MWA Arbitration Update #2

In the MWA arbitration against the District Council, the arbitrator has asked for another extension, this time of 2 days to render a decision.

MWA Arbitration Update

In an update to the previous article titled "Favored Nations Clause Arbitration Update", the arbitrator has asked for an extension to render his/her verdict on the case. The decision will be made on April 30th.

Final AAA Contract Ratification Results

Here are the final detailed results, for the outside contracts.

Outside Contract Ratification Results

The results are in, and the membership voted down 4 out of 5 of the draft contracts. Just to be clear, these are contracts for members working outside in the field. The MWA agreement or any other shop agreements are not related to this ratification.

Favored Nations Clause Arbitration Update

UPDATE: MWA Arbitration Update

Following up on the article titled Most Favored Nations Clause Explained, here is an update on the arbitration situation between the MWA and District Council. The MWA called Midhattan Woodwork, Tobin Woodwork, Nordic Interior, and Ignelzi Interiors to testify on its behalf before the arbitrator. The District Council called Robert Villalta and Gilbert Displays to testify on its behalf. The MWA claims Gilbert is a direct competitor, but cannot site specific jobs lost to them or bid against. With the exception of a job at 200 park that was split between Ignelzi Interiors and Gilbert Displays they have never been seen on an architectural millwork job. The arbitrator has 30 days to hand down their decision, the District Council feels that we have a good chance of winning due to the testimony of Robert Villalta and Gilbert Displays.

Judge Agrees, MWA Shops Must Pay Benefits or Face Shutdown

For those members who are not aware, most MWA shops have not been paying benefits for months now, citing a rule in the MWA agreement [Section 11 (a)] that shops cannot be shutdown without the approval of a Joint Collection Committee which was never formed. Recently, the District Council attempted to establish this committee so that signatory MWA shops that are behind on benefits can be closed until the workers are given their owed benefits. The attorney for the MWA requested an additional 60 days to form this committee. The union took the MWA to court and the Judge overseeing this case agreed that the District Council has the right to shutdown MWA contractors in the event that they don't pay their benefits. The attorney also asked for an appeal and the judge denied it.

One Member, One Vote!

At the delegate meeting on February 8th an important motion was unanimously passed. All rank and file members will now have the right to ratify their collective bargaining agreements by mail in ballot, conducted by the American Arbitration Association. Members of specialty locals will vote on specialty contracts and general carpenters will vote on the general agreements. History has been made by The New York City District Council where it is the only place in the UBC where this happens.

Miller Blaker's New Contract Explained

There has been some recent controversy over the new contract Miller Blaker employees fall under. Here is an explanation of what has happened.

During the summer of 2011, Miller Blaker asked the District Council to change the existing contract to a lower wage/benefit package so Miller Blaker can continue to stay in business during these tough economic times. At the time, the District Council was under emergency supervision so all contracts and modifications to contracts were decided on by the international UBC representation. The International came up with a new contract and it was ratified by the membership employed at Miller Blaker. Here's a summary of the changes in the new contract for that shop.

• Two tier system, existing employee wages and benefits don't change. New hires receive lower wages ($21.80 per hour).
• New hires are considered union members that haven't worked at Miller Blaker in the past 6 months.
• Miller Blaker has left the MWA.
• The "Most Favored Nations Clause" has been removed from the new Miller Blaker contract. What other shops pay their employees has no effect on this agreement.
• The Outside Modified Shop Rate has also been removed. If a Local 2790 member installs for Miller Blaker in the field, they will receive the full outside pay and benefits.
• Also whatever woodwork Miller Blaker can produce in it's shop, it cannot subcontract to non-union shops. Everything they make will be 100% union. Under the old contract, Miller Blaker was subcontracting as much as 70% of it's work to other shops.
• Lastly, in July there is a wage reopener, so all though the current wage is less there is a possibility of negotiating a higher wage for the remainder of the agreement if in fact the concessions work and miller was able to pick up additional work due to the new contract.

What does this mean for me?
If you currently work for Miller Blaker, your wages and benefits will not change unless you are laid off for a period of 6 months or more. Then you will fall under the tier two package which is less than what you made before. If you are a new hire to Miller Blaker you will also get the tier two package. If you work in an MWA shop, this will probably not fall under the favored nations clause because this package is still higher than the Gilbert agreement, albeit this is lower than the MWA agreement.

XXXXXXXX there is a wage reopener this summer so all though the current wage is less there is a possibility of negotiating a higher wage for the remainder of the agreement if in fact that concessions work and miller was able to pick up additional work due to the new contract.

Most Favored Nations Clause Explained

UPDATE: Favored Nations Clause Arbitration Update

Most Local 2790 members have probably heard something about either the Most Favored Nations Clause, Gilbert Displays, the MWA, or the prospect of members making $20 and hour. Here is an explanation of what exactly is going on.

The MWA (Manufacturing Woodworkers Association of Greater New York) is a trade association that represents architectural woodwork shop owners that are signatory to the New York City District Council of Carpenters. Just like the District Council negotiates contracts on our behalf, the MWA negotiates on behalf of the shop owners that it represents. This is why most shops work under the "MWA Agreement".

In the MWA agreement, Article XXIV states:

CONFORMITY OF AGREEMENTS
Should the union knowingly allow its members to work for competitors of the employers for a wage less than the wages established by this agreement, or work for competitors of the employer under any conditions less than those conditions as established by this agreement, then the wages and/or conditions contained in this agreement shall immediately be changed to conform to the more favorable conditions as shown to exist. However, notwithstanding the foregoing, all members of the MWA as of the execution date of this agreement shall be grandfathered in for purposes of the application of this clause.

The above Article is what is reffered to as "The Most Favored Nations Clause"

Gilbert Displays is an exhibit shop that has it's own unique contract with the District Council. To summarize, the wage and benefits package is significantly lower than that of the MWA contract. The MWA has claimed that Gilbert Displays is performing the work of MWA shops for lower wages and benefits than MWA member shops would have to pay it's employee's, therefore violating Article XXIV of the MWA agreement. The District Council disagrees, therefore this issue will be taken into arbitration. The MWA is asking the arbitrator to grant them the ability to pay their employees the lower package that Gilbert has, and also wants the District Council to pay them for all the additional wages and benefits (compared to the Gilbert agreement) they paid their employees since Gilbert Displays has had it's own seperate agreement with the District Council.

The arbitrator is set to hear this dispute on February 28th, 2012.

What does this mean for me?
Local 2790 members who are employed in MWA shops could see their wages drop down to approximately $20 per hour and will also have a much lower benefit package if the arbitrator sides with the MWA. Additionally if the arbitrator also agrees that the MWA is entitled to all the extra wages and benefits they've paid employees compared to the Gilbert agreement, this would cost the District Council millions of dollars.

What is my union doing about it?
Currently the District Council is trying to meet with the MWA and come to a compromise that is not as drasticly low as the Gilbert Agreement. If the District Council and the MWA can come to an agreement, hopefully the arbitration hearing can be either delayed or cancelled all together.