Local 851 Members Picket Caterpillar in Joliet

IAM members of Local 851 who make hydraulic parts for Caterpillar, Inc., vented their anger this week over company contract proposals during informational picketing in front of the company’s main gates in Joliet, Illinois.

Workers are concerned over prospect for more outsourcing and increased medical costs for retirees while company profits continue to rise. Caterpillar announced record first quarter profits last week of $581 million, with company executives predicting an improved long-term outlook for the company.

The current contract covering more than 900 Machinists at the Joliet facility is set to expire Saturday.

IAM Leaders Denounce UAL Pension Deal

United Airlines and the Pension Benefit Guaranty Board (PBGC) announced settlement terms whereby the PBGC will receive notes in the restructured airline in exchange for dropping its opposition to the bankrupt carrier’s plans to terminate pension plans. The bankruptcy court must approve the pact, described as a “sellout” by IAM leaders.

“The retirement security of IAM members could be irreparably damaged if pension plans at United are terminated,” said District 141 President Randy Canale.

“The IAM is continuing discussions with United and the PBGC to explore ways to preserve our members’ hard-earned pension benefits.”

District 141 is moving forward with preparations for a strike authorization vote, scheduled to begin next week. “It is important that United Airlines, its creditors and the public understand that if pension and other issues are not resolved to our members’ satisfaction, we are prepared to strike United Airlines” said Canale.

Results of the vote will be announced on May 11, the same day a bankruptcy court trial over terminating labor contracts at United is scheduled to begin.

Governor Attends Wisconsin State Council Meeting

Wisconsin’s Democratic Governor Jim Doyle personally thanked IAM delegates at the Spring Conference of the Wisconsin State Council of Machinists for helping defend and create new jobs in Wisconsin and supporting his efforts to raise the state’s minimum wage. The Governor also attacked the President’s plan to privatize Social Security.

“Privatizing the system won’t do anything to improve its long-term finances,” said Gov. Doyle. “In fact, it would turn Social Security into a risky scheme of winners and losers – and the only sure winners would be the Wall Street brokers who would make millions at the expense of Americans on retirement.”

Union members at the meeting also welcomed the Governor’s unequivocal support for collective bargaining rights. “I support collective bargaining because I believe everyone deserves a fair wage for a full day’s work,” said Doyle. “Republicans sent me a bill that would have devastated Wisconsin’s mediation and arbitration system. I protected workers’ rights and vetoed the bill.”

“This is the kind of message that union members all across the country are anxious to hear from our elected representatives,” said Midwest Territory GVP James Brown.

“We’re not looking for anything extraordinary, but we want a level playing field and we expect our legal rights to be respected and protected.”

Social Security Rally Draws Thousands

Nearly 100 Democratic Senators and Representatives joined thousands of union members, seniors and concerned citizens at a rally in Washington D.C. on April 26 to protest the president’s plan to replace the current Social Security system with a risk-based investment program that would shift billions to Bush’s Wall Street cronies.

Speakers at the “National Day of Unity to Protect Social Security” included Senate Minority Leader Harry Reid (D-NV), House Minority Leader Nancy Pelosi (D-CA) and Alliance for Retired Americans President George Kourpias.

Reid, Pelosi and the other Democratic Senate and House members signed a “Declaration of Unity” pledging to “work to improve the retirement security of all Americans” and “oppose any scheme for deep benefit cuts or massive debt to fund risky accounts.”

“We stand united today to say that a privatization plan that cuts benefits, deepens our debt and drains the Social Security trust fund is unworkable, unwise and unacceptable to the American people,” said Pelosi.

The Alliance for Retired Americans is one of more than 200 organizations who are part of Americans United to Protect Social Security, the rally’s sponsor.

“Members of Congress need to hear from you, your children and your grandchildren that privatizing Social Security is the wrong way to go,” said Kourpias.

Support the Employee Free Choice Act

Union members now have a way to support the Employee Free Choice Act legislation to strengthen protections for workers' freedom to form a union. IAM members can click here to send a message to their Representatives and Senators to co-sponsor this important legislation.

The historic legislation was introduced by a bipartisan coalition of U.S. Senators Edward Kennedy and Arlen Specter (S. 842) and U.S. Representatives George Miller and Peter T. King (H.R. 1696).  

The Employee Free Choice Act would require employers to recognize the union once a majority of workers signed cards authorizing union representation. It also would provide for mediation and arbitration of first-contract disputes and authorize stronger penalties for violations of the law when workers seek to form a union.

The bill was also introduced last year and gained more than 240 co-sponsors, however, Republican leadership would not allow it to go to the floor.

Machinists to Vote Tentative Agreement at Comair

Air Transport District 142 announced it reached a tentative agreement for more than 500 Comair Mechanic & Related employees on terms for an amended contract. Highlights of the agreement include a base wage increase of 2% effective June 1, 2005, increased premiums, a signing bonus, improved job protection, increased sick leave accrual and an additional paid holiday. Ratification voting will be completed on April 27, 2005.