New (Philadelphia) Inquirer Owner Gives Union Deadline to Accept Deal

[denem]

Source: KYW Newsradio

The management of the group trying to close the purchase of the Inquirer, Daily News and Philly.com says high noon tomorrow is the deadline for the Teamsters union to accept its contract.

KYW’s John Ostapkovich reports that Teamsters Local 628 is the last holdout among the 15 unions that were asked to accept new concessionary contracts to help the prospective owners save 13-percent on labor costs.

In a Sunday vote, they said “no” again, and Greg Osberg, CEO of the new firm, says that’s unacceptable. One worry by workers seems to have been retirement, with a defined contribution plan swapped for a defined benefit one:

“We believe we have proposed a plan that will protect our employees and their retirement benefits well into the future. The time for negotiations is over. The company could run out of cash this fall.”

Read more: http://kyw.cbslocal.com/2010/09/13/new-inquirer-owner-gives-union-deadline-to-accept-deal/

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Note:Greg Osberg is a former President of Newsweek. The purchase requires the approval of the Federal Bankruptcy Court.

[Omaha Steve]

1. After the earlier good news for labor, this is a downer

I hope things get worked out.