AIL/NILICO Labor Letter

 

April 2010, Vol. 42 No. 3

News From the AFL-CIO, CtW, International & National Unions

U.S. took "a momentous step toward comprehensive health care reform" with passage of historic legislation in March, AFL-CIO said. Federation head Richard Trumka said bill "will finally put the country on a path toward quality, affordable health care for all Americans and long-term health security." In days leading up to congressional vote, labor generated massive national grassroots campaign that resulted in thousands of letters, phone calls, office visits and demonstrations in support of bill. According to federation, Working America, AFL-CIO's community affiliate, canvassed more than 210,000 people at their homes, generated 30,000 signatures for health care petitions, 31,000 phone calls to Congress, 40,000 e-mails and 75,000 letters urging lawmakers to pass reform.

Change to Win's leadership celebrated historic passage of health care reform bill, proclaiming "a new day for our country." In CtW statement, Chair Anna Burger said, "The 5.5 million members of Change to Win, united in their commitment to bring the change our families, our communities and our country needs, earned this victory the old fashioned way: they worked for it. It is because of their passion and their steadfast belief in doing what's right that Congress stood and delivered the change they demanded." Teamsters President James P. Hoffa, Jr. said vote was a victory for "grassroots politics that honors the dignity and well being of all Americans above the profits of our powerful insurance companies."

While hailing passage of the historic health care reform bill signed by President Obama March 23, organized labor threatened to go after Democratic lawmakers who voted against the measure, according to news reports. AFL-CIO Political Director Karen Ackerman called health care legislation "a defining bill." She said the AFL-CIO considers a lawmakers' entire voting record, but added even pro-labor Democrats could lose labor's support if they voted against health care reform. "Like the Civil Rights Act, Social Security and Medicare, it is a defining bill, considering the effect it will have on the middle class," Ackerman said. Politically powerful Service Employees International Union issued a similar warning. "Every race will be different. We are going to look at these members of Congress and who made what promises. Several of these members specifically promised to pass health care reform," said Lori Lodes, an SEIU spokeswoman.

THE AFL-CIO Executive Council, Meeting in Orlando, Fla. March 2-4, issued "a call to action" for labor and progressive movement "to put America back to work." According to the federation, the council outlined "an ambitious plan" to target politicians who vote to deny aid to the unemployed or against actions to create jobs. Council also called for action against "Wall Street firms that pay bonuses but won't pay taxes and against corporations that take the public's money and use it to downsize and outsource jobs." AFL-CIO issued a five-point jobs plan that supports extending jobless benefits, investing $2.2 trillion in "unmet" infrastructure needs, helping budget shortfalls faced by state and local governments, preserving "good public jobs," establishing a fund to ease the credit crunch for small- and mid-sized businesses. Council also supported taxing hedge fund income and private equity managers at ordinary income rates by closing the carried interest loophole.

In honor of Women's History Month, The Coalition of Labor Union Women (CLUW) March 19 presented its first annual Working Women's Awards to 11 women "who have left their mark on and helped build the labor movement." Accepting her award, AFL-CIO Secretary-Treasurer Liz Shuler said, "You don't just celebrate women's history-you make it yourselves. I owe a lot to you. It's because of you that I can stand here tonight." CLUW said women were honored for "their extraordinary achievements, leadership, and for being exemplary models for working women who seek to advance in their workplace, union and community." Other women who were honored included AFL-CIO Executive Vice President Arlene Holt-Baker, Letter Carriers Secretary-Treasurer Jane E. Broendel; UAW Secretary-Treasurer Elizabeth Bunn; Change to Win Chair Anna Burger; AFL-CIO Executive Vice President Emerita Linda Chavez-Thompson; Alliance for Retired Americans President Barbara J. Easterling; CLUW Presidents Emerita Gloria T. Johnson and Joyce D. Miller; AFGE Vice President Augusta Thomas; and Office and Professional Employees Secretary-Treasurer Emerita Nancy Wohlforth.

CWA President Larry Cohen told Congress the proposed Comcast/NBC Universal merger "is clearly not in the public interest." Testifying before the House Judiciary Committee, Cohen said the merger would limit growth, investment and job creation. He also said the merger would have a "negative effect" on the emerging internet video marketplace. According to Cohen, the proposed merger would saddle the company with $8 billion in new debt. "NBC will be under pressure to cut jobs, raise prices or renege on that debt," Cohen said. "CWA can cite firsthand many examples of media and communications mergers that did just that. There are no warranties, no guarantees for consumers, workers and communities. Companies make lots of commitments but don't have to carry them out." Cohen accused Comcast of consistently adopting "a low-road labor policy" based on a strategy to stop workers from gaining bargaining rights and aggressive action to block union organizing at companies it has acquired.

