Saturday, March 2, 2013

Complete Update on the Current MWA Situation

Here is the latest on the current situation involving the MWA, the arbitration, and the members working for MWA contractors.

Right now

As we all know, the arbitrator decided that she can not rule on issues regarding benefits and also awarded the MWA $8,000,000 for past wages paid compared to the Gilbert wage package. So as it stands right now, the District Council owes the MWA $8,000,000, and the MWA owes the Benefit Funds for all the hours worked. Also the original decision regarding wages stands. The MWA can pay it's shop workers the lower Gilbert pay rate, but most shops will not lower wages because they know most skilled craftsman will not work for $21 per hour (as opposed to $31). Tobin and Bauerschmidt are the only known shops that have lowered their wages (to approx. $28 per hour).

What's next?

The MWA has been in talks with the District Council on hammering out a new MWA Agreement in addition to settling all other issues. The MWA can still take the DC to arbitration again if they want, this time over the benefits. This could result in a ruling against the DC upwards of approx. $30,000,000 in addition to what has already been awarded if they decide to go that route. However, the MWA is interested in signing a new agreement, and in return agree not to bring up arbitration again towards the DC. This proposed global settlement will resolve everything, and the MWA and DC can move forward.



What type of agreement are we talking?

The DC have preliminarily negotiated a successor ten-year collective bargaining agreement that both sides are at least satisfactory with. In addition to the aforementioned 10 year length of this contract, the MWA wants a tiered pay system. New employees of the shops will be paid the Gilbert pay and benefit package. The specifics of this tiered system and rules for grandfathering previous members who work in the shops has not been worked out yet. Besides the tiered system, this agreement would essentially be the previous MWA agreement from before the arbitration started. This agreement will also incorporate raises with a wage reopening at the 3rd and 7th year. It is worth noting that the reopening would incorporate "interest arbitration", if both parties can't agree on a raise it would go to arbitration. As you would assume, the “Most Favored Nations Clause” would be removed from this new agreement as well.

Which tier will I be in?

The specifics of this system are not final. It is the hope that all members working in shops right now will continue to receive the same wages and benefits they have become accustom to receiving for their hard work. However nothing is final yet, so more details on this will follow.

How does this affect installers?

Quite frankly, it doesn’t. This new MWA agreement only covers shop workers. Woodwork installers who do not work in shops fall under the Wall & Ceiling Assoc. Agreement and should be paid as such. However it should be noted that installers are currently affected by the MWA shops being behind on benefits which is explained in the next paragraph. The hope is that once this is all settled, the installers, along with the shop workers can all be made whole on their benefits and go back to normal with regard to pay and benefits.

So now what about my benefits?

Firstly, as a result of the final arbitration decision no one is going into The Hollow Metal Fund. Everyone’s benefits remain the same as before, now as far as owed benefits go: There are two time periods of benefits most working members are owed from MWA shops. The period before the initial arbitration decision, and the period after. Before the initial arbitration decision, most MWA shops were behind on benefits to begin with. They were on payment plans. After the initial decision, MWA shops stopped paying into the payment plans, and started paying the Gilbert benefit rate for future hours. To be clear, they did not start paying into the Hollow Metal Fund like Gilbert Display workers are part of. They continued to pay benefits to the big fund, they just paid less per hour. The Benefit Fund regarded this as a delinquency, till the point where the Employer Trustees decided to take all the short payments from MWA shops and put it to the side until the arbitration was completely settled. As a result, members who were filling out stamp shortage forms are no longer credited medical hours in lieu of contractor payment. So what you have is a situation where working members are owed benefit hours and a Benefit Fund that will not credit the members any hours.

So what you're telling me is I'm SOL & JWF?

Yes and no. The MWA has preliminarily agreed to pay all the inside & outside benefit hours they owe from before the initial arbitration (approx. $2-3 million) from the $8 million they will be receiving from the DC. However, they will not pay the deficit owed (approx. another $2-3 million) on inside & outside hours after the initial arbitration.

So who is paying?

Now you have found what is holding everything up. In January, roughly 30 members have already lost medical benefits despite working more than 250 hours per quarter. By April 1st even more working members will lose medical benefits for no fault of their own. The hope is that the Employer Trustees of the Benefit Fund will decide to either "forgive" the MWA of the post arbitration deficit owed or greatly reduce that amount. The Employer Trustees have not made any decision on this and time is in short supply with the April 1st deadline looming. Other options have been discussed, such as the DC paying the Benefit Funds for the hours owed but nothing has been decided yet.

When will a decision be announced?

Besides www.Local2790.org, the best place to find out what’s going on is at Delegate Meetings. There are two more Delegate Meetings before the deadline. March 13th & 27th @ 5pm. The meetings are held at the Labor Technical College 2nd Floor Common Room @ 395 Hudson Street (Clarkson Street Entrance). All members of all Locals are welcome to attend and spectate delegate meetings. Here you can find out the latest info on this situation and also speak with other delegates (before and after the meeting only) about your concerns. When a new MWA agreement is created, it will have to be ratified by the 100 member delegate body before it can be implemented.

