April 30, 2009
 
To: Active, Associate, Affiliate & Independent  Contractors
 
From: Walter P. Palmer, 3rd, President & CEO
 
Subject: LABOR NEGOTIATIONS UPDATE 
 
Both bargaining teams for the carpenters and laborers have concluded for the day. The carpenters have agreed to extend their contract to Monday evening, May 4, at midnight and the laborers have agreed to extend their contract until Tuesday evening, May 5, at midnight.

Each trade has scheduled meetings to continue bargaining.  The Labor Policy Committee will meet to review the situation. Any updates will be emailed and posted on www.laborlink.gbca.com.

As of 2:30 all negotiating teams continue to meet working to avoid a work-stoppage on May 1st.

In the event that the teams do not successfully reach an agreement, below please find 2 documents to assist you in preparing for your business day tomorrow.

First  is language for a primary and reserve gate signs.

Second are common questions for GBCA members in the event of a strike. This sheet answers questions regarding superintendents, retroactivity, lock out, and reserve gate systems.

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#1:  FOR PRIMARY AND RESERVE GATE SIGNS

Primary Gate

This entrance is for the use of the employees and suppliers of [names of  subcontractors directly employing members of trades on strike (include GC if GC directly employs members of striking trade)].

All other persons or entities should enter and exit the project site by using the entrance located at [insert location].

Neutral Gate

This entrance is reserved for the exclusive use of all persons, contractors, subcontractors, suppliers and other entities except [names of  subcontractors directly employing members of trades on strike (include GC if GC directly employs members of striking trade)].

All employees and suppliers of [names of  subcontractors directly employing members of trades on strike (include GC if GC directly employs members of striking trade)] are prohibited from using this entrance and must use the entrance located at [insert location] to enter and exit the project site.

#2 COMMON QUESTIONS FOR GBCA MEMBERS

IN THE EVENT OF A STRIKE

Question: If there is not a contract agreement by midnight April 30, 2009, does the union or unions with expiring contracts have to strike?

Answer: No, the union(s) could elect to work without a contract. Moreover, the union(s) with expiring contracts could strike some employers, but not others.   At this time, the GBCA is not calling for a lock-out which would prohibit GBCA members from employing trades that do not have a current collective bargaining agreement with the GBCA.  If the GBCA calls for a lock-out, we will provide you with additional information.  Nonetheless, even if the GBCA does not call for a lock-out, you may refuse to employ trades who do not have a current contract. 

Question: If the union or unions with expiring contracts elect to work, how should the members of the trades be paid?

Answer: You are to continue to pay the wages and benefits package set forth in the expired contract to members of the trades who perform work.  Remember, if the GBCA has your bargaining rights, you are prohibited from entering into your own agreement with a union which negotiates with the GBCA or with the individual members of a union with an expired contract.

Question: If there is strike, will all striking trades picket my project site?

Answer: Maybe. The striking union(s) may elect to picket some projects and not others. 

Question: If there is a strike, do I have to close my project(s)?

Answer: No, while you may close a project site, you are not required to do so. If there is a strike by one or more trades, the GBCA is encouraging all projects that can safely open, to do so. We are further recommending separate gates for those trades that are not on strike.  On our website, we have sign language to set-up a Reserve Gate System.  Under a Reserve Gate System, the picketing union or unions are required to limit picketing to the Primary Gate.  While the contractors/subcontractors who employ picketing trades must use the Primary Gate under the Reserve Gate System, it is advisable to require all contractors/subcontractors who employ striking trades to use the Primary Gate regardless of whether or not that trade is actually picketing your project site.  Without a Reserve Gate System in place, the striking trades may picket all entrances to the project and the non-striking trades may, but are not required to, honor the picket line and refuse to enter the project.  If you need assistance setting-up Reserve Gates, please call the GBCA.   

Question: What should I do if picketers are preventing people from entering or exiting the project site or are engaging in violence or property destruction at the project site?

Answer: Record the number of picketers, the union of the picketers, exactly what they are doing when people attempt to enter or exit the site, and the wording on the picketers’ signs.  If you have a camera or video-cameras, take pictures.  Please promptly provide this information along with project site information to the GBCA Labor Policy Committee.  You may also want to contact your own attorney about obtaining an injunction or taking other legal action(s). If the picketers are engaging in violence or destruction of property, you may also want to notify the police.

Question: What should I do if picketers are at the Neutral Gate?

Answer: Record the number of picketers, the union of the picketers, exactly what they are doing, and the wording on the picketers’ signs.  If you have a camera or video-cameras, take pictures.  You may want to remind the picketers about the Reserve Gate signs and inquire as to why they are picketing the Neutral Gate.  Please promptly provide this information along with project site information to the GBCA Labor Policy Committee.  You may also want to contact your own attorney about filing an Unfair Labor Practice Charge with the National Labor Relations Board or taking other legal action(s).

Question: If a strike delays the project, will I be penalized by the owner?

Answer: The answer depends on the wording in your contract.  You should consult your own attorney about how a labor strike affects your contract with the Owner.

Question: If a strike delays the project, can I penalize a subcontractor who is unable to supply manpower because of the strike or because its employees refuse to cross the picket line?

