Thursday, March 30, 2006

Winchester Closes Historic New Haven Plant

The long-running fight to keep one of America’s most revered enterprises alive hit a serious roadblock this week when managers at the Winchester factory in New Haven, CT told employees there was no more work for them and not to return to the facility.

Despite intense efforts by a coalition of union and community leaders to find a buyer and new management for the plant, the closure was not a surprise. In January, the Belgian manufacturer Herstal Group, which owns Winchester, announced plans to close the facility by the end of March. The workers, including members of IAM Local 609, will be paid through the end of the week.

While efforts will continue to find a buyer for the historic rifle-making facility, affected workers will be eligible for trade act assistance, which extends unemployment assistance for up to two years and reimburses workers for training and travel costs associated with seeking new work. Workers over 50 who take lower paying jobs could be eligible for alternative assistance, including $10,000 in wage subsidies to help replenish lost wages.

Irish Trade Unionists Visit IAM HQ

Twelve representatives from the Irish trade union IMPACT, visited IAM Headquarters in Upper Marlboro, MD, for the start of a week-long series of meetings with U.S. labor organizations about issues threatening workers in both countries.

Mike Landers, Assistant General Secretary of the Aviation Sector for IMPACT, visited the IAM studio and discussed pensions, healthcare and outsourcing in Ireland. 

Watch Video: Irish Trade Unionists Visit IAM HQ >>

Northwest Judge Sets May 15 Trial Date

The Bankruptcy Court Judge overseeing Northwest Airlines’ affairs scheduled May 15 as the date for the resumption of the Section 1113(c) trial to consider the carrier’s motion to abrogate unmodified contracts at the airline.

Northwest is asking the judge to dissolve collective bargaining agreements covering nearly 5,700 IAM members in the Equipment Service and Stock Clerks (ESSC) classification and 42 Flight Simulator Technicians and Simulator Support Specialists (SIMOP). Both groups rejected company proposals in voting earlier this month and authorized a strike if their contracts were abrogated.

“Under these circumstances, the best possible course is to pursue a negotiated settlement that makes a judge's ruling on the fate of our contracts unnecessary,” said District 143 President Bobby De Pace. “Your negotiating committee is prepared to resume negotiations to balance the needs of the company with the concerns of our membership.”

In recent weeks, pilots and flight attendants at Northwest reached tentative agreements with Northwest Airlines that make the ESSC and SIMOP groups the only ones currently set to go before the judge. Additionally, Northwest recently reported a $1.2 billion fourth quarter net loss, bringing the full year loss for 2005 to a staggering $2.6 billion.

Justice Dept. OK’s Maytag-Whirlpool Deal

The Bush administration’s antitrust lapdog has cleared the way for Newton, IA-based Maytag to be acquired by longtime rival Whirlpool in a $2.7 billion deal that critics say will give Whirlpool control over 70 percent of the nation’s consumer washing machine market.

The decision is the first major ruling by Thomas Barnett, newly confirmed head of the Justice Department’s antitrust department. In a conference call with reporters, Barnett was unable to name a single merger previously approved by the Justice Department that created such a high market share. Approval of the sale heightens concerns over the fate of Maytag’s Newton, IA headquarters.

Senators Hedge on China Currency Tariffs

Despite continued hemorrhaging of U.S. manufacturing jobs and an astronomical trade deficit, Senators Charles Schumer (D-NY) and Lindsey Graham(R-SC) again postponed a vote on legislation to punish China for its ongoing currency manipulation.

The decision by Schumer and Graham comes on the heels of a week-long trip to China with Sen. Tom Coburn (R-OK), where Chinese officials assured them they would let the value of their currency strengthen. China, which has undervalued the yuan by up to 40 percent over the last decade, continues to hold the value of the yuan artificially low after a mere 2 percent revaluation in July.

The Schumer-Graham legislation threatens a 27.5 percent tariff on Chinese imports if the government doesn’t move to further strengthen their currency. Over the last two years, the U.S. has witnessed the continued loss of manufacturing jobs and a record $201.6 billion deficit in 2005. The U.S. trade deficit with China has shown no sign of slowing down, jumping 10 percent to a record $17.9 billion in January.

The High Price of Work-Family Conflicts

A new study of unavoidable work-family conflicts finds non-professional employees routinely face “extreme punishment” when choosing family over work.

The report, One Sick Child Away from Being Fired: When Opting Out Isn’t an Option, by Joan Williams of the Center for WorkLife Law, examined 99 arbitration decisions and found flexibility for professional employees, however, among working class employees, “you can get fired for leaving to pick up a sick child at school.”

Among the examples cited in the report were a bus driver who was fired after arriving at work three minutes late because of his son’s ashma attack; a grandfather fired for refusing to work overtime because he needed to care for a grandchild and a packer who was fired when she left work to pick up a child at the hospital emergency room.

Copies of the report are available at www.worklifelaw.org.

GLR Rudis Elected Connecticut Town Chairman

Eastern Territory Grand Lodge Representative and long-time political activist Bill Rudis was elected Town Chairman in his home town of Hebron, Connecticut.

Rudis was vice chairman before being elected to the leadership post and has been on the committee for more than 25 years. As a GLR, Rudis coordinates collective bargaining, organizing and dispute resolution in Connecticut, Rhode Island, and western Massachusetts.

Among his goals as chairman, Rudis hopes to involve more young people in politics. “Their time is limited, so we don't want to burden them, but we want to give them access to the Democratic Town Committee to welcome them to process,” said Rudis.