Posted from iPhone

Source: http://www.local2790.org/home/2013/3/1/complete-update-on-the-current-mwa-situation.html?utm_source=dlvr.it&utm_medium=facebook

25 comments:

  1. NOT ONE DIME TO BE PAID OUT DUE TO THE DIRTY SHIEL DEAL. Make a stand!

    ReplyDelete
    Replies
    1. Make a stand against who? This is a legally binding decision. Failure to follow it will result in more legal fees and eventually a federal judge will make us pay it.

      Delete
  2. Yes and no. The MWA has preliminarily agreed to pay all the inside & outside benefit hours they owe from before the initial arbitration (approx. $2-3 million) from the $8 million they will be receiving from the DC. However, they will not pay the deficit owed (approx. another $2-3 million) on inside & outside hours after the initial arbitration.

    I would like the author to clarify double amont of 2-3 million dollars. As much as i know MWA start payying benefits in May 2012.

    ReplyDelete
  3. The question is answered in the previous paragragh:
    There are two time periods of benefits most working members are owed from MWA shops. The period before the initial arbitration decision, and the period after. Before the initial arbitration decision, most MWA shops were behind on benefits to begin with. They were on payment plans. After the initial decision, MWA shops stopped paying into the payment plans, and started paying the Gilbert benefit rate for future hours. They continued to pay benefits to the big fund, they just paid less per hour. The Benefit Fund regarded this as a delinquency. That would explain the 3mil before and the 3mil after. They owe almost 6mil in total.

    ReplyDelete
  4. thank you. next question is: what amount will be credited to our pension fund for the period starting may 2012 till now? health benefits are explained well? seeing all i have very serious doubts staying with MWA company?

    ReplyDelete
  5. That's still undecided. We're waiting on the benefit funds or the dc to decide something

    ReplyDelete
  6. than you sir. i think that DC will not make a pension fund and it will be worthless to stay and work for MWA. see what happen and i wonder when the final agreement will be reached.

    ReplyDelete
  7. Yes unfortunately its still up in the air and working members are the only ones that will suffer

    ReplyDelete
  8. i belive that DC should pay the difference for all members due to own wrongdoing. DC has breached the contract with MWA. otherwise a litigation action could be brought by members.Members will lost higher pension contribution and annuity contribution. it is not only abouth health benefits. i wonder if DC is aware of this possibility. time is crucial and DC must act fast, regardless of direction. MWA is a big winner by now.

    ReplyDelete
  9. Yes I agree, if the Benefit Funds can't come up with something, the DC must pay the difference. Spending another $3mil is less than losing $30mil in another possible arbitration

    ReplyDelete
    Replies
    1. NOT A DIME JAMES

      Delete
    2. Well $8mil in dimes would be way too many dimes, we'll probably pay using check

      Delete
  10. MWA is still paying lower benefits and they will drag forever signing a contract. it is time for complete action by both sides. next month plenty of members will lose a health benefits and staying with MWA company will be a foolish solution. there will be court action against DC if they will not make all payments up. the situation is getting worse. is DC aware of all aspects of the matter or simply they do not care.

    ReplyDelete
    Replies
    1. Actually the MWA is eager to sign a contract so they can receive their settlement

      Delete
  11. is any hint how DC will resolve the the benefits? how long they will talk.

    ReplyDelete
    Replies
    1. I have no idea how long the DC wants to take with this. Hopefully at the next delegate meeting they will announce some progress.

      Delete
  12. The union is receiving money from the owners. They choose to pay our vacation checks instead of our insurance. Surely the can afford some coverage even at the reduced amount the owners are paying. They only want their assessment money and dues. Is this legal? The national labor board should contacted as our families are sick and are suffering. Local 2790 business rep told me last week to find another job. That's what we pay dues for? Shame on them

    ReplyDelete
    Replies
    1. Currently the unions legal response to this would be to have the shops go on strike, and the shops are not contributing to the vacation fund.

      Delete
  13. Yes they are. The money should go to benefits first, not vacation

    ReplyDelete
    Replies
    1. I work in a shop, no money has gone into my vacation account.

      Delete
  14. I work in a shop too and all the vacation checks have been perfect. No health insurance though so the unions getting money

    ReplyDelete
  15. we all should call Biello. He should be aware that a class action A would be coming if our benefit are not cover now.

    ReplyDelete
  16. We should all sue to have our union dues refunded for the past few years. They are not protecting us. Probably going to give us a horrible contract too. We gotta step up, we have a voice together

    ReplyDelete
  17. the union must repay 3 millions to benefits fund or face members. when the situation will be resolved. is already march 2013 and we are receiving lower benefits all the time.

    ReplyDelete

I would ask that if you would like to leave a comment that you think of Local 157 Blogspot as your online meeting hall and that you wouldn’t say anything on this site that you wouldn’t, say at a union meeting. Constructive criticism is welcome, as we all benefit from such advice. Obnoxious comments are not welcome.