A union that represents Train and Engine Service Employees on the Union Pacific Railroad Southern Region Rail Conference International Brotherhood of Teamsters

Monday, January 29, 2007

FW: January 1, 2007 COLA/H&W Cost Sharing

From: Gil Gore [mailto:thegores1@cox.net]
Sent: Monday, January 29, 2007 7:29 PM
To: All Local Chairmen, BLET UP Southern Region
Subject: FW: January 1, 2007 COLA/H&W Cost Sharing

Brothers,

Below is a communication from the Chairman of the Western General Chairmen’s Association regarding the January 1, 2007 increase in health care premiums which is self explanatory.  I have not received any notice from the National Division regarding this matter, but inquiries have been made and you will be provided with the response when it is received.

I have attached the pertinent language from the 2003 BLET National Agreement regarding increases in these payments (Click Here to view in PDF) along with a NRL Circular Letter outlining the increase in payments to each Organization provided by Brother Pierce (Click Here to view in PDF).  I apologize for not providing this information sooner, but I was not provided copies this information until 6:45 pm this evening.  Unless the math is incorrect, our contribution has been increased to $146.62 per month.  Members covered under the UTU H&W plan for the year 2007 will be paying $148.98 per month.  Your H&W enrollment status for 2007 is based on your working craft in September of 2006. 

As noted by Brother Pierce below, we have requested that the ND confirm the math on the increase and will provide you with the results of that inquiry as soon as possible.

If you have any questions, please feel free to contact me.

Fraternally,

Gil  Gore

Organization

2000 Round Agreement Reference

Monthly Contribution

BLET

Article IV, Part B, Sect. 1(b)

$146.62

UTU

Article IV, Part B, Sect. 1 (f) of the 11-06-2003 Sup Agreement

$148.98

UTU Yardmasters

 

$146.46

TCU Clerks

 

$137.70

TCU Carmen

 

$137.95

BRS

 

$100.00

IAM

 

$122.39

IBB

 

$137.65

IBEW

 

$146.97

NCFO

 

$146.52

SMW

 

$146.52

From: Dennis Pierce [mailto:drpierce@blet-bnsfmrl.org]
Sent: Monday, January 29, 2007 6:45 PM
Subject: January 1, 2007 COLA/H&W Cost Sharing

To:  All Local Chairmen, BNSF Northlines

cc:  Western General Chairmen's Association, Don Hahs, Dennis Simmerman, Steve Speagle, Tony Smith, Tom Roberts

Brothers,

This is in reference to the many questions that we are currently fielding on the recent increase in the monthly employee cost sharing of Health and Welfare premiums.  Yes, there was an increase on January 1, 2007.  I am attaching a pdf copy of a November 2006 NRLC break down by Union showing the new monthly contributions.

I will also pass on what we have been able to piece together today in discussing this with BNSF.  Article IV-Health and Welfare, Part B, Section 1, (h) of the 2003 BLET National Agreement allows the Carrier to raise the employee's monthly H&W contribution on January 1, 2007 up to 1/2 of the value of the monthly premium increase, but not to exceed 1/2 of the monthly value of the corresponding COLA.  While I am not sure of the exact amount of the monthly premium increase, we are being told that is was $98.00 and some change.  Accordingly, and per the Agreement, up to one half of that $98.00, or $49.00 per month, could have been pushed to the employee so long as it did not exceed 1/2 of the monthly value of the January 1, 2007 COLA increase.

While we haven't received anything from the ND to confirm this math, we are being told by BNSF that the NRLC calculated the monthly COLA value as follows.  The NRLC used an average yearly hours figure of 2876 hours/per employee/per year to start the calculations.  That was divided by 12 to get average monthly hours of 239.66.   The January 1, 2007 COLA was 15 cents per hour, half of the COLA value is 7.5 cents per hour.  239.66 hours times one half the hourly COLA of .075 equals a maximum increase of $17.98 with rounding.  That increase results in the new monthly BLET rate for those in the National H&W plan of  $146.62.

We are copying the National Division so they can let us know if we have properly explained the Carrier's math, and more importantly, if the Carrier has properly applied the math that the agreement describes.  We are not sure if the average monthly hours used by the NRLC of 2876 per year or 239.66 per month is consistent with previous average calculations, if it is we as a collective craft are working an average of 30-8 hour days per month on a National Basis.

We will also send this update hard copy and will also forward any additional information that we receive. 

Fraternally,

Dennis Pierce

General Chairman