GE Locals Back Strike Over Health Care Increases

Officers of IUE-CWA locals representing workers at General Electric Co. have unanimously voted to strike if GE goes forward with its announced increases in health care costs for workers and retirees. It would be the first national strike at GE in three decades.

The increased premium and hospital visit costs would take effect Jan. 1 in GE’s managed care plan, Health Care Preferred. In a series of meetings with GE management, IUE-CWA negotiated some reductions in the planned cost hikes, but the company has indicated there will be further cost-shifting during 2003 bargaining.

“The events of next year are in GE’s hands,” IUE-CWA President Edward Fire said. He pointed to GE’s profits for 2002, approaching a record $16 billion, as evidence that GE can afford to maintain current levels of health care coverage for active and retired workers.

“We have asked GE to cancel the increases, and we are prepared to discuss all the issues, including health care costs, in national negotiations next May. But if GE provokes a strike, we will respond,” he said.

The increases would begin about six months before the June expiration of the national contract. Health care costs will be a major subject of bargaining, which begins in May. GE has indicated that it will demand even more cost-shifting from workers then, as much as 15 percent.

“We have to let the company know, forcefully, that our active and retired members expect and deserve affordable health care,” said Art Smith, chairman of the IUE-CWA GE Conference Board.

IUE-CWA represents 50,000 active and retired members at GE.