James Boland succeeded John J. Flynn as president of the International Union of Bricklayers and Allied Craftworkers (BAC) on Feb. 22 at the winter meeting of the union's Executive Council, according to BAC statement. He was sworn in by the council following Flynn's announcement of his retirement. Flynn had served as president of the Bricklayers since 1999. Boland appointed Executive Vice President Henry Kramer as Secretary-Treasurer, and IU Trade Jurisdiction Director Tim Driscoll as Executive Vice President. "It has been a privilege to serve with John and to be able to count on him as a friend. Our union is stronger today because of his vision and dedication," Boland said. Boland is a member of Local 3 in California and former local officer. He worked as a bricklayer, and stone and marble mason. He was appointed Secretary-Treasurer in 1999 and subsequently elected in 2000 and re-elected in 2005.

Association of Minor League Umpires (AMLU) voted by 91 percent in favor of affiliation with the Office and Professional Employees International Union (OPEIU), the union announced Feb. 22 in a statement. AMLU, which represents 215 minor league umpires, will now be known as AMLU/OPEIU Guild 322 (3 balls, 2 strikes, 2 outs!). "Our affiliation with OPEIU is the next step in a progression toward improving the lives and working conditions of some of the hardest working and most underappreciated people in the game," said AMLU President Shaun Francis. According to the union's statement, prior to AMLU's formation in 2000, minor league umpires had been working with no representation. Minor league umpires also regularly work in Major League Baseball, filling in for sick, injured or vacationing full-time umpires. Minor league umpires currently earn $1,800 per month and are paid only during the season which forces them to work a second or third job during the off-season.

Major League Soccer Players Union signed new five-year contract March 20 with Major League Soccer that avoided a strike set for the league's opening day on March 25. Intensive talks began Thursday, March 18 and ended with the contract signing shortly after 1 p.m. on Saturday. MLS Players Union head Bob Foose said a majority of players will receive guaranteed contracts for the first time. Although they did not win free agency, there will be a re-entry draft for players whose contracts end, options are declined, or who reach a certain age, according to the league. Player incomes averaged $147,945, the union said.

International Labor News

International Trade Union Confederation March 23rd launched new global trade union campaign to recruit and organize young people. According to ITUC statement, new Youth Campaign will use "a range of different tools, including video, social networking, posters and websites, as well as a special campaign guide." According to ITUC, research in many countries has shown that young people's attitudes on the issues trade unions deal with have not changed greatly over the years, but that changes in the workforce, technology and society have meant that unions need to reach out to youth in different ways than in the past. "The benefits of trade union membership for young people are clear, and this campaign gives new tools to trade unions around the world to demonstrate the global dimension of union action in a way which is relevant to youth," said ITUC General Secretary Guy Ryder.

International labor supported small Haitian labor movement's call for good jobs as earthquake-ravaged nation continued its recovery efforts. They held global labor summit in April to press their demands and noted that Haiti was a haven for cheap wage-industries and sweatshop conditions. "Investment strategy has to be for good jobs, not just jobs at the current minimum wage of US$5 a day," said Cathy Feingold, Solidarity Center representative for the Dominican Republic and Haiti. "If it's just creating more sweatshops, Haiti does not need more of that." Solidarity Center, international union training and support arm of the AFL-CIO, is among the international allies supporting the unions' fight for workers' rights to organize, including workers in the informal sector. Most union members before the earthquake were employed in the public sector, and private sector workers trying to become organized were typically fired or threatened with death, Feingold said.

National and Political Events

Frustrated with Senate Republicans who are blocking his nominees, President Obama on March 27 announced he will use recess appointments of Craig Becker and Mark Pearce to the National Labor Relations Board. Both nominations had been stalled by Senate Republicans. He also used recess appointments to fill 13 other vital positions that Republican senators have blocked for an average of 214 days. Both Becker and Pearce are highly qualified labor lawyers with ties to organized labor. "But if, in the interest of scoring political points, Republicans in the Senate refuse to exercise that responsibility, I must act in the interest of the American people and exercise my authority to fill these positions on an interim basis," said President Obama in a statement. Top labor leaders had urged Obama to use his recess appointment powers to fill the NLRB seats, which has operated with only two members since 2008.

