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FOR IMMEDIATE RELEASE

Putting the "U" back in Union!

How are "u", the member, doing in this Union?

May 22, 1999

IT'S TIME TO PUT "U" BACK IN THE "UTU".

Sometimes others say it better than we ever can, and there is one quote that will live well after we are gone, simply stated, "Are you better off today than you were four years ago?". It is a personal matter and it addresses "you", not how somebody else perceives your situation, but how "you" do.

Union, that's what we all belong to, not by choice, not by chance, but because of the work of our forefathers in an attempt to provide us with a safer work place. There was and is, strength in numbers, not strength in one person.

Unions were created to help each person, "you", hence the "u" in "union". They were created to bargain for each of "u". The union is here to work for "u", "u" are not here to work for the "union".

It was, and can be a grand plan, a way of life for the common good of "u", but unfortunately, it seems that something went wrong, and terribly so.

A personal question to each of "u", have things gotten better in the past four years? Should they have gotten better, probably so. The stock market is at an all time record high, corporate profits for all rail carriers are at record levels, the revenues that the rail companies make off the hard work of each of "u" is at an all time high, we have a Democratic President, everything is coming up roses? Right? Crew dispatching is better, payroll problems are non-existent, you have no problem laying off, the carrier's honor your agreements, you feel secure in your job, there is harmony and equality within the ranks, and lastly the rail carrier's treat each of "u" like human beings?

In traveling around the country, it is interesting to note that the rank and file seem to have lost interest and focus in the "union", and if the truth were known, the majority of members of this "union" would probably blame most of their problems on this "union". Is that a true belief? I don't believe the institution of the "union" is to blame, just the directions we have taken at the hands of our current President.

Love and hate are emotions at opposite ends of the spectrum, but believe it or not, they are probably the most closely associated emotions. Take the example of the dissolution of a marriage by divorce, here we have two people who at one time truly loved each other. But for a variety of reasons, possibly infidelity, possibly misuse of money, or whatever, they now hate each other. And the ensuing process is messy, ugly and non-beneficial to either party, but there was a breach of faith and the result will stand.

I believe that there has been a serious breach of faith from our International President, which started immediately when he assumed office. Some will and some won't remember that at the last convention in Chicago in 1995, one of the key issues concerned the finances of this Union, and how much of a dues increase was necessary. A small dues increase was levied, but was it enough? Had our newly elected International President been honest with us?

In October of 1995, at the direction of the International President a letter was drafted concerning the legality of removing money, in excess of seven million dollars ($7,000,000), from the Job Benefit Trust Fund to pay off a huge bank loan which had been secured to pay off a civil judgement. Supposedly, it was to have been legal, maybe not moral, but theoretically legal.

In a nutshell, the Job Benefit Trust Fund was taking in more money than was paid out to "u" the members, so there were three paths to go down. The first was to do nothing and allow the fund to amass huge sums of money, the second to use the money for something else, and the third to either increase the benefits for "u" or reduce the amount that "u" paid per month. The decision was not based on "u", but on the self serving political interests of the International President.

However, it didn't stop there, our current International President, then took an additional five hundred thousand dollars ($500,000) from the Job Benefit Fund and one hundred twenty five thousand dollars ($125,000) for the purchase of and start up operations of the bus. Did this really benefit "u", or is this merely an elegant mode of transportation for our International President and his cronies. (This did allow our International President the right the lie to the members as to the funding for the bus, depending on which regional meeting you attended last year we were told three stories, one, the bus was paid for with the receipts of the UTU members credit cards, two, the bus was paid for by the designated legal counsel, and last that it was not paid for out of Union funds. Did these lies help "u"?)

The taking of the monies was interest free, when was the last time "u" got an interest free loan? Did this benefit "u"? Most recently, our Board of Directors approved the action of the our UTU International President to not repay the money, and further to have the Job Benefit Fund made part of the dues structure of the UTU. If you do not hold a Job Benefit policy, this may benefit "u", but what about all the members that are paying the high premiums, does it help "u" to know that "u're" money for Job Benefit is a secondary form of dues?

It seems now that the BLE has hired attorneys and the main reason for the breakdown in the negotiations concerning the "new union" was because of this misuse of money by our International President (See BLE Letter received anonymously postmarked from Annapolis, MD). So, what has our International President done, hired a high dollar Washington, D.C. law firm, with your dues money, or maybe Job Benefit Fund monies, to argue that our International President has the right to take the Job Benefit money. Is that helping "u"? It is exactly this type of "paid for" legal opinion that allowed these actions in the first place when the President and the Board of Directors knew, or should have known, via the Yule lawsuit and decision, that their actions were always illegal!

