to prevent the writer-producers from exercising their rights under the National Labor Relations Act,” the writers said in a press release.

Peacock produces nonfiction programming for basic cable networks, such as shows like Caught on Camera or Skywire Live with Nik Wallenda. The Writers Guild of America, East (WGAE) has been actively organizing writer-producers in this part of the television industry for several years.

The letter to Burke was signed by writers from Saturday Night Live, Late Night with Jimmy Fallon, 30 Rock, Community, Law & Order, Law & Order Special Victims Unit, Law & Order Criminal Intent, Parks and Recreation, Smash, Do No Harm, 1600 Penn, Royal Pains, Passions, The Cosby Show, Homicide: Life on the Streets, The Tonight Show, Late Night with Conan O’Brien, The Philanthropist, The West Wing, New Year’s Eve with Carson Daly, Studio 60 on the Sunset Strip, and Monk.

According to the writers, NBCU attorneys claim that half the employees in the proposed bargaining unit at Peacock are “supervisors” who are not entitled to any protection under the NLRA. However, following a lengthy hearing and extensive briefing, the NLRB Regional Director disagreed and directed a secret-ballot election. The election took place in June, but BCU has successfully had those ballots impounded pending an appeal.

The WGAE wants the company to drop its appeal in order to allow the ballots to be counted and, if a majority has voted in favor of union representation, to commence negotiations for a collective bargaining agreement.

“We are mystified by NBCU’s refusal to honor the results of the NLRB election,” said WGAE Executive Director Lowell Peterson. “The company employs a lot of Guild members and, as the letter we delivered to the CEO makes clear, those members don’t think their colleagues should have fewer rights and lesser conditions.”

As a result of the victory, about 25 new train and engine service employees will be brought into the ranks of the BLET. The union will begin contract negotiations with rail management as quickly as possible, according to BLET National President Dennis R. Pierce.

“The best way to respond to the confidence shown by our new Texas-Pacifico members is to help them realize the goals they identified in their first-ever collective bargaining agreement,” President Pierce said, “and that job begins today.”

Texas-Pacifico operates freight service over approximately 380 miles in West Texas, from San Angelo Junction to Alpine Junction. It also operates from Paisano Junction to International Bridge near Presidio, Texas, and it interchanges with the BNSF Railway, Union Pacific, Ferromex and the Fort Worth & Western Railroad.

By Pamela Wolf, J.D.

Washington, D.C., last week was at the epicenter in the battle against low wages, not only with regard to the many events that began and continue in planned celebrations commemorating the 50th anniversary of the historic March on Washington, but also because of planned protests against giant retailer Wal-Mart that were orchestrated by Organization United for Respect at Walmart (OUR Walmart).

The group claimed the support of hundreds of DC-area residents in a planned rally outside Wal-Mart’s D.C. offices with the aim of a public commitment from Wal-Mart to increase wages paid by the company, which have been under debate and stirring great controversy since the D.C. City Council last month passed a bill requiring large, profitable retailers to pay a minimum hourly wage of $12.50 an hour.

If approved by D.C. Mayor Vincent C. Gray, the legislation (B 20-62), would require large retailers to pay workers at least $12.50 per hour. However, new hires could be paid $2.00 an hour less for the first 90 days of employment. The prorated hourly cost of any benefits could be credited toward the minimum hourly compensation.

The D.C. Council cited three general reasons for establishing the minimum wage:

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  To save the District government money on costs associated with social services;
  
• 
  To expand the District's economy by augmenting spending by District residents who would earn a living wage; and
  
• 
  To provide a higher income to District residents so they can better afford to live in the District.