OFFICIAL IUE- LOCAL 201 COMMUNICATION FRIDAY MAY 23, 2014 Negotiations resumed yesterday regarding the piecework system. The Company responded to the important “compensation” part of Local 201’s April 23rd proposal. The Company rejected the Union proposed “permanent red circle” at average earnings for all current pieceworkers. The Company countered with an offer of a low lump sum “buyout” for all those pieceworkers not retiring, while moving them immediately to a day work rate on their same job. For those pieceworkers choosing to retire who are age 6o years or older (with at least 15 years of continuous service) the company offered a retirement bonus much larger than the $18,000 regular Retirement Bonus but much smaller than most pieceworkers’ past VRIP one time payments. For those at least age 55 but under age 60 (with 25 or more years PQS), they offered the SERO (with full benefits). For those under age 55(with at least 30 years PQS), they offered SERO 30 (with full benefits). The Union recessed for a short period following the Company presentation of this new compensation part of their proposal. When negotiations resumed, the Union rejected the Company’s compensation proposal stating we do not believe it comes near to meeting our members’ needs or the needs of the business in terms of a transition. The Union then said that we would be willing to modify our own last compensation proposal #4 and remove any retirement options but maintain the important “permanent red circle” of pieceworkers at average earnings. The Union told the Company that our proposal not only protects our current pieceworkers’ wages and future pensions, but ensures a smoother transition of skills over time to the new day work positions that will be in Plant IV. The Company said they would review the Union’s modified proposal #4. Current pieceworkers’ receiving fair and proper compensation is one important part of this negotiation. However, there is also an important job security aspect of this negotiation. If the Union has to be forced to end a beneficial pay system for future members across the plant, the Union wants some decent job security provisions in any agreement. The Union and Company proposals currently “on the table” both have provisions regarding hiring, farm-in and investment into Plant IV. However, the Company job security commitments in these areas fall far short of what will be acceptable to the Union Negotiations will resume on Thursday May 29, 2014. We will keep you posted as developments occur. Communications will be on Local 201 web-site also. IUE-CWA LOCAL 201
Posted on: Fri, 23 May 2014 15:53:27 +0000
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