After all the bluster and drama over the last week, Con Ed and their main union, the Local 1-2, worked out a deal to satisfy both sides. The workers were set to strike as of midnight but the deal got done after hours anyways. This is definitely a good thing for everyone that counts on Con Edison's power and from what we can tell so far, a great thing for the people that keep the utility humming.
From WCBS-TV:
Joe Flaherty, a spokesman for the Utility Workers Union of America Local 1-2, said that the two sides negotiated a range of issues, including wages, safety and health care.
One of the major sticking points for the union—Con Edison's proposal to switch from traditional pensions to a 401(K)-style plan for new employees—was tabled by the utility "at the 11th hour," Flaherty said.
"I think they fully understood that this union and its members would not stand for a change in their long traditional pension," Flaherty said. The union represents about two-thirds of Con Edison's 14,000 employees.
Con Edison spokesman Michael Clendenin did not immediately respond to a request for comment early Wednesday.
So while we don't know the pay structure, the fact that Con Ed caved on trying to privatize the pension system was a huge boon for Union members that count on that for their retirement. While Wall Street may cry over a few lost dollars in transactions, it is comforting to know that the pension system will remain the same and stay as reliable as they have been for generations. Score a victory for the Local 1-2!
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