Bargaining Digest Weekly by Gordon Pavy, Mar 17, 2007

[Omaha Steve]

Bargaining Digest Weekly

by Gordon Pavy, Mar 17, 2007

The AFL-CIO Collective Bargaining Department delivers daily, bargaining-related news and research resources to more than 800 subscribers. Union leaders can register for this service through our website, Bargaining@Work.

The 13-month lockout of Machinists (IAM) union members at AK Steel in Middletown, Ohio, is over after IAM members overwhelmingly ratified a new agreement. Some 1,750 union workers will be brought back over the next 90 days. The agreement freezes the old pension plan and AK Steel will begin making contributions to the IAM multi-employer defined-benefit plan.

Manufacturing, Mining and Construction
Northrop Grumman sent a letter to strikers warning that medical insurance will end March 31 unless employees make COBRA payments. The Mississippi Department of Employment Services sent a confusing letter on jobless benefits to strikers. The letter urged them to call a special hotline for strikers about unemployment benefit questions, even though everyone understands that strikers are not eligible.

The UAW says workers at the Toyota plant in Georgetown, Ky., are showing increased organizing activity following the leak of a company report on a new policy for holding down wages and benefits. Toyota, however, says its sees no UAW progress.

General Motors (GM) released 2006 financial results showing a profit last year of $2.2 billion before taxes. However, after taxes, GM lost $2 billion in 2006—a significant loss, but also a significant improvement over the previous year’s $10.4 billion loss. The company showed a $950 million net profit in the fourth quarter. The annual report said an internal evaluation found its financial reporting methods to be inadequate. Additionally, GM reported its $4.8 billion annual health care costs will fall slightly in 2008 to $4.7 billion.

The Elevator Constructors ratified a new five-year agreement with elevator companies, which cover a workforce of more than 13,000 in the United States.

Public Sector
The U.S. Senate passed the full domestic security bill that contains a provision providing bargaining rights to Transportations Security Administration (TSA) screeners. AFGE President John Gage praised the Senate’s action. The House bill also contains the provision, but Republicans will attempt to strip the provision from the bill in conference and President Bush has threatened a veto.

Retail, Hotels, Services and Agriculture
A big downside to reality TV shows is that the stars are all nonunion amateur talent. Union fans of “American Idol” will be happy to know that after the competition is whittled down to the final 12, the contestants will get American Federation of Television and Radio Artists paychecks as professionals.

Casino dealers at Caesars Atlantic City will vote tomorrow on forming a union, which would mark a first among gambling floor employees. Previous organizing efforts targeting the dealers have failed, but the UAW remains optimistic. The UAW represents dealers in the Detroit casinos.
Arbitrations and Legal Developments

The Washington State Legislature is considering passage of a bill that would ban companies from requiring workers to attend mandatory workplace meetings, where an employer urges its own beliefs on politics, religion or union representation.

In a victory for the union movement, the National Labor Relations Board (NLRB) ruled employees of a Starbucks franchise at the Hilton Milwaukee Center must be included in a union that represents workers at other eating and drinking establishments in the hotel.

Pension Benefits
California Public Employees’ Retirement System (CalPers), a giant pension fund, reached a $117 million settlement with Warner over accounting irregularities involving the 2001 acquisition of AOL. Time Warner has paid out $623 million in similar suits following the irregularities.

CalPers has named corporate underachievers, releasing a list of 11 companies in its portfolio that staff rated as having sub par earnings and undemocratic corporate governance policies. Prominent companies on the list include The Tribune Company, Eli Lilly, Dollar Tree, Tenet Health Care and International Paper.

Auto parts maker Dana Corp. asked the bankruptcy court for permission to terminate labor contracts with the UAW and United Steelworkers and eliminate retiree health benefits if they cannot negotiate more than $400 million in concessions.

A New Jersey state pension funds report reveals underestimated costs showing a $56 billion deficit.

FULL story at link.