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Your Voice, Your Choice
OPEIU Local 39
June 2016
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What's Happening at CUNA Mutual?!
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On June 15th, CUNA Mutual's CEO Bob Trunzo announced the need for dramatic expense reduction in order to "stay competitive." We don't know what changes management are going to make to reduce expenses so dramatically, but he specifically mentioned that "our greatest expense is ... our employees."
What does this mean for our Union members? More below.
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At the all staff forum given at CUNA Mutual group on June 15th, CEO and President Bob Trunzo spent several minutes describing all of the great work being done at the company and the ways in which that work is translating into firsts for the industry and great gains for CUNA Mutual. He took the time to single out the expansion of paid parental leave (although he failed to mention that it was a benefit won by the Union during negotiations that was expanded to non-represented only after the fact). We are profitable, we are growing, we are market leaders. He assured us that we are not in any financial trouble and management is not seeking to either sell the Company or de-mutualize.
But then he told us that despite having two record years of income "all of this is going to fall flat flat flat if we don't change our current expense structure." He told us that a study done by a "reputable company" claims that we "are expensive to operate by a lot" and gave a number of "$250 to $275 million" higher than we "should" be.
Most troubling, he took the time to single out that "our greatest expense is our greatest asset, and that's our employees" finishing with "CUNA Mutual Group is going to have fewer employees." He promises that "we're going to make decisions carefully" and "we're going to do our best to create certainty for you."
For many of us, this is not the first time we've heard that the Company has to make drastic changes immediately, however it is the only time I can remember when we heard that while the company is profitable and the economy growing. Trunzo made no mention of the fact that many departments are already understaffed for the amount of work being done, including all of the rework that needs to be done because of the reliance on off-shore and other contracted work, or how we are to keep standards up despite chronic short staffing. Neither did he point out
that Union workers are more efficient.
His speech was direct even as it lacked specifics. It may very well be that they have made the decision to change but are still working on the details. Trunzo promised transparency. Let's hold him to that promise. Until then, even though the uncertainty is scary, let's try to limit speculation and stick to the facts that we have.
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CUNA Mutual Resets. Again.
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Based on CEO Trunzo's statement that "CUNA Mutual will have fewer employees" we want to remind everyone about the rights they have in the contract regarding layoffs. The relevant parts are found in Section XX and Exhibit L.
At this point, we do not know how many people or what areas are going to be affected. Trunzo also promised that not all of the expense reductions are going to be from the workforce. However, the decision to reduce the workforce is a core managerial decision, and the employer need not bargain over the decision itself. However, the implementation of the decision will impact employees’ wages, hours and other terms and conditions of employment and must be bargained.
In the coming weeks and months Union leadership will be meeting with the Company to learn as much as we can regarding the Company's expense reductions. As we learn more, we will pass this information on to our Members.
Below you'll find information on severance and the bumping process for CUNA Mutual Group:
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- Employee given 4 weeks to decide on whether to bump, sever, or go on recall.
- May bump least senior employee in same business unit. Must meet qualifications.
- Least senior in same job title laid off first.
- May volunteer to be laid off if in same job title.
- May bump a temporary if meet qualifications, will maintain all contractual benefits. Once temporary assignment is over, will be severed.
- Severance = 2 weeks for every year of service. Minimum 8 weeks – Maximum 52 weeks.
- Recall up to 2 years.
If you have questions, comments, or suggestions for the Union to bring to the Company, contact a Steward or leave them on the Facebook page.
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We do not have any information that any of our other Bargaining Units are facing similar issues. However, in case you were wondering how your severance/bumping plan compares:
CUNA, Inc.
- Employee given two weeks to decide on whether to bump, sever, or go on recall.
- Bumping based on Seniority and qualifications.
- Severance = 1 week for every year of service. Minimum 4 weeks – Maximum 26 weeks.
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WOCCU
- Union receives month's notice, given opportunity to discuss alternatives.
- May bump least senior if meet qualifications.
- May bump a temporary if meet qualifications, will maintain all contractual benefits. Once temporary assignment is over, will be severed.
- Severance = 1 week for every year of service. Minimum 4 weeks – Maximum 20 weeks.
MGE
- Meet with Union 10 days prior to layoff.
- Ask for volunteers with in same department.
- Least Senior in department by classification laid off first.
- Severance = 2 weeks + 1 week for each year of service, maximum of 37.5 weeks.
For our smallest Units, there may not be specific language in the contract regarding layoffs. If you have questions, consult your contract or call the Union office.
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Upcoming Membership Meetings
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Membership meetings are held the third Wednesday of the second month of the quarter, at 5:30 PM in the Union Office.
August 17th, 2016
November 16, 2016
February 15th, 2017
May 18th, 2017
This is
your Union. Your participation gives us the strength to face the continued opposition of both companies and politicians.
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Know Your Weingarten Rights!
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The US Supreme Court has ruled that the National Labor Relations Act gives workers the right to request union representation during investigatory interviews by supervisors, security personal, and other managerial staff. These are called Weingarten Rights.
An investigatory interview occurs if 1) management questions you to obtain information; and 2) you have reasonable apprehension that your answers could be used as a basis for discipline or other adverse action.
You must ask for union representation either before or during an investigatory interview. Management does not have to remind you of this right. If your request is refused and Management continues asking questions, you may refuse to answer. Your employer is guilty of an unfair labor practice and charges may be filed. If you are questioned in a situation where Weingarten may apply, read or present this statement:
"If this discussion could in any way lead to my being disciplined or terminated, or affect my personal working conditions, I respectfully request that my union representative, officer, or steward be present at this meeting. Until my representative arrives, I choose not to participate in this discussion."
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Local 39 Union Offices
701 Watson Ave
Ste 102
Madison WI 53713
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