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In a confrontation highlighting the problems around the world which have given rise to what is being called the Occupy Wall St. Movement, three Utility Workers locals have made common cause with other unions, consumers and Occupy LA to fight their employer, SoCal Gas, which is owned by Sempra.
On one side of the ledger, the company just announced third quarter earnings of $1.1 billion which put its 2011 profits on target for a new record, already in the first nine months surpassing earnings in both 2010 and 2008 and barely below the previous record of $1.2 billion in 2009. The top executives aren’t suffering too much either: five of them received a total of $91 million over three years, and the CEO retirement package is worth $36 million.
On the other side of the ledger, while being fed a steady diet of takeaways at the bargaining table for a contract that expired on September 30, workers have voted overwhelmingly to reject the company’s latest package offer. Art Frias, president of Local 132 and chair of the joint bargaining committee, was not surprised by the result: “Our members know how much this company is making, and it is our work which is the biggest contributor to those profits. They want to thank us with takeaways and consumers with cuts in service. Like the rest of the 99%, we’ve had enough of getting poorer while these cats get fatter!”
Takeaways on the table include trying to impose a two tier pension plan with the introduction of a cash balance plan, drastic cuts to post-retirement medical, and a host of changes aimed at undermining the ability of the Union to communicate with its members: making it more difficult for union officials to get access to company property to talk to members, putting limits on what can be communicated to members, and making it more dangerous for members to do union work. To add insult to injury, the company is offering 0% in 2011 and 2.25% in 2012 despite a Los Angeles inflation rate of 3.5%. The Union has taken it upon itself to make sure that the interests of consumers are properly represented at the California Public Utilities Commission, intervening in the company’s rate case, shining light on how they have drastically reduced service over the years to a point where customer safety is at risk. In addition, the Union will be supporting other parties to the case who are objecting to the way SoCal Gas is spending its money, including the huge amount that is going to management bonuses, and the purchase of useless equipment and technology.
The Union is also joining forces with the IBEW fighting the export of green jobs to Mexico by Sempra for power that will be imported back into the United States. Those jobs are being stolen from Imperial County, CA, the county with the highest unemployment rate in the nation, 27%.
UWUA President Mike Langford has been watching utility bargaining trends across the country: “Some of these utilities think they can take the opportunity to gouge our members when unemployment is high and millions are losing their homes. They are going to find out that Utility Workers are made of stronger stuff. We will not be bullied and blackmailed by rich corporations that are dripping with cash, taking from consumers and workers alike. They have no interest in being a good corporate citizen. Our members in California should know that we in the National Union are watching this fight closely and will give our locals whatever support is necessary to win.”

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