On a related note, the issue of the "cronies" is very pertinent. The available records filed with the Department of Labor shows that in 1998, our UTU International President spent one million six hundred thousand dollars ($1,600,000) of "u're" dues on special representatives, mainly to promote his reelection and forward his thoughts and philosophies. Did "u" see any benefit in this expense, especially since my research of the records shows that this is unprecedented? Did crew dispatching improve, did you get a pay raise, was "u're" life made better?

The next major breach of faith came in the 1996 National Agreement. Many of the delegates who waged the floor fights in a litany of conventions are still around to hopefully reap the benefits of Amembership ratification". We have the right to one man-one vote on agreements, and our International President negotiated what he felt to be the best agreement for "u", and he gave "u" a vote on it, but did the vote "u" cast count. Unfortunately not, since our International President had already arranged to have his position enforced on "u", by placing the matter to binding arbitration, not to reflect the position of "u", but his position.

Was there anything that could have been done about his actions, probably not, and consequently were "u" part of the union, I think not.

The issue of the "arbitration" that was held in the matter of the 1996 National Agreement, is one area that demands tremendous scrutiny. I was recently asked a question on my website from one of the members concerning the "Smoot" issue, and I have been provided with all the court filings in the matter and to steal a phrase from Brother Arnold, "What the hell is going on here?".

Though this Smoot matter has become extremely complex, there is a simple principle at the core, which is do "u" the member have the right to be represented fairly by this Union? Seems that Brother Smoot made a claim for thirty shares of stock on his railroad, and the carrier turned down the claim, and the General Chairman refused to handle the claim. Brother Smoot appealed the decision of the General Chairman to the UTU Board of Appeals, the place where "u" receive a final and binding decision. The Board of Appeals ruled unanimously that Brother Smoot was entitled to the thirty shares of stock. If "u" got that decision, "u" should and would feel that you had won, and it would be a matter of time until "u" got the stock.

Wrong. Seems that our Union took the matter to a form of arbitration, i.e. a Public Law Board, and it also seems that one of our International Vice Presidents went in and argued not only against the position of Smoot, but also the position of the Union. Smoot was "u", and what happened then. Unknowingly Smoot caught the whole matter on tape, and attempted to find justice in the halls of this Union.

After many years of legalistic maneuvering, our Union, at the direction of our International President, decided to payoff the "misbehaving" International Vice President, and agree that "u" would never have a right to bring this man to justice. Is that the Union working for "u"?

But wait, there's more, the Union then employed a high priced Washington, D.C. law firm, paid for with "u're" dues money, to prosecute Smoot for having the audacity to catch the actual sellout at this form of arbitration panel. Last check of the Virginia Court docket, UTU is attempting to enforce a judgement against Smoot, has filed suit against his wife, daughter, and son, and poor Smoot has filed for bankruptcy. This could have been "u". (It is worth noting that our International President, personally signed the one hundred thousand dollar ($100,000) bond to execute a writ of attachment against Smoot, his wife and his children. This is money which "u" the dues payers will have to pay when [not if] UTU loses the case.)

The question now for "u" is, "Why would our International President go to all this trouble at the dues payers expense when one of the International Vice Presidents is caught red-handed violating Federal Law in an arbitration proceeding?" Could it be that he doesn't want "u" to know that such actions are the way the process actually works? If that is the case, is the union working for "u" in "arbitration"?

Interestingly, at the direction of the International President, "u're" dues money has already paid some five hundred thousand dollars ($500,000) in legal fees and payments related to the actions of this International Vice President. Was this to help "u", no, for the purpose of preserving a court decision that would nullify "u're" rights in a court of law if the same thing happened to "u". And as previously stated (See O For letter to Little), another large amount of "u're" dues money is about to be paid the high priced Washington, DC attorneys to argue against "u" in the Sixth Circuit.

There are other "arbitration" decisions where "u" the member did not fare so well, the first to be discussed will be the infamous "O'Brien Award". What happened, we all hear about it, but, what was really the basis. Simplistically, the CSXT attempted to get the so-called "two bites of the apple" with respect to New York Dock under a merger. Our Union ostensibly did not feel they had the right to do this, so our Union played the popular "we'll teach you a lesson Mr. Railroad". Problem is, "u" all know that no matter how frivolous a charge is that a railroad makes, you had better be prepared to fight it. Well, unfortunately for us our union did not fight the good fight. So did it benefit "u"?

