Labor in Illinois

Week of June 25, 2007

UAW Accepts Cerberus’ Takeover of DaimlerChrysler

Cerberus, which finalized its partial purchase of the failing DaimlerChrysler, has committed to cutting no more than the 13,000 jobs already announced. They have also agreed to take over Chrysler’s health care, pension and retiree responsibilities. The United Auto Workers originally protested the sale but ultimately decided that they would “move forward with the new owner.” – Labor News (Indianapolis) (June 2007)

UPS and Freight Employers Moving out of Teamster Pension Plans

ABF Freight System has declared that breaking out of Teamster pension plans is their primary goal for next year’s negotiations. UPS has also suggested they would like to pull out of the Central States Pension Fund. According to the Teamster magazine Convoy Dispatch, breaking a pension plan invested in the union would severely undercut union leverage in negotiations. -- Convoy Dispatch (June 2007):1.

Chicago Tribune Lobbies to Privatize, Release itself from FCC Requirements

While Chicago financier Sam Zell lobbies the Capitol to help him in his petition to release Tribune newspapers and television affiliates form Federal Commerce Commission restrictions, a number of consumer advocacy groups lobby against him. The United Church of Christ, the Consumer Federation of America and the Teamsters, which represent about 2,000 company workers, have all strongly criticized the media consolidation. Zell seeks waivers against FCC regulation in Los Angeles, Chicago, New York, Fort Lauderdale, Fla., and Hartford, Conn. Illinois Senator Dick Durbin supports the consolidation. He explained, "I don't find any kind of monopoly power being pushed into the market, and I think most people in the market feel … that they're good sources of news." He met with Zell, Senate Majority Leader Harry Reid (D-Nev.), and Sen. Charles S. Schumer (D-N.Y.) in supporting the consolidation and a quick, affirmative FCC decision. – Newsday (14 June 2007)

Unions Contest Ameresco’s Contracts in Lake County and Indiana

Illinois’ power utility company Ameresco has won important contracts throughout Illinois and Indiana for demonstrating their energy efficiency. Jim Strayer of the Northwest Indiana Building and Construction Trades Council, however, contends that "Our members felt they weren't given the opportunity to bid on the work." He argues that the counties did not advertise contracts sufficiently. State law holds a loop hole that allows the a County Council to issue contracts without the approval of commissioners if they are for the sake of an “energy savings plan.” – Post Tribune (10 June 2007)

Tax Relief Offered to Companies Poorly Affected by Route 22 Construction

The project to widen Route 22 to four lanes between Route 83 and Milwaukee Avenue in Buffalo Grove, Long Grove and Lincolnshire was supposed to be completed by November of last year. However, Capitol Cement, the original government subcontractor hired by the Illinois Department of Transportation, left the job for another one. Business owners seek tax relief and the IDOT is considering offering incentives for early completion of projects rather than simply fines for delays. -- Daily Herald (26 June 2007)