CLEVELAND, September 17 -- Despite the self-serving fanfare surrounding the UTU's decision to proceed with plans to provide a so-called "Blue Cross Option," the move has ominous implications for all railroad workers, including UTU members.
The agreement between the UTU and the National Carriers' Conference Committee (NCCC) will bring about the end of the UTU's participation on Class 1 railroads in the national plan that is overseen by the carriers and the Cooperating Rail Labor Organizations (CRLO). In order for UTU to retain the current coverage features that still will be enjoyed by the remainder of Rail Labor, the NCCC and UTU must create a separate, parallel plan that includes components comparable to those contained in the national plan.
BLE International President Ed Dubroski terms the UTU's move a betrayal of American railroad workers. "Rail Labor has bargained collectively for decades to secure its members a level of health and welfare benefits that are among the best in the world.
"Once again, the UTU leadership has turned its back on the other unions by cutting a separate deal while we were precluded by a contractual moratorium from serving a Section 6 notice to discuss the issue. In other words, the carriers chose the union they wanted to target with this 'offer' and froze the rest of us out of the process," he said.
The deal appears to be an attempt by the carriers to force BLE members and other railroad workers out of the traditional health insurance plans and into "cheaper" alternatives. For example, the Blue Cross/Blue Shield option will not have the primary care physician requirement, which makes it very attractive.
However, the carriers and the UTU did not agree to introduce this same reform into the managed care option of those portions of their plan that parallel the NCCC-CRLO plan. Thus, the effect will be to attract people who are in the United Health Care or Aetna managed care plans to switch from those to the "Blues."
There are two other problems with the separate UTU plan. Day-to-day administration of the "Blues" option will be performed by the independent Blue Cross/Blue Shield organizations in the various states, with no assurance that customers will receive consistent service.
Even more troubling is the fact that the insurance industry notoriously "low balls" premiums in order to gain contracts. Later, when an experience rating for the group is developed, premiums often skyrocket. Further, when a policy is awarded to a different insurer, outstanding claims made against the original insurer could be at risk for prompt payment, because that company is no longer receiving premiums.
"By acting once again on its own, and ignoring the interests of others, the UTU leadership has done something that threatens the future stability of the national health and welfare plan for all of us," Dubroski said. "We expect to have a difficult time fixing the mess they have created."
Dear President Little:
The first draft of this letter began by congratulating you on your re-election as UTU President. It went on inform you that -- in my report to the Officers and members in attendance at our recent Southwestern and Eastern Regional Meetings -- I stated that I had planned to ask the UTU to work with us in addressing the post85 issue in the upcoming round of bargaining. However, after reading the news release entitled " 'War Chest' Being Raised to Battle BLE," published on the UTU's web site last Friday, the initial wave of anger I felt was quickly replaced by a feeling of thankfulness that I hadn't wasted very much time in putting together my first draft.
I learned a long time ago the futility of trying to persuade people of something about which their interest lies in not being persuaded. Your vow of a "fight-to-the-finish with the BLE" and your intention to wage "an 'A' card campaign" against us when your NMB action fails -- as it surely must -- only proves to me what I have suspected all along -- that the potential for either the destruction of one or both Organizations or a non-Union Class I railroad will not deter you from attempting to eliminate the Brotherhood of Locomotive Engineers and its leadership.
It is most unfortunate that you have chosen to use your electoral mandate to continue to pursue your destructive campaign, rather than explore how the UTU can overcome the stigma of your past actions, and be readmitted as an honored partner in the House of Labor. Be that as it may, there are a few other things in your news release that I am compelled to address before closing.
First, if my memory serves me correctly, the total number of Locomotive Engineers in the United States and Canada belonging to the UTU is less than half the number of Locomotive Engineers on the Union Pacific railroad, according to figures you provided last year. Second, in once again misrepresenting the financial position of the BLE, you talk about our "worst fears." I am deeply saddened that you cannot be swayed from a course that wastes precious resources the members of both Unions provide to represent them; however, I can assure you that I have no "fears" in repelling your latest attack. Third, it appears that fully one-third of your own Delegates reject your course of action, because they voted to deny you your "war chest." Perhaps that is something you should "fear," as you try to whip up enthusiasm for your kamikaze mission.
Disappointed but resolute,
Against the protests of Rail Labor and the AFL-CIO, the White House renominated Linda Morgan on August 5 for another five-year term as chair of the Surface Transportation Board.
Linda Morgan has diminished the quality of life of railroad workers by enforcing a "cram-down policy" that allows railroads to unilaterally break collective bargaining agreements.
All of rail labor stood united against Morgan with the exception the UTU. In spite of Morgan's anti-labor history, the UTU fully endorsed and supported her renomination.
"All rail unions except one opposed Linda Morgan," said BLE Vice-President & U.S. National Legislative Representative Leroy Jones. "The BLE was in step with the AFL-CIO all the way. All of rail labor opposed her renomination except the UTU."
In a July letter to President Clinton, Representative James L. Oberstar (D-MN) expressed serious concerns about Morgan's reappointment and questioned "her adherence to the values for which (the Clinton) Administration stands. Ms. Morgan has developed policies which strike at the heart of working people's rights to collective bargaining," he wrote.
"Apparently, the UTU endorses those same policies," said BLE President Edward Dubroski. "For some reason they supported the least labor-friendly candidate and the most carrier-friendly candidate."
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