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Health Care, Jobs on the Line at Lucent

Supported by newspaper advertising, mobilization activities around the country and a strike vote, CWA leaders were bargaining furiously trying to reach an agreement with Lucent Technologies as the CWA News went to press.

The Oct. 31 contract expiration had been extended to Nov. 7.

The parties were still far apart on health care for both active and retired workers, as well as outsourcing of jobs and other issues.

Communications and Technologies Vice President Ralph Maly warned that "while nobody wants to strike, our members have given us the authorization by a vote of more than 90 percent, sending a clear message to the company that they need to bargain seriously with CWA. Our resolve is strong. Our strike fund is healthy. Our members are ready to do whatever it takes to reach an agreement they deserve."

The company's attacks on health care for both active and retired workers took center stage as CWA and IBEW joint bargaining with Lucent opened Oct. 7 in Washington, D.C., and as CWA Executive Vice President Larry Cohen and a local officer addressed a throng assembled outside the Cleveland headquarters of SBC - a Lucent customer - for Health Care Action Week.

Communications and Technologies locals held numerous rallies around the country Oct. 7, and have held several since, sending a clear message that Lucent has taken good care of its executives while abandoning the people who built the company.

During the last two weeks before the contract expired, CWA ran ads in the New York Times, Washington Post, USA Today and Wall Street Journal.

"Want proof that outsourcing jobs overseas and laying off skilled American workers isn't necessarily good for business?" asked one. "Lucent has eliminated 97,000 U.S. employees in the past five years. Skilled American high-tech workers are losing their jobs to India, China and other foreign countries. Families and communities are suffering."

Meanwhile, it points out, "Last year, Lucent's CEO got a salary and bonus package of $4.4 million, plus stock options worth another $2.1 million - all from a company that's become a poster child for bad management and poor performance."

"How does Lucent show gratitude to retirees?" the other ad asks. "It doesn't."

The ad points out that "72,000 retired Lucent workers face massive increases in health care costs. Families living on fixed pensions that average $950 a month could be hit with monthly health care premiums as high as $700. That's 74 percent of a family's income - gone. And a broken promise."

Maly characterized Lucent's proposal "as far worse than what they proposed at early bargaining in June" when talks broke off over retiree health care. Maly said Lucent, historically and again in 2003, agreed to bargain with CWA over retiree health care as part of a contract extension between the parties.

In opening remarks, CWA Representa-tive Mary Jo Sherman accused management of running a company and its employees into the ground. "'Lucent Technologies - we make things that make communications work.' Except they don't anymore. Lucent's bad business decisions and ever changing strategies, despite what the company says, has left Lucent without its core competencies.

"Factories have been sold, businesses spun off, and manufacturing outsourced - expanding services while shedding its historically value-based installers. Our occupational workforce has been forced to move from one side of the country to another or quit a company they have dedicated years of their lives to. Thousands of people have been laid off or forced into early retirement," she said.

"CWA and IBEW come in unity," Sherman concluded. "We come united in common goals of job security, a fair and equitable contract and protections for retiree health care. Without these, your future and ours is at stake."

Also on Oct. 7, in Cleveland, Local 4390 President Art Wiskoff, also president of CWA's Lucent Installation Council, addressed a crowd of 300, including Jobs with Justice activists and CWA Vice President Jeff Rechenbach, who brought a large contingent from the District 4 meeting.

Wiskoff said he expected CEO Pat Russo's compensation would improve further "through attempting to take chemotherapy treatments away from retirees during talks with the union, through taking away all health care from retirees down the road, through shifting as much health care cost as possible onto the active employees' backs.

"We built this company and we will not go gentle into the night," he vowed.

Cohen challenged Lucent and all CWA employers to "join with us in working for real health care reform in the USA."

"Our country is spending 14 percent of gross domestic product on health care, twice the average of all other democracies, yet 45 million Americans have no health insurance," he pointed out. "If management would work with us, we could move health care costs from the balance sheet to the public treasury and improve health care quality and access. Yet employers like Lucent are reluctant to join broad-based health care coalitions, preferring to leave reform to others while increasing the health care burden on our members.

"Our answer is simple," Cohen said. "Join with us for health care reform or admit that your demands for health care cost-shifting are just another example of American management leading the race to the bottom."

Locals across the country have held demonstrations at locations of Lucent customers since bargaining began. For example, President Sal Sanseverino of Local 1190 in New York City amassed a sea of red shirts outside of Verizon's offices, and hand billed outside the New York Stock Exchange. Members of the CWA Retired Members' Council have joined demonstrations across the country in support.

CWA Locals 1060, 1061 and 1062 staged a protest outside Lucent headquarters while CEO Pat Russo held an all employee meeting to announce Lucent's year end results and management compensation. The locals have also been hand billing Lucent customers in the New Jersey area.

On Oct. 21, CWA Locals 4310, 4320, 4340, 4390, IBEW Local 2020 and Lucent retirees staged a rally in Columbus, Ohio, and passed out fliers at a nearby rally where Senator John Kerry was speaking. Retired Senator John Glenn (D-Ohio) visited with them in a display of solidarity.

Locals 1365 and 1366, whose members work side by side at Lucent's North Andover, Mass., facility held three rallies in the three weeks leading up to the contract deadline.

CWA members in Washington, D.C., protested the attack on retirees in front of a Verizon facility. Local 2390 President Jon Nairns told a local union publication Lucent's demands, "would virtually wipe out their pensions."

Bargaining was briefly interrupted Oct. 26 when local leaders and members from across the country arrived outside the room where negotiations were taking place chanting, "We Want A Contract. We Want It Now."

The bargaining team for CWA also includes CWA Representatives Gerald Souder, Martha Flagge, Local 1062 President Brian Reilly, Local 1366 President Marcie Vincent, Local 3790 President Tom Bruhn, Local 4090 President Mike Klein, and Local 7790 President Chuck Mitchell. Pete Vukovich, Local 4390 has also assisted in the area of health care, wellness and child care.