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Local 14177 and New Era: 'Champions@Work'
In a complete turnaround after a bitter, 11-month strike that hurt both the company and its workers, CWA Local 14177 and the New Era Cap Co. were honored Nov. 14 by Cornell University's School of Industrial and Labor Relations with its Champions@Work award, "a tribute to high-road partnerships for quality jobs and quality products in Western New York."
New Era, headquartered in Derby, N.Y., is the manufacturer of the caps worn on the field by all the teams of Major League Baseball. The company also makes caps for the National Basketball Association, the National Hockey League, and numerous college, high school and youth teams.
Founded by Ehrhardt Koch in 1920 and still owned by the Koch family, New Era provides employment to about 400 families in Western New York.
The strike began July 16, 2001 when New Era, citing competition from American companies producing hats in low-wage countries like China and Bangladesh, demanded draconian wage cuts from its workers.
During the long strike, the company suffered severe damage to its reputation, lost much of its college business and risked losing its licensing contract with Baseball.
In June 2002 the union and company settled on a four-year contract to end the strike and began to repair labor-management relations and to rebuild New Era's image.
Since then, they have built a positive and cooperative relationship based on family pride, open communication and joint labor-management service projects in the community, local leaders say. For example, Local 14177 Stewards Bev Page and Caryn Naphakdy headed a program to provide cash, food and presents to a family last Christmas. Working with management, they are adopting three local families for the holidays this year.
This newfound cooperation, said local President Jane Howald, has resulted in increased productivity. With CWA's help, New Era has reestablished itself as a member of the Fair Labor Association, subscribing to international standards of fair working conditions and compensation and respect for collective bargaining rights worldwide. It has won back its college business, tripled its volume of production and sales and expanded into European and Asian markets.
The company in 2004 closed an old, less-productive facility in downtown Buffalo, where workers were represented by an independent union, and brought about 100 workers from that plant to Derby. They are now CWA members. Today the local represents 336 New Era workers.
New Era plans to move its corporate offices from Derby to Buffalo in 2006, allowing for expansion of the Derby plant, and is again hiring from the local community. CWA and New Era are now in early negotiations, many months before contract expiration, and are discussing a possible five-year pact.
Said Dave Palmer, CWA Upstate New York/New England area director, who nominated company and union for the award, "What has happened over the last two-and-a-half years is nothing less than remarkable."
"The nitty gritty work of building a global economy takes place at the local level," said Reggie Grogan, of Cornell's ILR, host for the evening's award presentation program.
Co-presenting with Al Rudy, assistant to CWA Printing Sector President Bill Boarman, Lou Jean Fleron, director of economic development for ILR, cited the "Champions" as a model of high-road employment and productivity in the region and pointed out that, "The fight for justice and the fight for common ground can go hand in hand."
Rudy singled out Local 14177's president and vice president for outstanding leadership. "Jane Howald and Kathy Ketterer helped steer this local during difficult times," Rudy said. "By the same token, Jane and Kathy deserve a lot of credit in creating the harmonious relationship that both sides enjoy today."
District 1 Vice President Chris Shelton congratulated Howald and New Era CEO Chris Koch, calling both "real champions."
Replied Howald, "The real champions are our members who make the finest damn caps in the world."
New Era, headquartered in Derby, N.Y., is the manufacturer of the caps worn on the field by all the teams of Major League Baseball. The company also makes caps for the National Basketball Association, the National Hockey League, and numerous college, high school and youth teams.
Founded by Ehrhardt Koch in 1920 and still owned by the Koch family, New Era provides employment to about 400 families in Western New York.
The strike began July 16, 2001 when New Era, citing competition from American companies producing hats in low-wage countries like China and Bangladesh, demanded draconian wage cuts from its workers.
During the long strike, the company suffered severe damage to its reputation, lost much of its college business and risked losing its licensing contract with Baseball.
In June 2002 the union and company settled on a four-year contract to end the strike and began to repair labor-management relations and to rebuild New Era's image.
Since then, they have built a positive and cooperative relationship based on family pride, open communication and joint labor-management service projects in the community, local leaders say. For example, Local 14177 Stewards Bev Page and Caryn Naphakdy headed a program to provide cash, food and presents to a family last Christmas. Working with management, they are adopting three local families for the holidays this year.
This newfound cooperation, said local President Jane Howald, has resulted in increased productivity. With CWA's help, New Era has reestablished itself as a member of the Fair Labor Association, subscribing to international standards of fair working conditions and compensation and respect for collective bargaining rights worldwide. It has won back its college business, tripled its volume of production and sales and expanded into European and Asian markets.
The company in 2004 closed an old, less-productive facility in downtown Buffalo, where workers were represented by an independent union, and brought about 100 workers from that plant to Derby. They are now CWA members. Today the local represents 336 New Era workers.
New Era plans to move its corporate offices from Derby to Buffalo in 2006, allowing for expansion of the Derby plant, and is again hiring from the local community. CWA and New Era are now in early negotiations, many months before contract expiration, and are discussing a possible five-year pact.
Said Dave Palmer, CWA Upstate New York/New England area director, who nominated company and union for the award, "What has happened over the last two-and-a-half years is nothing less than remarkable."
"The nitty gritty work of building a global economy takes place at the local level," said Reggie Grogan, of Cornell's ILR, host for the evening's award presentation program.
Co-presenting with Al Rudy, assistant to CWA Printing Sector President Bill Boarman, Lou Jean Fleron, director of economic development for ILR, cited the "Champions" as a model of high-road employment and productivity in the region and pointed out that, "The fight for justice and the fight for common ground can go hand in hand."
Rudy singled out Local 14177's president and vice president for outstanding leadership. "Jane Howald and Kathy Ketterer helped steer this local during difficult times," Rudy said. "By the same token, Jane and Kathy deserve a lot of credit in creating the harmonious relationship that both sides enjoy today."
District 1 Vice President Chris Shelton congratulated Howald and New Era CEO Chris Koch, calling both "real champions."
Replied Howald, "The real champions are our members who make the finest damn caps in the world."