United Electrical, Radio & Machine Workers of America (UE), Northeast Region
5 Hill Street, Taunton, MA 02780
(774) 264 0110
office@uenortheast.org
United Electrical, Radio & Machine Workers of America (UE), Northeast Region
July can be brutal at Haskon in Taunton, MA. 190 workers mill, mold, trim and finish critical silicon rubber aircraft seals for the aircraft industry: Boeing,Fairchild, Northrop Grumman, Mitsubishi, Goodrich, etc. making cargo door seals, entrance seals, wheel well seals, and window seals in over 100 degree hot humid heat (115+ degress in "The Pit") with high pressure hot presses. The 190 workers are members of UE Local 204 and they gave mother nature some strong competition in the heat department from early July to when they ratified a new 2 year agreement August 5 that kept their health insurance plan design and increased their wages.
As bargaining got into full swing the company began making proposals to implement an Aetna high deductible / co-pay Health Savings Account (HSA). It looked like the ultimate cost shift. It was. UE 204 members who used medical care were going to pay for the company's plan design which drastically lowered their premiums. UE 204 members enjoy Harvard Pilgrim HMO which the company pays the majority of premium costs (at Haskon they paid 90- 95% of premium costs).
204 members began to educate themselves in May to better understand HSA's and CDHC high deductible and co-pay plans. The "UE Steward" on HSA's was copied and distributed throughout the shop. Individual members would search the internet for articles on HSA's and high deductible plans. This information simply verified what the members knew: these plans had no benefit for workers and their families who needed medical care. Haskons owner, Esterline Corporation out of Bellevue, Washington was already forcing the 4500 non-UE Local 204 US employees onto their Aetna. They planned to do the same to the UE members. High deductible and co-pay HSAs just at Haskon alone would cut Esterline's costs by 3/4 of a million dollars a year!
The company's initial proposals in mid-June were $2500 in up front deductibles and up to $5000 in annual out-of-pocket costs as pay higher and higher co-pays. The bribe to go to this plan was there would be low, and in some cases no, weekly premium payments. "If you are young, healthy, and single that plan might be ok for you. But, if you are married, have a family, older, or get sick HSA's and high deductible / co-pay plans would force our members into financial ruin. This was not an option for our members. We only average $14.25 an hour." said John Fernandes, President of UE Local 204. "For many years we have educated ourselves and our members why we need to reject plan designs that penalizes families, older workers, and members who have to have medical care." Every Local 204 member pays the same weekly premium whether they are single, couple, or have a family. Brother Fernandes went on, "Under our insurance plan design every member pays similar amounts every week for health insurance. It is shared sacrifice of our barely affordable wage to ensure those of us who need medical care can get it and not go bankrupt in the process. HSA's and CDHC high deductible plans are the ultimate nightmare for working class families, older workers, and those who need medical care."
Over the last month Local 204 members became increasingly united in their opposition to the company's attempts to force a lousy health insurance plan on them and as long as the company proposed them the members activities and resistance increased. A worker friendly insurance plan design that has NO deductibles, REASONABLE or NO co-pays (except for the high $75 emergency room fee), keep your doctor, and no paperwork was the only option the company had to get the workplace back to "normal". The local conducted membership meetings during breaks during and after negotiation sessions. The last week the local leadership met with the members every day - all 3 shifts. Up to the final days before reaching a tentative agreement the union meetings during breaks became progressively longer. Especially on the hot days. Both 1st and 2nd shifts went en masse to the front offices to face the company negotiators themselves and tell them they were not going to accept an insurance plan that had high deductibles and co-pays or you had to change your doctor or had paperwork. Every where you looked the shop was plastered with signs hand made by 204 members: "Hands off my healthcare", "We make the wealth. You pay the health", "As a human being I have a right to healthcare". "Affordable premium. No deductibles, Low co-pays, Keep doctor, No paperwork!"
A few days before the company agreed to withdraw the deductible / high co-pay plan design on August 3 the membership held increasingly successful and uniting informational pickets in the morning and the afternoon. Members form UE Local 243 at Assa Abbloy in New Haven, CT, Local 234 at Fairbanks Scales, in St. Johnsbury VT, and Local 279 at Weir Pump in Salem MA showed up to give their sisters and brothers at Haskon their support. NE Region Vice-President and Local 243 President Ray Pompano joined the members and assisted in the negotiations on the afternoon that the company made a proposal which indicated they were willing to consider a settlement on the basis of the local's health insurance plan design. Originally, in the early stages of negotiations the company wanted to discuss production issues. They stated that it was these issues that was hurting the company the most - and the union did not disagree. However, as the discussion on lean manufacturing went along it became clear that although they might want to get the plant to run better they were more concerned with cutting health insurance costs. Brother Pompano reminded the company that if the contract got settled the union would insist that the company make a strong effort to fix the production problems and make Haskon a better place for UE 204 members. Assa Abbloy has had all the production gimmicks for years but because the local insists that our members rights are protected and are the integral part of the planning and execution of improved production techniques
The local invited an old friend of the UE's in SE Massachusetts Congressman Barney Frank. The day before he was to show up the company lawyers gave his office a call to "remind him of the proper protocol when a congressman or other visitor comes to Haskon. Sign-in....and then we will decide if you can come on our property." Congressman Frank said that's ok he didn't need their permission or to sign in because he was going to meet with his constituents on the public sidewalk who were taking action to protect their right to healthcare."! The afternoon Congressman Frank came to support UE 204 members he applauded them for their determination to resist health cuts and maintain a plan that makes sense for workers. He reminded everyone that we have to keep the pressure on the companies to get them on board with the political solution to health care and not the failed employer based system we have now. UE Local 204 members are up for the challenge. It is becoming a matter of survival.
The 2 year contract increases wages by 3% each year and keeps Pilgrim HMO with no co-pays for in patient and out-patient procedures. Beginning January 2007 office visits increase by $5 and specialist visits by $10. Emergency room co-pays increase from $30 to $75. There is no paperwork. No one has to change doctors. The drug co-pays will be $5/15/35. The weekly premium will increase from $15 to $27.50 in January 2007 and $37 in January 2008. "Although this is a modest settlement overall our members beat back what the rest of the corporation was having to eat - and we got a raise as well. 2 years is enough in this economic climate and the company would not put enough money on the table to justify a 3rd year. We will be back at them in no time and the experience our members gained from this contract will provide a great foundation for the next contract struggle.
The negotiation committee consisted of Local 204 President John Ferndndes, Vice President Kenny Richards, Chief Steward Joao Rego, Recording Secretary Pauline Arguin, and negotiating committee members Jim Wilkinson, Scott Marques, and Scott Aguiar. They were assisted by UE Northeast President Peter Knowlton and in the last day by UE Local 243 President Ray Pompano.