Michigan Messenger » Negotiations

Officials want to eliminate binding arbitration for public safety employee unions

Todd A. Heywood — Mon, 08 Mar 2010 17:38:24 +0000

State law currently forces local governments in tough negotiations with public safety employee unions to submit to binding arbitration in the event the two forces cannot agree on contract specifications. But lawmakers have introduced legislation that will eliminate that law and officials in Shelby Township have unanimously passed a resolution supporting the legislation, reports the Macomb Daily.

The law was put in place because public safety employees — such as police and firefighters — cannot strike. The goal was to make sure those employees are treated fairly when negotiations over contracts reach an impasse.

But townships officials tell the Daily that those arbitration hearings are not in the best interest of the municipalities.

“An Act 312 arbitrator is unaccountable to the municipality for the short- and long-term financial consequences of an … award after its issuance,” the resolution reads.

Shelby Township Clerk Terri Kowal said bargaining sessions with police and fire unions have wound up in arbitration multiple times in the past few years. The township and the police command officers union have been in arbitration for “months and months,” the clerk said.

“We go in with an offer (and) the union goes in with an offer,” Kowal said. “Act 312 does not allow a split … We say, ‘No raise.’ They (unions) say, ’5 percent.’ (The arbitrator) cannot award 2.5 percent. It must be 5 percent orzero percent. It is nuts.”

The legislation was introduced by Rep. Justin Amash (R-Cascade Township). Amash is preparing a run for Congress to replace Congressman Vern Ehlers (R-Grand Rapids) and has been touted as the less government TEA Party choice.

Jesse Jackson on Mich. foreclosures: ‘You cannot resolve this crisis house by house’

Minehaha Forman — Fri, 09 Oct 2009 20:17:09 +0000

DETROIT — Rev. Jesse Jackson this week called for “mass action” to address the state’s foreclosure crisis and said that his civil rights non-profit organization, the Rainbow Push Coalition, is pressuring major mortgage lenders including Wells Fargo, Citibank and Bank of America to restructure homeowner’s loans to help avert foreclosures.

Jackson said the government’s efforts to curb the foreclosure crisis are poorly enforced and limited. The federal Homeowner Affordability and Stability Plan geared at loan modification for those facing foreclosure is “not broad enough” according to Jackson. “You cannot resolve this crisis house by house,” he said Thursday evening.

Jackson’s appearance attracted about 50 people to the rally, which took place outside of the home of Andre and Lenore Hudson, a couple who are facing foreclosure in the middle-class community of Sherwood Forest, near the city’s border with Oakland County. Many of the attendees were people from the neighborhood, reporters and members of the Moratorium Now Coalition, a grassroots group pushing for a two-year moratorium on home foreclosures in Michigan.

Jesse Jackson speaks about foreclosure crisis. (Photo by Minehaha Forman/Michigan Messenger)

Although Jackson called for mass action at the rally, turnout wasn’t the focus of the gathering according to Rev. David Bullock, who leads the Detroit Branch of the Rainbow PUSH Coalition.

“He wasn’t trying to get a whole lot of people,” Bullock told Michigan Messenger. “He wanted to get a human interest story out there.”

Bullock said Jackson used the rally as a way of letting the community know that he will be a “voice at the table” of negotiations between lenders and those affected by foreclosure.

“I don’t think corporate America should be painted as the enemy but to have a guy like Rev. Jackson at the table is big,” Bullock said. The Detroit branch of Rainbow PUSH has been meeting with Wells Fargo for six weeks to discuss community need according to Bullock. “Wells Fargo gets to hear what really is going on the ground and learn what the company needs to do and change.”

After nearly two months of meetings with Wells Fargo Bullock said it’s too early to say what influence the the Rainbow PUSH Coalition has had. “I don’t know what the progress is. I’m sure there is some.”

State budget negotiators to burn the midnight oil

Todd A. Heywood — Thu, 24 Sep 2009 20:51:34 +0000

The Michigan State Capitol Rotunda (Creative Commons photo by CedarBend via Flickr)

LANSING — Expect a long night at the State Capitol. Just as state budget negotiations continue in advance of an Oct. 1 deadline, multiple sources in the House are telling Michigan Messenger the current budget session could run as late as 3 a.m., while Senate sources say that body will be in session until about midnight.

Meanwhile, The Detroit News reports Gov. Jennifer Granholm visited the floor of the House earlier on Thursday to lobby legislative Democrats to prevent steep cuts in education, police and fire and social safety net programs such as Medicaid.

