Dr Pepper Snapple Group Responds to Labor Secretary Hilda Solis's Call to Resume Talks With Union

[Omaha Steve]

Dr. Pepper and Mott's are on my don't buy list (if you know what I mean). Labor Secretary Solis is on my good list!

http://www.prnewswire.com/news-releases/dr-pepper-snapple-group-responds-to-labor-secretary-hilda-soliss-call-to-resume-talks-with-union-in-williamson-ny-102302529.html

PLANO, Texas, Sept. 6 /PRNewswire/ -- We appreciate the Labor Secretary's call to resume discussions with the Retail, Wholesale and Department Store Union (RWDSU) on a new labor contract for workers at our plant in Williamson, N.Y. In fact, that is exactly what we did when we sat down with union leadership in Dallas in late August. We reached a tentative agreement on several key issues related to wages, pension, 401(k) employer match and a ratification bonus that would have resolved the strike.

We question the commitment of the union to resolving the strike, given the bargaining unit's overwhelming vote against this tentative agreement reached by their own leaders.

As we shared earlier, the terms of the tentative agreement with union leadership included:

* Unchanged wages for 3 years – which would have kept the average wage in Williamson at more than $21 an hour, approximately 50% more than the typical manufacturing wage in the Rochester metro area

* A $1,000 contract ratification bonus.

* 30 days' notice on wage changes in the event of a change in work classification.

* Maintain pension for existing employees and reduce 401K match from 5% to 2%. New employees would receive no pension and a 4% match on 401(k).

* A health insurance plan with a comparable cost structure to policies available to other workers at DPS and peer companies. This included an 80/20 company-to-employee split on health insurance premium costs; the company also offered a 50-50 split on annual premium increases in excess of 10%.

We believe the tentative agreement, jointly crafted with RWDSU leadership, was fair. However, as soon as the union membership voted against it, the union leadership changed its tune, complaining that the proposed reduction in 401(k) employer match for current employees (from 5% to 2%) would cost $3,600. Based on the average employee wage of just over $21 per hour, the difference in contribution on a per employee basis would be more like $1,310 – about two-thirds less than the figure used by the union.

FULL story at link.

[elleng]

1. Segment featured on NewsHour.

[theoldman]

2. I watched the program and came to several conclusions.

The union workers are paid very well and cannot compete with people willing to work for less. The CEO is way over paid and I assume so is the board of directers.

[elleng]

3. and the people willing to work for less have to be trained to do their 'new' jobs.

[Omaha Steve]

5. Grapes of Wrath?

So unions should take less is your point? Or do we raise the boat for all?

[HillbillyBob]

4. Carlisle group owns a big portion of

http://en.wikipedia.org/wiki/Dr_Pepper/Seven_Up

Dr Pepper/Seven Up, Inc. was purchased by Cadbury Schweppes plc and The Carlyle Group on March 2, 1995 after the conglomerate became debt-ridden and insolvent. It sold for about US$1.7 billion, plus about US$870 million of Dr Pepper/Seven-Up debt. This made Cadbury Schweppes the largest soft drink company in the world not to be named after a cola beverage.

I quit buying when I heard this.