Most big companies plan to shift a larger share of health care costs to their workers next year, according to the annual survey by the National Business Group on Health, a coalition of big employers, and Towers Watson, a consulting firm that advises companies on employee benefits. Survey also found that they may charge more to cover spouses, tighten eligibility standards for their health plans and dispense financial rewards or penalties based on the results of certain lab tests. At some companies, employees who are overweight could be excluded from the most desirable plans. Workers at many companies can expect significantly higher premiums, deductibles and co-payments. "This shows that the constant, unrelenting increases in health-care costs are going to cost employees and their families more and more," said Helen Darling, president of the business group. She said new health legislation should do more to help control the cost of corporate health benefits.

United States could face "dramatic" labor shortage by 2018 as baby boomers retire, recently predicted new survey. "A labor shortage of this magnitude could have a significant impact on our economy and on the quality of life in our communities," said survey co-author Barry Bluestone, director of the Dukakis Center for Urban and Regional Policy at Northeastern University. Analysis was based on population, job growth and labor force data from the U.S. Census Bureau and the Bureau of Labor Statistics. Survey found that there could be as many as 5-million-plus job vacancies with half in the social-services sector, including education, health care, government and nonprofits. Loss in total output could cost the economy as much as $3 trillion over the five-year period beginning in 2018, researchers found. Shortage presumes a healthy economy and no change in labor force participation rates or immigration.

Regional & Local Union News

More than 5,500 workers, community and religious activists from at least six states converged Feb. 26 in front of the Whirlpool plant in Evansville, Ind., to protest the company's decision to shut down the plant, laying off 1,100 people and moving jobs to Mexico. Workers are represented by IUE-CWA Local 808. According to an AFL-CIO news report, federation President Richard Trumka, along with 40 people, including children and grandchildren of workers, clergy and retirees, used a Whirlpool refrigerator to wheel petitions with 70,000 signatures to the plant's locked front gate. At the same time, as coordinated with the Michigan AFL-CIO, the Machinists delivered more than 40,000 signatures on petitions to Whirlpool headquarters in Michigan. Petitions urged Whirlpool executives to "Keep It Made In America."

Arkansas AFL-CIO voted to back Senate candidate Lt. Gov Bill Halter in his challenge to incumbent Sen. Blanche Lincoln in the May 18 Democratic primary in Arkansas. American Federation of State, County and Municipal Employees, Communications Workers of America, United Steelworkers and Service Employees International have pledged $1 million each to Halter's campaign. Arkansas AFL-CIO President Alan Hughes said the union's executive board voted to support Halter after backing Lincoln in her re-election bid in 2004. But unions are unhappy over her failure to support the Employee Free Choice Act after pledging to vote for the bill, her opposition to the Obama Administration's health care reform bill and her opposition to a candidate to the National Labor Relations Board supported by labor. National AFL-CIO also approved a motion to support of Halter during its recent Executive Council meeting.

Transport Workers Union and Association of Professional Flight Attendants last month asked for release from federal mediation in negotiations with American Airlines to begin 30-day "cooling-off" period that could lead to a strike. TWU represents 28,000 mechanics and related workers at American and American Eagle. TWU, APFA and American's Allied Pilots Association gave up $1.62 billion a year in wages and benefits to keep American from filing for bankruptcy in 2003. American's parent, AMR Corp., reported more than $3 billion in losses in 2008 and 2009. Unions have been trying to negotiate new pact for four years. "While we have reached tentative agreements for some workers at American Eagle and significant progress has been made in recent days for Fleet Service workers at American, overall AMR has not sufficiently demonstrated that they value the sacrifices and hard work of our members," said TWU Air Transport Division Director John M. Conley.

Florida AFL-CIO held huge statewide rally Feb. 27 in Titusville to kick-off campaign to restore funding for thousands of jobs threatened by proposed budget cuts that would virtually eliminate NASA's human spaceflight operations in the state. More than 2,000 union workers, community and political leaders participated in the demonstration, which featured national AFL-CIO President Richard Trumka, IBEW President Ed Hill, and other prominent leaders. "The loss of this economic engine would eliminate tens of thousands of jobs, decimate many communities and send shock waves across the state, resulting in the loss of billions of dollars in economic activity…at a time when Florida is facing its greatest unemployment and economic crisis in recent memory," said Rich Templin, communications director for the Florida AFL-CIO. Titusville is the major city near Cape Canaveral where the space shuttle is launched.

