Con Ed Works It Out With Local 1-2

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!

Why The Local 1-2 Fights Con Edison

In just a few moments, negotiators from Con Edison and the Local 1-2 of the UWUA will go back to the bargaining table to hammer out a deal that is feasible to both sides. If they don't, the slightly delayed strike will go into effect tonight at midnight. Who knows if Paterson will institute another "cooling-off" period, but one thing is certain, union workers are probably not going to get what they want....and they haven't for quite some time. This isn't just a battle over percentages for the next few budgets, it is about quality of life.

From The NY Times:

Now, the solid wages and benefits that for decades have led Irish- and Italian-American men to follow their fathers and grandfathers into manholes, bucket trucks and substations are under threat, as the utility and the union that represents 8,800 of its nearly 14,000 workers try to hammer out a new four-year contract. The most recent pact expired on Sunday morning, with the union angry over what it described as the company’s proposal for a 1.5 percent annual wage increase — short of the 4.2 percent inflation rate — and a 401(k)-style savings plan, rather than the traditional pension, for new workers. The union, Local 1-2 of the Utility Workers Union of America, represents almost two-thirds of Con Edison’s employees.

“When I started, Con Ed was a very good company with great benefits, job security,” said Ken Burns, 46, a splicer who works in the Bronx and has 22 years with the company, where his grandfather spent his working life. “But with each contract, our benefits have decreased.”

So has Con Ed slowly been trying to undercut the union workers that keep it's system running. Well, yes and no. The executives at the top are taking advantage of their workers in an increasingly privatized society where company profits come before anything else. As the Times mentions, energy deregulation has had a lot to do with that. So while the union will fight for something better than what Con Ed has offered, they will not get the way of life their fathers and grandfathers had until Congress acts to restructure the energy industry.

Con Ed-Union Deadlock Now Going Til Wednesday

This weekend the Governor took it upon himself to stand between Con Edison and Local 1-2 of the UWUA to avert a strike of more than 9,000 members that help the power grid of New York City humming. The workers were set to walk out at 12am yesterday, but now the two sides are still at the bargaining table....until Wednesday at midnight. The question is, will the proposals be amenable to both sides?

From WCBS-TV:

Gov. David Paterson intervened late Saturday in negotiations between Consolidated Edison and the union representing almost two-thirds of the utility's work force just minutes before the midnight deadline for a possible strike expired and persuaded both sides to agree to a "cooling off period," a spokesman for the governor said.

Negotiations were suspended early Sunday and were scheduled to resume at 9 a.m. Tuesday, Paterson spokesman Errol Cockfield said. Cockfield said the governor had been monitoring the talks while recovering at his Manhattan home from surgery Saturday morning to remove a cataract.

Paterson, concerned about the impact of possible service disruptions on customers created by a strike during the summer, reached out by telephone to Con Edison chief executive Kevin Burke and Harry Farrell, president of the Utility Workers Union of America Local 1-2, Cockfield said.

Well now that Paterson has publicly intervened, what will he do to avoid another impasse by tomorrow night? Con Ed figuratively slapped the union in the face with a 0.5% increase (followed by 1% increases down the road) and it took them quite a bit of time to come up with that. Will the Governor (or is he actively) working on getting the regulated utility to pay workers a wage that is more in line with what the union wants to see? We're waiting and we'll get a better picture of it all when the two sides get back to the table tomorrow morning.

Con Edison Spits In Their Union Workers' Faces

Well, not literally phlegm, but their offer certainly felt like it. Con Edison, after stalling in their talks with the Utility Workers Union, they decided on giving the thousands that keep New York City humming a pitiful excuse for a raise. As union leaders said, the deal is just "asinine."

From The Gothamist:

Thousands of Con Ed employees may be striking tomorrow, if the utility keeps up their act. Joe Flaherty, spokesman for the Local 1-2 of the Utility Workers Union of America, said of Con Ed's 0.5% base raise, "They want us to strike, no doubt about it. Half a percent, followed by 1% in the years after that, is just asinine."

Flaherty says the union made their wage proposal on June 18, "After 12 today (noon yesterday), nine days later and with 36 hours to go, they gave us a proposal. That means they're not showing any serious intention to bargain." He says his members are ready to picket various Con Ed properties, including offices and substations. The union has also filed an "Unfair Labor Practice" charge with the National Labor Relations Board, claiming Con Ed is "bargaining in bad faith" (PDF).

However, Con Ed tells the Journal News, "We continue to negotiate in good faith with the union leadership and are working to agree on a new contract that is fair and equitable for our employees. In the interests of respecting the process, we will not discuss details of our talks." The contract is up early tomorrow; the last time Con Ed employees went on strike was in 1983.

It sounds like this strike is set to go and for some odd reason, Con Ed wants to bring it on. The offer they made is insulting, way worse than the insults thrown my way by a certain engineer at Con Ed (see my last post for the wonderful words of Bill). Con Edison's negotiators wouldn't know good faith if it slapped them repeatedly in the face. Union workers have every right to go on strike until Con Ed wakes up and treats their workers with respect.

Con-Ed Strike Could Be Coming This Weekend

For all the shit I give Con Ed, the great majority of it is expressly for the management. Sure the workers might have had a role in that steam pipe explosion that killed a woman and injured others last year, but the steam system shouldn't have really been there in the first place. Electric current has been around long enough for them to replace the old and dangerous system. Now the management is at it again, this time fighting with their union workers over pay....and it has gotten bad enough that thousands of utility workers will strike starting this weekend.

From The NY Daily News:

"We're miles and miles apart," said Joe Flaherty, spokesman for the Utility Workers Union of America Local 1-2, which represents electric, gas and steam workers in all boroughs except Staten Island, as well as Westchester County.

Flaherty said Con Ed is refusing to budge on wages and medical costs, as well as a proposal that workers who retire while on workers' compensation have to repay benefits from their pensions.

"It's basically the Nancy Reagan school of negotiations - 'Just say no,'" he said. "It seems to us that they want to initiate a walkout."

Con Ed spokesman Michael Clendenin declined to discuss the status of the talks, but said utility managers are prepared to handle a strike.

"We plan for any contingencies - strike-related, too," he said. "More than half of our management is up from the ranks themselves."

Clendenin can talk tough to the media, but when push comes to shove he better get ready to negotiate with the UWUA. Does anyone really believe that the managers and himself can put on the gear and fix the myriad problems Con Ed has every time it starts to rain? When those severe storms hit the city (and especially up in Westchester) power goes out at the drop of a hat. Let's see what happens to the grid when 9,000 workers aren't there to get your back. Chances are there are going to be a lot of unhappy Con Ed customers...and when they hear about why it takes days instead of hours to fix the problem they'll be going after people like Clendenin and not workers that want a decent wage and good benefits.

If Con Ed can continuously ask for increased rate charges, they can pass some of it on to those that keep their decrepit system running.