Jul 2, 2008 11:35 am US/Eastern
Union Reaches Tentative Deal With Con Ed
NEW YORK (AP) ―
Consolidated Edison and a union representing nearly 9,000 of the utility's workers reached a tentative agreement Wednesday that averted a potential strike during the peak of summer when the threat of blackouts looms large.
The deal followed contract talks that the spokesman for the union described as "extremely contentious." Joe Flaherty, a spokesman for Local 1-2 of the Utility Workers of America, said the two sides bargained late into the night over a range of issues, including wages, safety and health care.
One of the major sticking points for the union—Con Edison's proposal to switch from traditional pensions to a 401(K)-style plan for new employees—was scrapped by the utility at the last minute, Flaherty said.
"I think they fully understood that this union and its members would not stand for a change in their long traditional pension," Flaherty said. The union represents about two-thirds of the private utility's 14,000 employees.
Con Edison said Wednesday that it had no immediate comment on the deal.
The union had set an 11:59 p.m. deadline for a possible walkout. Negotiations resumed Tuesday morning in Manhattan after they were suspended over the weekend when Gov. David Paterson intervened and suggested both sides take a cooling-off period.
Paterson was concerned about the potential impact a strike would have on customers during hot weather, when air conditioners can put a burden on the grid.
Most of the union's workers maintain the utility's gas, electric and steam delivery systems for some 3 million customers in most of New York City and Westchester County. Con Edison came under intense criticism following a blackout in Queens two years ago that left tens of thousands of people without power during the summer.
The two sides didn't agree on what effect a strike could have had, with Flaherty arguing that a walkout would be "catastrophic," particularly for elderly and disabled customers. Con Edison, however, had insisted it could keep the power system running smoothly during a strike.
The utility had repeatedly pointed out that about half of its managers rose through its ranks and would respond to any emergencies if workers struck. However, non-emergency repairs and meter reading could be delayed, the utility had said.
In 1983, a strike by the union lasted more than two months. During that strike, a 20-block area including the garment district went dark for days after a water main break started an electrical fire in a substation. The blackout forced hundreds of offices and stores to close, with well-known department stores Gimbels and Macy's resorting to emergency generators.
(© 2008 The Associated Press. All Rights Reserved. This material may not be published, broadcast, rewritten, or redistributed.)
WCBSTV.com's Most Popular Pages
