Fiery Opening. IUE-CWA officials delivered a strong message that they were looking for creative and new ideas to resolve the issues on the table. They told GE the union would work with the company, but would not allow GE to work against their members. "I will not in anyway allow the outcome of these talks to further the destruction of this nation's middle class," cautioned IUE-CWA President Jim Clark. "This must be a meeting of equals, with a shared goal of moving us both forward. For too long this discussion has been one way," added IUE-CWA GE and Aerospace Conference Board Chairman Bob Santamoor. "You sit back and tell us what you want and ignore our proposals. No longer." CWA President Larry Cohen blasted GE for its underhanded tactics in an IUE-CWA organizing campaign a few weeks ago. "We expect GE to step up and show leadership on health care, jobs, investment and bargaining rights," he challenged the company.
UE Outlines Goals in Its Opening. UE General President John Hovis gave a broad overview of the proposals his union will be pursuing during the UE opening on Tuesday. "If GE retirees remain insecure in their living standards, active employees remain insecure in their jobs," Hovis stated. Noting that GE workers are among "the best and most productive in the entire world," Hovis touched on the need for wage and benefit improvements, more paid time off and increases for retirees, among other topics. He predicted that health care cost shifting would be a subject of "contentious debate."
Seeking Ideas on Job Security. Union negotiators delivered their proposals on job security but asked the company to also come up with solutions. The contract is geared more toward providing income security than job security, negotiators said. "Our people are frustrated because the language isn't working," GE was told. "We want jobs in America." The complaint was lodged that GE is only interested in job preservation if it involves union concessions. On the other hand, management in those plants don't give up anything. The union plants need investment and new products. "We have to find a way to stop the bleeding," local leaders said emphatically.
Who Speaks for GE? GE was asked at the table to repudiate comments made recently by former CEO Jack Welch. Welch boasted about union busting during his time as head of GE, and said he now is "really anti-union." The statements came about a month after Welch attacked unions during discussions on the Employee Free Choice Act.
Pension Improvements. GE lead negotiator Bill Casey promised that unions would "leave here with better pensions" than they have now. But negotiators weren't satisfied with the pledge. They outlined a list of concerns ranging from workers impacted by plant sales to rumors about a different plan for new hires to the plight of current retirees. "Retirees need to be taken care of. Jeff Immelt has not once given retirees a penny," the committee said. "This time you need to do something." Negotiators also were adamant that they were planning on leaving New York with a SERO window. "We will fight very hard for SERO opportunities."
GE Wants Relief on Health Care Costs. In order to show dramatic increases in health care costs, GE displayed charts that reached back to before the 2000 agreement as it argued that health care costs continue to rise. Union negotiators pointed out that costs are no longer going up by double digits, but are holding at around 8 percent. Currently, the average GE hourly employee pays for 19 percent of his or her family coverage through co-pays and weekly premium contributions. One of the bigger areas of increases was outpatient imaging, i.e., the very same equipment GE makes and promotes the use of. With the government subsidy for post-65 prescription drug costs, GE's total drug spending has actually gone down. GE's main argument for more cost shifting isn't because the company can't afford it but because other companies are doing it. "We don't view this as a function of GE's profitability," Casey stated.
'Disgrace.' 'Outrage.' That was the committee's reaction as GE reviewed the cutbacks it made to new hire benefits in 2005. Salaried new hires have lower retiree life insurance, a reduced early pension benefit and no company-provided retiree health care. To a person, union negotiators rejected any notion that they would take back a similar package for hourly workers. "This could be a deal breaker," said IUE-CWA President Jim Clark. "Don't waste your time on something you're not going to get." GE said it has to make the changes because workers are living longer. "We're not interested in mortgaging the future of our next generation," was the unions' response. GE's Casey warned that the company is "equally steadfast" in its intent to roll back new hire benefits.
Contract Language Proposals. Union negotiators presented a substantive list of changes in the contract language area, but three really drew the attention of the local leaders. First was for neutrality in organizing campaigns. The company responded they had "no interest," and their lawyer maintained that GE "abides by all local laws." Another provision that saw repeated comments was the demand for giving workers Veteran's Day as a holiday. "Be a patriot," GE was told. "This company needs to honor their sacrifice." The third key area of concern was improvements to the night shift bonus. Other topics included proposals on sick and personal time, overtime, health and safety equipment and upgrades.