“The ball is obviously in the Legislature’s court right now, and I’m trying to do whatever I can to help them,” Granholm told reporters. “I would like to see some softening of the worst cuts because those cuts would be dangerous.”

In addition to Granholm’s impromptu visit to the House, Speaker Andy Dillon, a Democrat from Redford Township, acknowledged that before introducing any tax or fee increases, he is waiting for joint House-Senate conference committees to report out final budget bills.

Lawmakers are trying ax $1.2 billion from the 2010 budget, and have until midnight Sept. 30 to complete a balanced budget. The budget actually has a $2.8 billion budget shortfall, but Dillon and Senate Majority Leader Mike Bishop, a Republican from Rochester, agreed last week to a target of cutting $1.2 billion, before considering tax or fee increases.

The GOP-controlled Senate passed a budget earlier this year with billions of dollars in cuts, and no tax or fee increases. The House has not taken up those bills. Bishop has consistently said his caucus will not support tax or fee hikes.

In addition, the Lansing State Journal reports that the conference committees are considering cuts for local revenue sharing totaling $172 million. That would $163 million in cuts to cities and townships and another $9 million to counties. The cuts represent a 13 percent cut to revenue sharing for cities and townships.

That committee has recessed to allow time for additional negotiations.

Also, the Democratic-controlled House has scheduled sessions for Friday, Saturday and Sunday, but will take off Monday to recognize the Yom Kippur holiday.

Michigan Republicans are supposed to head to Mackinac Island for their party’s annual policy conference. Some GOP candidates have slated island fundraisers.

It is unclear whether the GOP-dominated Senate will hold sessions during the weekend, or on the Yom Kippur holiday.

Understanding UAW Local 7′s “No” vote, Part 2

Brandon Q. White — Sun, 28 Oct 2007 04:45:16 +0000

Although it appears that a new UAW-Chrysler national agreement is on its way to being approved, deep fissures were exposed during the ratification process among union local leaders and the rank and file. For the UAW, one of the serious issues is the difference in perspective and outlook between younger and older workers.

LaNita Gaines, financial secretary-treasurer of UAW Local 7 at the Jefferson North Plant in Detroit, where members voted against the contract, is seeing the generational breakdown within the UAW and how this is impacting the ratification process.

When asked about a potential conflict between younger and older workers, Gaines was quick to point out that “conflict is really non-existent because we just let go of 100 of our retirees under the Incentive Program for Retirement (IPR) program, meaning you can retire with $70,000 and receive your pension, starting your retirement the next month.” For clarification, the IPR program provides for: a lump sum payment of $70,000 (pre-tax), and health care consistent with the terms of the National Agreement.

Continued -The exit of older workers translates to a changing of the guard within UAW Locals as younger workers flex their muscles. Gaines explains that “most of the plants now are younger seniority plants, where the highest seniority is maybe 15 years.”

For Gaines, the new generation of workers “came on in on good contracts, when the horn of plenty was there for them but they don’t know that sometimes in some contracts, change comes about in the industry and the contracts reflect it and it literally scared them to death.”

The fear of younger workers is not entirely misplaced. Under the new contract, the Detroit News reports, “Entry-level wages and benefits would apply only to 'noncore' jobs — those not directly related to the manufacture of a vehicle — such as forklift operators and paint mixers. What will be classified as noncore and core jobs will be decided by a committee made up of union and company representatives.”

The starting wage for these non-core jobs would be $14 – $14.63 an hour with annual wage increases. According to the Detroit News, one fear for members is that over time, Chrysler could take measures to fill “entire facilities full of workers making $14 an hour.”

In the future, this could translate into Chrysler asking new entry-level “core” workers to accept a lower wage that would make current workers fearful that their jobs would be targeted for replacement.

For Gaines, the focus of current workers should be building solidarity with all workers while constantly fighting to improve the lot of all UAW members. “They (the new generation) came in with not understanding how things got that way. I guess they thought this is what the company offered — but it was not, it was from the blood, sweat, and tears of those union members that went before them. The older seniority people know better.”

Breaking: 56% of UAW Chrysler Workers approve the contract

Brandon Q. White — Thu, 25 Oct 2007 11:09:25 +0000

While the “no” vote movement made significant head way, thus far 56% of UAW workers nationwide have voted to approve the national labor contract hammered out between Chrysler and the UAW bargaining team. This margin of support is increasing the likelihood the deal will be ratified.

Union leadership are cajoling reluctant local leaders to accept the contract. If the deal is approved, many of the rank-and-file will feel that the union should have negotiated for more. Not only that, this ratification sent a message to Cerberus that many workers expect to be offered more.

As more details become available, Michigan Messenger will report accordingly.