In the Public Sector

American Federation of Teachers reported that Superintendent Frances Gallo met in closed session with the union for the first time since firing 93 teachers and other staff at Central Falls (R.I.) High School in February in response to the school's poor performance. Action attracted national media attention and a condemnation of the firings by the AFL-CIO Executive Council. AFT said one factor that prompted the superintendent to resume discussions with the teachers was the union's release of its own proposal to transform the school. "The dedicated teachers and staff want nothing more than to continue and improve upon the progress they have made. Real, sustainable change will only happen when all stakeholders work together," said AFT President Randi Weingarten. Central Falls is the only high school in one of the poorest districts in the state.

National Labor Relations Board recently ordered three subsidiaries of food service provider Aramark Corp. to offer reinstatement to 15 workers with lost wages and benefits who were suspended in October and November 2006, after the company unilaterally implemented a Social Security no-match policy. The three subsidiaries suspended 15 employees who failed to correct Social Security number discrepancies. Case involved UNITE HERE Local 26 and Aramark Educational Services Inc., which provides food and beverage service at the Massachusetts Institute of Technology's Faculty Club in Cambridge, Mass.; Aramark subsidiary Harry M. Stevens Inc., which provides service at Fenway Park in Boston; and Aramark Sports Inc., which provides service at Hynes Convention Center in Boston. Chairman Wilma B. Liebman and Member Peter C. Schaumber agreed with an administrative law judge's findings that the union timely requested bargaining regarding the three units of workers and did not waive its right to bargain over implementation of the no-match correction policy.

Hey Tea-Baggers: Look No Further Than the Open Shop!

By Mark Ayers, President
AFL-CIO Building & Construction Trades Dept.


For the better part of a year now, we have witnessed the beginnings of what many political experts believe to be is an influential populist uprising in America. Whether they are organized elements (e.g. "tea-baggers") or some other type of loosely-organized movement, the defining feature seems to be an increasing disconnect between the problems and issues that confront Americans on a daily basis in their communities, and the misplaced priorities of our elected elite.

It is, I believe, a corrosive atmosphere that is undoubtedly gaining traction, attention and, most of all influence in American politics. But, what is incredibly ironic is the fact that those who are continuously and energetically fanning the flames of our current populist revolt - people like Rush Limbaugh, Sean Hannity and Glenn Beck - are the very same people who are advocating for a conservative-oriented policy approach that would exacerbate many of these problems even further!

Allow me to explain by using a comparison/contrast example from the U.S. construction industry. For any public or private entity or agency looking to invest significant dollars and resources in a major construction project, they essentially have two distinct business models from which to choose.

The first is the organized construction market business model. This is a business model that offers increased jobsite efficiencies through a 21st century labor-management approach based upon cooperation, harmony, partnership and customer service. It is an approach that is designed to ensure that the construction owner will have a steady supply of the world's safest, most highly skilled and productive skilled craft workforce.

Numerous studies have shown that utilizing such a highly trained, highly productive and safe workforce can actually reduce costs on major construction projects - both public and private.

Further, the organized construction business model is wholly dedicated to the idea of "workforce development." The demographics of the U.S. construction industry are troubling. The average age for a construction worker in America today is roughly 40 years old. Many building trades unions will see a third of their current members retire in the next 10 years. And even though we are mired in a terrible economic slump today, projections are that there will be a dramatic increase in the need for skilled craft professionals over the next 20 to 30 years.

Now, this organized construction business model lies in stark contrast to what is known as the "open shop" or "merit shop" business model, where success is fundamentally predicated on the assembly of a low-cost, low-skill, often times vulnerable workforce that is easily manipulated and exploited in a "race to the bottom" approach that has caused, and continues to cause, great damage to the socio economic structures of communities all across the nation.

If we strip the veneer off of the open-shop business model, we find that many of the problems that are fueling the burgeoning populist movement in America today can be laid at the feet of this industry.

Recent estimates by the Pew Hispanic Research organization indicate that 14% of construction workers in the United States are here illegally or are undocumented. And in many areas of the country, the scenario works like this: large, dominant contractors employ this strategy of assembling a low-wage, low-skill, exploitable workforce for competitive advantage, and thereby force once-reputable firms to do likewise in order to compete.

This is the essence of the "race to the bottom" mentality that is eroding wage and benefit structures in the construction industry, as well as the socio economic fabric of many communities around this country.

Now, let's talk about health care - which seems to be on everyone's mind these days.

