Gannett expects to save $1.5 million annually by cutting wages 15% across the board among about 200 newsroom and building services workers represented by the Newspaper Guild, the union says. The Indianapolis Star is "viable," company attorney Bill Behan told negotiators yesterday, according to the union. But to continue being viable, the union quoted the company's position as saying, Gannett "must cut its expenses in light of the economic slowdown."The union didn't respond formally to the 15% wage cut proposal. "We asked for financial information so we can confirm whether the company’s finances are as dire as claimed,'' the union says. Talks, which began in January, are scheduled to resume in mid-April. This would be the third contract in Gannett's nearly nine-year ownership of the Star.
[Image: today's front page, Newseum]
So the key question becomes: what do the guild staffers earn compared to comparable non-union employees?
ReplyDeleteOne would think, in times like these, that labor unions would be signing up people left and right during these uncertain times. Instead, unions are in a terrible bind, unable to deliver the protections they touted when organizing. People see that unions are ineffectual at protecting job security or holding the line on benefits and wages as Gannett is turning the screws to stay above water.
ReplyDeletePersonally, as painful as things have been the last 18 months, I would prefer to go it alone.
Is Gannett cutting expenses because of the economic conditions or because of the transformation? If it's because of the economy, seems the company would be more than willing to share financials with this union and the one in the UK that asked for it a while back.
ReplyDeleteIs the Indy Star profitable? The unions should insist on the company opening its books? If the paper's losing money, it arguable that pay cuts are necessary. If the Star is still profitable, then not. It's just greedy corporate's demand to have its maw filled. Find out then act accordingly.
ReplyDeleteMissed here is that the lawyer also would not say whether that 15% would apply to everyone at The Star, management included.
ReplyDeleteI've got no problem with a pay cut (though 15% is steep for a profitable property) if everyone is sharing the burden. But I certainly would not agree to if management wasn't also asked to make a sacrifice.
Just another attempt to break up the union by Gannett. It doesn't sound like the company is bargaining in good faith.
Perhaps -- perhaps -- you can make a case for cutting salaries in these times. However, 15% is an obscenity. It should be rejected out of hand -- it's the kind of negotiating request that should end ANY talk about salaries.
ReplyDeleteSo the company initially asks for a salary freeze. Which the guild is amenable to. And in response the company counters with a 15% pay cut. Absurd.
ReplyDeleteDoesn't sound like the 5 of us in the press will be coming back anytime soon. Well, 3 out of the 5 anyway. Thanks for informing me union.
ReplyDeleteDid GCI take out ruthholladay.com? She's vanished. Oh, maybe I'm just prone to conspiracy theories.
ReplyDeleteIt's nice they want me to take a 15 percent pay cut so that the Gannett bigwigs can keep their golf club memberships and other perks. I'm not sure I could pay all of my bills with that big a cut on my already small salary. If they want to save $1.5 million so much, how about they cut it from their own corporate salaries. These guys are afraid to be innovative leaders. If Gannett would make people pay for online access to all of its dailies, wouldn't other newspapers desperate for cash follow suit? But God forbid our fearless leaders actually be fearless leaders.
ReplyDeleteIf they do this to Indy Guild, they will do it to the rest of us -- non union and managers. They want to take down Guild salaries first so no one else has an incentive to unionize. What happens in Indy is key to what happens to rest of us.
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