June 7, 2007

Dow Jones Members Seek Alternatives to Murdoch

The Independent Association of Publishers' Employers, CWA Local 1096, and TNG-CWA are reaching out to investors who may be interested in making a bid for Dow Jones & Company, publisher of the Wall Street Journal, to help head off a bid by News Corp. owner Rupert Murdoch.

The Yucaipa Companies, headed by Ron Burkle, has expressed interest in working with the union and the Bancroft family, which owns Dow Jones, on a possible purchase of the company. 

IAPE President Steve Yount said that "our union remains hopeful that the Bancroft family will conclude that a sale is not necessary. But if a sale must take place, we believe there are alternatives to Rupert Murdoch." 

The workers, along with members of the Bancroft family and many media analysts, are worried that the steller reputation and independence of the Journal could be jeopardized by a sale to Murdoch, who is known for presenting sensational, tabloid-style journalism in his newspapers, such the New York Post, and conservative bias on his Fox News Channel.

IAPE represents 2,000 employees at Dow Jones, including journalists at the Journal and Barrons Magazine, and employees at the company's wire services, broadcasting and online enterprises.

IAPE, along with Ownership Associates, the firm that worked with TNG-CWA to assess a potential employee buyout of some Knight Ridder properties, also is exploring other investment relationships and has reached out to Warren Buffet, among others, to gauge their interest in bidding for Dow Jones.

Cohen Joins NABET Team at ABC Negotiations

CWA President Larry Cohen joined NABET leaders at a bargaining session with ABC last week in Chicago, urging the network to see the union as a valuable partner that deserves respect and good-faith bargaining.

"He began by talking about the communications business in general and that we could be even better partners with the company because a lot of the issues on the broadcast side are permeating into telecom," NABET Vice President Jim Joyce said. "One of the company's claims is that they're in an advertising war with Google, and Larry told them, 'That fight is our fight.' He suggested ways we could work together on that, and on other regulatory issues."

The current ABC contract expired March 31 and in May NABET-CWA members at the network overwhelmingly voted to strike if necessary. ABC has demanded significant changes in jurisdiction and work rules and what negotiators call a "devastating" plan to freeze workers' pensions.

After a two-month break in bargaining spurred by the pension proposal, the union and company met for two weeks in Chicago at the end of May. Cohen joined them for their last session June 1.

The Chicago talks yielded minor movement by ABC on proposals regarding work rules, but negotiators said there is a lot of hard work still ahead. The union represents about 2,500 technicians, camera operators, news writers and other employees across the country

In a memo to the CWA Executive Board, Cohen praised NABET President John Clark and the rest of the negotiating team for staying focused and "not discouraged despite months of bargaining." Noting ABC-Disney's sky-profits, he said the company should be ashamed of its assault on workers' livelihoods.

"Disney stock is up 25 percent in the last year and has a market value of $70 billion," he said. "Yet more than half of our bargaining unit is freelancers with no employment security, and management still wants more."

Flight Attendants Gain as Northwest Exits Bankruptcy

Eligible AFA-CWA flight attendants at Northwest Airlines will receive a cash payment and pension contribution worth about $14,500 within the next two to three weeks. The funds will be distributed as the result of the union's sale of a $182 million equity claim against Northwest that was preserved in their recently ratified contract.

"The sale of the equity claim will provide some much needed cash and 401(k) contributions to our flight attendants," said Jay Hong, AFA-CWA MEC president at Northwest. "But we should be clear: this sale recoups only a small fraction of the financial sacrifices our members have made in this bankruptcy."

Said Andy Wisbacher, MEC vice president, "Our fight to rebuild our contract and recover what management has taken from us has already begun."

Sale of the equity claim came on May 31, just two days after the Northwest flight attendants ratified their contract and on the same day that Northwest emerged from bankruptcy. A federal judge ruled that the flight attendants claim would be void unless a new contract was ratified.

The proceeds from the sale will be distributed 40 percent in cash and
60 percent as a 401(k) contribution. Of the 8,000 Northwest flight attendants represented by AFA-CWA, all with seniority date of Nov. 15, 2005 or earlier are eligible for the distribution.

Unions Press DirecTV for Fair Contract Negotiations

About 50 members of CWA Locals 1101 and 1108, Jobs with Justice and the United Electrical Workers rallied outside the annual meeting of DirecTV in New York City to protest the company's refusal to bargain a fair contract with technicians and other workers at the company as well as its latest move to shift workers' jobs in several states to contractors.

A year ago, workers at DirecTech Southwest in Missouri, Illinois and Kentucky voted for CWA representation. Since then, the company has stonewalled contract negotiations and continues to refuse to bargain a fair agreement. Workers in Ohio, represented by the UE, are facing the same contract fight.

"This situation is exactly why the Employee Free Choice Act must be passed," said CWA President Larry Cohen. "If that law was in effect today, companies like DirecTV couldn't block the bargaining process. A fair arbitration system would settle disputed contracts that couldn't be resolved and true workers' rights would be restored. Instead, our current broken system allows employers to string out negotiations, sometimes for years, denying workers their rights."