Answer: The answer depends on the wording in your subcontract.  You should consult your own attorney about how a labor strike affects your contract with the subcontractor.

Question: Will a subcontractor (non-member/independent) who signs retroactively be able to work on my project?

Answer: At this time, provided the striking union is willing to provide the independent subcontractor with manpower, the independent subcontractor may work on your project site.  However, unless you are sure that the independent subcontractor can use the Neutral Gate, you should require the independent subcontractor to enter and exit the project site through the Primary Gate. Moreover, if there is a strike, the GBCA asks all signatory contractors who have subcontractors who have signed retroactive not to permit them to work on your project(s). Please remind those subcontractors, who have signed retroactive, that our bargaining teams are working to protect their interest also.  Allowing independent subcontractors to work on your project(s) during a strike erodes the bargaining position of the GBCA and ultimately hurts you and the industry.

Question: Can superintendents work during a strike?

Answer: Yes, the bargaining unit consists of foremen, journeypersons, and apprentices — not superintendents.  Unless you have an entered into a separate agreement with a striking union which includes superintendents, superintendents may work and may cross the picket line.    

Question: Can subcontractors who have an international agreement use members of a striking trade to continue to work

Answer: Yes, provided the local union is willing to supply the manpower or provided the manpower is coming from a non-striking union. 

Question: May I hire non-union subcontractors or non-union tradesmen to perform work on the project during the strike

Answer: If there is a strike, you may hire non-union tradesmen to perform work on the project during the strike which would otherwise be performed by a striking union and if such is permitted by your contract and/or subcontract, you may hire non-union subcontractors to perform work of a striking trade during the strike.  However, the non-union tradesmen and the non-union subcontractors must enter and exit through the Primary Gate if the striking union is picketing your project. 

Question: If I am a subcontractor, what do I do if a union picket line is on the project site and my employees will not cross the picket line?

Answer: If your employees are not on strike, but will not cross the union picket line, ask the contractor to set-up a Reserve Gate System.    

Currently negotiations are underway with the Carpenters Negotiating Team, the Laborers Negotiating Team, and the Cement Masons Negotiating Team.

As of noon today, there have been no settlements with the GBCA/IFCA.

All teams are bargaining in good faith in this economic climate of reduced man-hours, limited prospects for bidding opportunities, and a dismal 2010 construction forecast.

To                    Active, Associate & Independent Contractors

From                Walter P. Palmer, 3rd President & CEO

Subject:            LABOR NEGOTIATIONS UPDATE 

At this time negotiations are ongoing, productive and progress is being made towards an agreement.  Although April 30th is still several days away and many outcomes are possible. It is vital that all GBCA Members and Independent Contractors are clear on the status of negotiations and the conduct as a member of the Bargaining Unit. 

 Still unresolved are the Carpenters, Cement Masons and Laborers, which contracts terminate April 30, 2009 and the Rodsetters, whose contract terminates on June 30, 2009. All of these teams are meeting and have dates set to meet throughout the week, with the exception to the Rodsetters which will commence negotiations at a later date. 

 The Labor Policy Committee discussed many scenarios as this deadline of April 30th approaches. If there is a work stoppage, by one or more trades, the GBCA is encouraging all projects that can safely open to do so. The GBCA is recommending separate gates so trades with agreements can continue to work while others continue to bargain. The Association is asking all signatory contractors who have sub contractors who have signed retroactive not to permit them to work on these projects. Remind those who have signed retroactive that our bargaining teams are working to protect their interest as well.  Failure of any signatory contractor not following these recommendations erodes the bargaining position of the GBCA and ultimately hurts future efforts in the industry.  Of course this is only if there is a work stoppage. 

 GBCA is prepared to speak to any owner, architect or contractor who is concerned about their job and its progress. Our decisions and agreements today have a long lasting affect on owner’s ability to build in the future. It is important that the industry works in concert for the most effective and efficient contracts in the industry. 

 Please continue to check back with Labor Link for updates on labor negotiations.

Forbes is reporting today that Chrysler’s Canadian and U.S. unions signalled that they were willing to pave the way to an agreement with Fiat. On Sunday, the Canadian Auto Workers union ratified a new collective agreement with Chrysler to allow layoffs and pay cuts by about C$19 (US $15.61) an hour, that would save the automaker about $198.0 million annually, the union said. It also includes the elimination of a third shift at a plant in Ontario, Canada. 

Chrysler, which has 8,000 unionized workers in Canada, is under immense pressure to secure a partnership with Fiat after the Obama administration threatened to suspend federal aid for Chrysler unless it secured a deal with the Italian carmaker. Separately, the United Auto Workers union announced that it had also reached a tentative agreement with Chrysler, Fiat and the U.S. government on further concessions on a contract and a healthcare trust agreed with the automaker in 2007.

On Friday the Philadelphia Business Journal reported that Pennsylvania’s unemployment rate rose to 7.8 % from 7.5 % in March, according to seasonally adjusted regional and state unemployment rates.

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On April 15, a successful meeting was held with the Cement Masons.

Additional meetings are in the process of being scheduled.

Fiat SpA’s chief executive, facing a two-week deadline to work out a partnership with Chrysler LLC, warned the troubled U.S. carmaker’s unions he would ditch the idea unless they agreed to cut labor costs, according to Reuters. 

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