The construction industry has the highest rate of non-fatal injuries and illnesses of any American industry, and it has three times the fatality rate of other private industries. Accordingly, construction accounts for the highest rate of injuries and illnesses entering our nation's hospitals - particularly hospital emergency services.

Now, couple those disturbing facts with the fact that the construction industry and the agricultural industry have the lowest rate of health care coverage on an inter-industry basis, and within construction, coverage is lowest within companies having fewer than 10 employees. In sum, the U.S. construction industry faces the dual dilemma of high-risk work and chronic un-insurance, primarily because relatively few non-union construction companies offer employee coverage.

It is that last point that requires special emphasis. The open-shop construction industry is notorious for pushing the health care costs of its low-wage, low-skill, exploited workforce onto the backs of responsible employers and onto communities all across the United States.

So, to those "tea-baggers" and other patriotic American citizens who are feeling the righteous tinge of populist anger over what they perceive is a tone-deaf government that is seemingly not in touch with, and certainly not addressing, the problems that confront them, their families, and their communities on a daily basis - issues such as illegal immigration, declining incomes, soaring health care costs, and escalating state and local taxes - then, I have one simple and basic talking point for you to raise with your elected leaders: LOOK NO FURTHER THAN THE OPEN-SHOP CONSTRUCTION INDUSTRY!

Keefe Joins AIL Board

AIL/NILICO President and CEO Roger Smith welcomed Don Keefe, President of District No. 1-PCD, Marine Engineers' Beneficial Association, (AFL-CIO) (M.E.B.A.), to the AIL/NILICO Labor Advisory Board.

"We are delighted to have an outstanding trade unionist like Don on the Labor Advisory Board," said Smith. "He represents an important union in America's vital maritime industry and brings years of experience to the board's deliberations."

Elected in 2007, Keefe represents a membership of over four thousand U.S. merchant mariners as well as industrial, service, government and other professional workers. In March 2008, he was elected as the National M.E.B.A. President at the union's tri-annual Convention. He has spent his entire adult life with the M.E.B.A. and is one of the few M.E.B.A. Presidents to ascend to the office after working himself up through the ranks.

His career at sea began at the Massachusetts Maritime Academy, from where he graduated in 1978 with a Bachelor of Science in Marine Engineering. Upon graduation, Keefe joined the M.E.B.A. ranks, committing himself to the mission and the vision of the Union. His commitment to maritime is also evidenced in his attainment of a U.S. Coast Guard Chief Engineers' Unlimited License (steam/diesel/gas turbine).

Don is a native of Newton, Massachusetts, where he lives with his wife Sandy. They have three children and two grandchildren.

AIL Rep Answers Call to Support Wendy's Bakers

AIL/NILICO representatives are union members of Office & Professional Employees Local 277 and many hold elected positions in their local labor movements.

Among them is AIL/NILICO Public Relations Representative Brett Hulme who also serves as president of the Savannah AFL-CIO. When the Georgia AFL-CIO recently scheduled a demonstration outside Wendy's/Arby's Group, headquartered in Atlanta, to support Bakery Workers Local 57, Hulme quickly answered the call.

He led a group of BCTW Local 42 members, retirees and two state legislators to the Atlanta event (see photo, Hulme crouching in center). A week later, he coordinated an effort between three central labor bodies who staged demonstrations at 25 Wendy's and Arby's in nine Georgia cities.

"Each store manager was asked to call their corporate office and encourage to 'do the right thing with the Bakery Workers' or we'd return and leaflet their customers," Hulme said.

According to the Bakery Workers, BCTGM Local 57 and Wendy's International of Dublin, Ohio had a healthy and constructive relationship for nearly three decades. That changed after Wendy's merged with Atlanta-based Arby's Group in 2008 and management was overhauled.

In early December 2009, Wendy's New Bakery Co. implemented the terms of a proposed new concessionary contract at its bakery in Zanesville, Ohio, where 150 members of BCTGM Local 57 work. The union members had been working under the terms of a collective bargaining agreement that expired in March 2009. The local has since filed an unfair labor practice charge against the company.

AIL Hosts Top Labor Leaders

AFL-CIO President Emeritus John Sweeney (left) and AFL-CIO President Richard Trumka were among the top international and national union leaders and officials who attended a reception sponsored by AIL/NILICO during the recent AFL-CIO Executive Council Meetings in Orlando, Fla. AIL/NILICO had a significant presence during the Council meetings, where the federation issued major statements on health care reform and a national jobs campaign.