That wasn't really good enough for our International President, and it was decided to "test" the O'Brien award in court. The matter ended up in the DC Circuit Court of Appeals, and once again, we fought the good fight, there was only one problem, on key issues that adversely affected the membership, we agreed with the rail carrier. Did that benefit "u"? Hence the stage was set for the next debacle of our current administration, the UP railroad.

It is worth noting, that our current International President comes off what some have characterized as a "model railroad", it is basically a terminal railroad that has no main line operations, and was owned and controlled by the Union Pacific. Does that level of railroad background benefit "u" as a member? Initially, the UTU was opposed to the UP/SP merger loudly informing the membership that union opposition to a merger of Class I carriers had never stopped a merger. A brief look at history shows that the UTU was opposed, from start to finish, to the failed merger of the Southern Pacific and the Santa Fe. History benefitted "u" as a member, but did our International President?

A peripheral though important aspect of the UP/SP merger was the merging of the CN&W into the UP system. Seems that the UTU got a "bad" arbitration decision from a very outstanding referee by the name of Mikrut. Mr. Mikrut passed away shortly after issuing the award, however, he was an otherwise middle aged healthy man. The walls were fixing to come crashing down on our brothers on the CN&W, and the dates are very telling, since the date of the now infamous Acommitment letter" which our International President entered into with UP to give "u're" support to the UP/SP merger clearly coincides with the doom that was fixing to come on the CN&W brothers. Coincidence, maybe?

At the time our International President signed the "commitment letter", "u" were paying for the services of the premier labor law firm in the United States in matters pertaining to the merger. When they were made aware of the "commitment letter", they informed our International President in writing that to sign the letter would adversely affect "u", since our Union would give up the "sanctity of collective bargaining agreements". Did "u" get represented, no, our International President fired the law firm and signed the letter.

So began the ongoing debacle of the Union Pacific Railroad, and if you are fortunate, or more properly unfortunate to be on the UP/SP/CN&W/MKT, etc., did these actions of our International President benefit "u"? There was one problem, some of our General Chairmen were quite aggravated over the arrogant attitude of the Union Pacific waving the "commitment letter" in front of them during negotiations. What did they do to hopefully save "u" from the actions of our International President, they decided to take the matter of the "commitment letter" to arbitration.

It is well known by most Union officers that our International President prides himself on the fact that he believes that he has the National Mediation Board (NMB) in his back pocket, and fancies himself as being able to control the actions of the arbitrators. That should benefit "u", if true, but the question is, has it?

The issue of the "commitment letter", was placed before an unknown arbitrator, Mr. Yost, with a resume listing of higher education as "the school of hard knocks", a matter in which openly or behind closed doors the UTU International President had a hand. Did that benefit "u" as the member?

For those of "u" who may not know this fact, one of the key issues behind any document is the so-called "intent of the framers", which simply stated, allows that in the matter of a dispute over the application of the document, and it is placed before a "disinterested third party", the intent of the framers is a proper matter to be considered. The "commitment letter" had two (2) signatures, one of our International President and one of an agent of the Union Pacific. Did our International President come forward at the Yost arbitration to represent "u" by telling the arbitrator that what the UP was doing with seniority and collective bargaining agreements was not his intent? No.

Did Mr. Yost make a ruling on the "commitment letter". Yes, he basically said it means what it says, the problem is nobody knows what it means. It is worth noting that in the styled "executive session" held after the Yost arbitration, a closed door proceeding which has no basis in law, our Assistant President represented the position of the Union, but he wasn't even a party to the proceeding. Did this benefit "u"?

The merger of the Union Pacific continues to unfold, as will the Conrail breakup, matters which the International President that "u" pay some quarter of a million dollars a year to agreed to. Did he really consider "u". These mergers were beneficial to the rail carriers and the shareholders, but do they really benefit "u", the dues paying member. Do "u" benefit from the loss of your collective bargaining agreements, do "u" benefit from massive losses of the exercise of seniority, do "u" benefit from new General Committees, do "u" benefit from having your locals closed? Maybe "u" benefitted from that guaranteed "certification" since that was the main reason to support the acquisition? Maybe we shall hear for all the UP/SP employees who are having no difficulty at all with the Carrier living up to their promises relative to certification?