DirecTV workers are seeking a fair wage increase and a fair contract. Some of the customer service representatives, or "trackers," who are mostly women, currently are paid just $6.50 an hour. Health care premiums are so high that fewer than half of the workers can afford to buy coverage for themselves and their families and some of the trackers and their families earn so little that they're eligible for public assistance, food stamps and children's health insurance, said Tom Newport, CWA District 6 organizing coordinator. 

CWA members at DirecTV are urging workers and the public to support their fight for fairness, asking supporters to contact Tom Beaudreau, the chief executive officer of DirecTech Southwest, to urge him to "get serious about a contract that provides fair wages and benefits."

Campaign Heats Up to Stop Verizon Landline Sale

More than 200 CWA and IBEW members rallied in Burlington, Vt., on June 2 to tell Vermont's Public Service Board that Verizon's proposed sale of its landlines to FairPoint Communications would leave northern New England stranded with outmoded telecommunications. Verizon has proposed selling its landlines in New Hampshire, Maine and Vermont for $2.72 billion.

"Even though it's one of the richest telecom firms in the world, Verizon has failed to include much of Vermont in its plans to build a high-speed broadband data network," said Meg Collins, an 18-year Verizon service rep and executive vice president of CWA Local 1400. "If this sale goes through, Vermont's and all of Northern New England's citizens will be 'road kill' on the information superhighway."

Her message was echoed by other Verizon workers and lawmakers. State Rep. Ernie Shand, a former telecom worker, stressed the community service aspect of the campaign. "We are here to do what we do best – take care of our people. Mergers can be a painful process, but the great thing about telephone people is they care about the people they serve."

Recently, Vermont House Speaker Gaye Symington, Senate President Pro Tempore Peter Shumlin and key House and Senate committee chairs – honoring an amendment to the governor's telecommunications bill – wrote to Vermont's Public Service Board and Department of Public Service, recommending "that any company seeking to acquire the assets and network of Verizon New England, Inc. have the capabilities and intentions to furnish broadband services that are sufficient to meet the rapidly evolving needs of Vermont residents, businesses and institutions."

Meanwhile, with further hearings scheduled in all three states, the campaign is urging union members and the public to call, write or e-mail their state senators in Maine, urging them to support LD 1866, a bill based on similar language, essentially requiring that any purchaser of Verizon's landlines have sufficient assets to provide state-of-the-art services. A vote is expected soon.

CWA Forming ALS Support Group

CWA is forming a support group for members, friends and families affected by amyotrophic lateral sclerosis, or ALS.

Often referred to as "Lou Gehrig's disease," ALS affects as many as 30,000 Americans at any one time. It is a degenerative nerve disease whose symptoms include slurred speech and diminishing control over the use of hands and feet. More than 5,600 people within the United States are diagnosed each year.

At the CWA Legislative-Political Conference in March, District 2 Vice President Pete Catucci announced that he has the disease, and that he will continue to serve in office and to advocate for stem cell research. Stem cell treatments, Catucci said, while not available in this country have been shown to effect a cure rate of up to 40 percent in other countries.

"I want to change people's minds about what's really important," Catucci said. Referring to a broad range of diseases for which stem cell treatments may prove effective, he said, "Up to 100 million people may benefit from this research."

Ron Collins, administrative director in District 2, is conducting an assessment to learn who and how many of the CWA family are affected by ALS as well as what activities a CWA support group might undertake. To offer information and suggetions, you may contact Ron at (301) 562-8133 or send an e-mail to rcollins@cwa-union.org.

IN BRIEF:

  • CWA will meet with the top leadership of Avaya and the two private equity investment firms that are proposing to purchase the company for $8.2 billion. In discussions with Avaya, the company has indicated that the contract will remain intact, said Ralph Maly, CWA Vice President, Communications and Technologies.

    If the sale to investment firms Silver Lake and TPG Capital goes through and is approved by Avaya shareholders, the company will become a privately owned corporation.

    "CWA will evaluate this potential sale and will act to make certain that the wages, pensions, benefits and jobs of members, and the interests of retired workers are protected," Maly said. CWA represents about 2,000 Avaya workers.

  • AFA-CWA and the nation's leading airline passenger rights group have joined together to urge Congress to address serious flaws in aviation policy.

    "Airlines have repeatedly failed to provide Congress with any sort of deplanement plan, despite a call from several prominent leaders. This arrogant attempt to circumvent Congressional requests is just another example of how airlines continue to leave passenger rights on the ground," said Kate Hanni, president of the Coalition for an Airline Passengers Bill of Rights (CAPBOR).

    AFA-CWA also supports a bill of rights but President Patricia Friend said "it will be an empty promise until Congress enacts serious aviation policy reforms" that would upgrade air traffic control, improve airports, apply carry-on baggage standards to every airline and improve cabin air quality, among other changes.

    Recently, United Airlines unveiled its “new policy” to handle long ground delays, which describes extraordinary delays as “flights of note.” Hanni said that “To trivialize both the passengers and the crew on flights held up to 11 hours in deplorable conditions, by calling these horrific flights ‘flights of note’, is absurd.” More about the new organization is online at www.flyersrights.org.