June 16, 2009
As of today, we are no longer just employees. We are minority owners of a new company. We are partners with representation on our company’s Board of Directors.
Although the concessions in our new contract are painful, they were necessary to secure the financing for the purchase. This is our investment in our company.
This deal may have saved the newspaper. It certainly has brought a new, much-needed sense of hope.
Through this change the union remains an independent organization with its own democratic structure. Although we are partners and have a new voice in the process, we retain the authority to challenge the company when we believe a worker is not being treated fairly under the contract. While we are committed to work with Rich Connor and his new management team to resolve issues quickly and without expensive litigation, unless necessary, we want our members to know that having an ownership stake and seats on the board of directors will not compromise our ability to represent you if you need help.
We are proud that as part of the sale of the paper we have been able to retain many important elements of our union contract, including seniority, severance, the 37.5-hour work, vacations, progressive discipline and health insurance.
Our innovative deal — with the 15 percent ownership stake and board seats – is seen as a model for other newspapers around the nation. Our success in obtaining this stake was not a gift. It came about because of our power as a union to negotiate a material benefit to compensate for changes in our compensation and benefits.
Despite our achievements, we cannot deny the considerable sacrifices. We know that many of our members over the next few months will lose their jobs through no fault of their own. This devastating recession — combined with new technology — has stripped our newspaper of tens of millions of dollars in revenues, and we have been told that the current workforce cannot be sustained. However, Connor has promised to offer buy-outs first. Also, we made certain that our new contract bases the severance (two-weeks for every year of service) on the pay scale prior to the 10 percent cut.
We have no say in who will be laid off or when. We will be diligent to make sure all layoffs occur according to the contractual procedure and that everyone is represented fairly. We will share information as soon we hear it. We don’t expect layoffs to occur right away. As of today, Connor has not given us the 30 days notice required under the contract.
In the end, the only way to save jobs is to have a profitable company, and we believe this new ownership structure with our voice in the process is our best opportunity to keep as many people employed as possible.
Thank you to all who have worked so hard to make this deal happen. It was a team effort right from the beginning. The 162-19 vote to approve the new contract shows that our union today remains united and sees the value in this new structure. Our unity and vision are our strengths.
As we enter this new and uncertain era, we must continue to work hard to maintain that unity and also to support each other.
We now have a structure in place with a Labor-Management "profits" committee and seats on the Board to have real voice and influence in the running of our newspapers and Web sites. Now that we have achieved this voice we need everyone's help to make it meaningful. I know you'll join with me as fellow owners to make this partnership a success.
Now let's raise hell and sell newspapers!
In solidarity
Tom Bell
President of the Portland Newspaper Guild
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