A very interesting aspect of these so-called mega-mergers is the open allegations of our International President concerning the fact that he has at least one member of the Surface Transportation Board in his "back pocket". Clearly, when the UP was taking a pounding worse than Sadam Hussein in Desert Storm, our International President utilized his pull with the STB to keep the dogs off the UP. Negotiations and cooperative efforts usually are based in a "quid pro quo" arrangement, meaning this for that, but it would seem that our International President negotiates on a "quid pro nil" basis when it comes to "u", i.e. helping the carriers utilizes a "quid pro nil" (something for nothing) basis and "u" get nothing in return. Would be interesting to see what maybe was given but "u" don't know about yet?.

But our International President has now come up with something additional which the railroads always wanted, the so-called single spokesperson. Clearly this decision flowed directly from his 1996 National Agreement, the one "u" voted down. Part of that agreement dealt with this "Wage and Rule Panel" which has been meeting in secret (hush, hush, CIA type stuff), so "u" the payers of the bills don't really have a clue about it. But leaks abound, and the most notable is the reference that part, if not all of it, was signed last year in Houston. Did "u" get a vote on it?

Basically it would appear that "u" will be going to salaries, assigned rest cycles, and be something known as a "train and engine service employee". Let me know if "u" got a say so in this decision, cause I haven't found one soul who got to be part of this decision making on the part of our International President. Let me know if "u" will think you will benefit from it?

Problem is that the decision of the International President, in conjunction with the rail carriers, to bring the Wage and Rule panel to fruition, cannot happen with two unions to represent operating employees. Did "u" get a vote or say so in the decision of our International President to go to the National Mediation Board and demand a representation vote? Are the actions of our International President a violation of "u're" Constitution?

Needless to say, "u" are moving along at breakneck speed to two decisions, which when put together will have an effect something like this: To work for a railroad "u" will have to be a member of a specific union, and "u" will be required to pay dues (regardless of how much they are to pay for additional buses, maybe boats and planes), "u" will have a fixed salary and "u" will have no say so in the matter. Sounds like a good deal for somebody, but that somebody is probably not "u".

What "u" are moving toward is a somewhat "utility company" type position, i.e. "u" are a dues/rate payer, and unfortunately "u're" International President has set in motion the creation of a monopoly to take "u're" dues money. Will "u" have any recourse, no matter how many "by God's" "u" come up with in the shanty, I think not. Because while all this has been going on, "u're" International President has utilized "u're" dues money to pay the legal bills to deprive "u" of "u're" rights. Seems to me there used to be a situation close to that, think it was what was known as an indentured servant.

In closing, "u" should have seen the handwriting on the wall, and it may have been in the shanty restroom, but since when does the most anti-Union publication in the United States (possibly the world) with respect to railroads, take the time to glorify one of "u're" leaders. Since that article, Carrier publications regularly praise the International President and one high ranking railroad officer just stated the failure of the new union might keep the nations railroads from having two engineers on every train. If "u" are a pre-85 Conductor who hasn't taken promotion to engineer, "u" should be concerned (I certainly am).

Does this mean that "u're" International President is doing a good job for "u", or for those he is supposed to be fighting? I know that during our revolutionary war, British press considered Benedict Arnold to be a true hero, problem is we were at war with the British. There probably is no correlation, but something for "u" to think about.

Of course, there are some of "u" out there that can truly say, "I am better off now than I was four years ago. "U'RE called Special Representatives! And "U" won't care when the rest of the "u's" have to pay $20 or $30 more dollars a month in dues for the extravagance of this President, as long as "U" are still on the payroll, i.e., feeding at the trough. Congratulations, rumor has it that Gene Reynolds is the latest full time trough puppy?

Are "u" just occupying a deck chair on the Titanic, probably, but "u" haven't really struck the iceberg yet, we can vote and possibly avoid the iceberg, but the question is, how much of "u're" dues payers and Job Benefit money will the current incumbent International President spend on his cronies, under the guise of the "single craft vote on the UP", to insure his position at the helm. Hell, it's only money, but then again its "u'res". Seems like I read somewhere about Banana Republics, where they preach democracy, but it really doesn't mean much. Not to worry, "u" are a member of a democratic union, "u're" vote counts.

Obviously, "u" as presented in this editorial, are not officers of this union but rather the hard working union members who pay the freight for everything and daily work on the nations railroads to make a living for yourself and/or your family. Isn't it time that "u" became "U" in this Union and determined the course of our future? Ask "u're" delegate who he's voting for and why. In the humble opinion of this writer, it's much to late to avoid the dues increases we shall face if this union is to continue to function. However, it not too late to elect someone who will not lie to "u" and place you in the same position again four years from now? It's "u're" choice!