Skip to main content

Strategic Industry Fund Distribution to Strengthen Our Union

Resolution: 73A-11-1
Adopted: July 12, 2011

These are challenging times for all unions. Our contracts and the fundamental right to collective bargaining are under attack across the country. At a time when we have more fights than ever, all unions are seeing significant membership losses as a result of job cuts. This is a unique moment in time for the labor movement, and it requires that we allocate our resources to the frontline struggles.

CWA has taken unprecedented action to reduce expenses in order to focus on supporting our frontline representation, as well as political and organizing campaigns. Over the past several years, CWA has reduced the number of employees by 161, including 76 who worked in CWA headquarters. Currently, more than 50 percent of CWA building space in Washington D.C. is leased to outside tenants, with continuing efforts to lease more space. In keeping with our “Ready for the Future” commitments and, with the support of local leaders, at this convention the C&T and Telecommunications offices will combine and Districts 2 and 13 will merge, thus reducing the number of Vice Presidents by two and providing for a projected future savings of $1 million a year.

In keeping with this same commitment to right size the CWA Executive Board and further reduce expenses, this Convention is considering a proposal to eliminate the Executive Vice President position at an additional projected savings of $500,000. CWA has negotiated an agreement with the Unions representing CWA employeess who recognized the economic strains of the times and agreed to a wage freeze as well as significant pension and health care changes. CWA withheld wage increases for Administrative Staff and elected Officers over the previous 18 months, who will forgo future wage increases. CWA will apply pension and health care changes consistent with the negotiated agreements.

Locals have made similar sacrifices and face the same strains. While this Strategic Industry Fund (SIF) Distribution is not a long-term solution, it is an important temporary measure which will allow CWA to maintain and build power under these difficult financial conditions and at the same time grow our Union and make it stronger both at the International and local union level. This action will provide CWA with some breathing space to fight the attacks on collective bargaining and develop longer-term solutions.

Resolved: Based on membership records for the 2011 CWA Convention, the International Union and Local Unions will each receive $20 per member payable from the Strategic Industry Fund for each CWA member paying one-quarter hour, or (.15 %) into the Members’ Relief Fund/Strategic Industry Fund allocation.

Resolved: Currently there are 305,461 CWA members participating in the Members’ Relief Fund. The income generated by the participants is approximately $22 million annually. The new SIF Distribution would generate approximately $6 million each for the International Union and Local Unions. The remaining estimated $10 million would be directed to continuing grassroots Strategic Industry Fund campaigns.

Resolved: The $20 per member distribution would be made once in the 2011/2012 fiscal year and again in the 2012/2013 fiscal year. Distributions would be made no later than January 1, 2012 and January 1, 2013.

Resolved: The CWA Executive Board will evaluate progress and will work with locals to bring longer-term options to the 2013 convention

Resolved: To that end, the Executive Board will present to 2012 Local Presidents' Meeting draft proposals to address the long-term financial and structural needs of our union and provide the opportunity to fully discuss and evaluate our options.