Jun 24, 2009 6:29 am US/Eastern
Boston Globe, Union Reach Tentative Deal
BOSTON (WBZ) ―
The Boston Globe and its largest union have reached a tentative agreement that will save the newspaper $10 million through salary and benefit cuts.
The Globe and the Boston Newspaper Guild issued separate e-mail statements late Tuesday announcing the deal. A vote before Guild membership — made up of 700 editorial, advertising and business employees — is scheduled for July 20.
The agreement features a lower pay cut than an earlier contract that was narrowly rejected by the union, but maintains some of the other main points.
- 5.94% pay cut
- Elimination of lifetime job guarantees
- Pension plan freeze
- Other benefit cuts
The 23 percent wage cut will remain in place until the Guild vote. In the meantime, employees will receive a lump sum payment to partially compensate for wages lost.
"Our aim throughout our negotiations has been to achieve the necessary savings in a way that causes the least hardship for our employees," Globe Publisher Steve Ainsley said. "We're very pleased to have reached an agreement that accomplishes those goals."
Further details would be made available Wednesday during a Guild meeting, union President Dan Totten said.
Two weeks ago, Guild membership narrowly rejected a contract that called for an 8.3 percent wage cut, unpaid furloughs, benefit cuts and the elimination of lifetime job guarantees for nearly 200 staffers. The New York Times Co. then imposed the 23 percent pay cut, saying it was necessary to keep the Globe from being shuttered.
Unlike that previous contract offer, union leadership has agreed to recommend its members vote in favor of the new agreement.
The Times Co. has said it needed $10 million in wage and benefit concessions from the Guild on top of $10 million in concessions it negotiated with six other unions.
(© 2009 CBS Broadcasting Inc. All Rights Reserved. This material may not be published, broadcast, rewritten, or redistributed. The Associated Press contributed to this report.)
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