Wednesday, June 28, 2006

The Wall Street Journal, June 26, 2006, Monday

Local Union Leaders Bear Brunt of Workers' Ire Over Givebacks
By Kris Maher
Jun 26 2006
The Wall Street Journal
A2
English
(Copyright (c) 2006, Dow Jones & Company, Inc.)
A growing number of local union leaders in a variety of industries, including autos, steel and airlines, are being voted out of office by members dissatisfied with cuts in pay and benefits that have been part of recent labor agreements.
One indication of this backlash is the increasing number of challengers local presidents are facing in elections, in addition to the local presidents and other leaders who have recently been ousted. Local leaders are facing the most pressure in ailing industries where companies have sought the biggest givebacks on pay and benefits from workers in recent years.
As a result, many companies with unionized work forces could face a change in the tenor of their labor relations, as local leaders either newly elected or facing challengers from within the ranks feel more pressure to stem cost-cutting efforts.
Heading a local union has traditionally been a coveted position easily defended by incumbents who have greater access to resources and are more visible among members. But that visibility has turned into a liability in today's concessionary environment, say many local presidents and other labor experts, even though big contracts are typically negotiated by a union's national leadership with little input from local leaders.
"Local presidents are under tremendous pressure. I think there has been a significant increase in turnover among them in troubled industries," said Gary Chaison, a professor of industrial relations at Clark University in Worcester, Mass. "They're the ones that have to go back to the members and say this is what we negotiated."
Several local United Steelworkers presidents recently lost elections and blame the outcomes on disappointment among members over job cuts and changes to seniority rules that the union agreed to in its 2003 labor contract with U.S. Steel Corp.
"I think it was mostly frustration," said John Mazzoni, who lost his position as president of a Steelworkers local in Braddock, Pa. "I get along with everybody, but it was a radically new contract." Andy Miklos, president of a Steelworkers local in Clairton, Pa., who beat back two challengers, said he didn't blame members for venting their frustrations. Local presidents "were the ones who members were able to get at," he said.
Similar shake-ups are occurring in other industries. This month, United Auto Workers members who work at a Delphi Corp. steering plant in Saginaw, Mich., elected a new president, unseating a two-term incumbent, and the elected representatives of the Air Line Pilots Association chapter that represents pilots at Northwest Airlines also replaced its top officer.
Mike Hanley said the Delphi workers who elected him are feeling "frustration and uncertainty" over the buyout offer recently negotiated with Delphi and General Motors Corp. by the union. He pledged to improve communication with the local's 3,400 active and 8,000 retired members. The departing president couldn't be reached for comment.
The departing chairman of the Northwest pilots' union had negotiated concessions for its 5,100 active members that included a cut in pilot pay of 15% followed by a second cut of 24% since December 2004. Will Holman, a spokesman for the union, said "differences of opinion" among pilots about the negotiations "propelled the elected representatives to elect a new chairman."
At the same time, the national leadership of many unions remains largely insulated from members' ire. Labor experts say this is partly because national officers are typically elected by hand-picked delegates at conventions and rarely face serious challengers. Earlier this month, Ron Gettelfinger was reelected president of the United Auto Workers in an uncontested election at the union's annual convention.
Some labor experts, however, said they would be watching the Teamsters convention, which begins today, for signs of a challenge to James P. Hoffa, the union's general president who is up for re-election. Unlike other big unions, the Teamsters' election for top national officers, which takes place in September, is based on a vote of the entire membership. Tom Leedham, the top officer of Teamsters Local 206 in Portland, Ore., which represents truck drivers at United Parcel Service Inc. and warehouse workers among others, is challenging Mr. Hoffa for the third time.
Rich Leebove, spokesman for Mr. Hoffa's campaign, said the Teamsters "are more unified, more diverse and more democratic than at any time."
Despite the increase in unrest at the local level, concessions don't usually disappear when challengers are elected. "It's unusual for a change in leadership to make a difference in a situation that is really driven by economics," said Richard Hurd, a professor of labor studies at Cornell University.
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