BEDFORD PARK, Ill., June 30 /PRNewswire-USNewswire/ -- Contract talks continued between Chicago-area funeral directors and Houston-based Service Corporation International on Saturday, despite attempts to intimidate union negotiators.
A negotiator for Teamster Local 727 left the meeting to apply lipstick when she discovered an armed Pinkerton detective with his ear to the door of the meeting room. The negotiating team was inside discussing strategy. SCI's negotiators admitted they had hired a Pinkerton team. Despite assurances that the guards would be sent away, they remained in the parking lot until shortly before company negotiators returned from a break.
"In 26 years of negotiating contracts in the funeral industry, I have never had an armed guard eavesdrop and block the way of a union attorney," said John T. Coli, Teamsters Local 727 Secretary-Treasurer.
The Teamsters immediately filed a complaint with the National Labor Relations Board.
On June 28, SCI hired a security firm and posted guards outside of its funeral homes, which has raised concerns among the Teamsters that the company plans to lock out employees. The contract expires Saturday at midnight but SCI has offered to extend it for one day.
After nearly a month of negotiations, SCI, which operates under the guise Dignity Memorial, unveiled its economic proposal Friday morning which included:
* Elimination of Defined Retirement Benefits: SCI proposed the
elimination of contributions to the jointly administered and guaranteed
Pension Plan, and has proposed a 401(k) plan only. The current SCI-run
plan pays a two percent match in SCI stock. Its also proposal causes
employees who have not yet vested will lose all retirement benefits, and
for all other employees benefits will be frozen.
* Health Insurance Premium Co-Shares: SCI proposed increasing the premium
co-shares from 0 to 15 percent. This would mean an additional $93 out
of employees' pockets.
* No Cost of Living Wage Allowance (COLA) for Funeral Directors: In place
of a COLA, SCI proposed a $1,200 annual bonus that would not alter the
director's base rate. After figuring the cost of the health increases,
this bonus would equal a raise of $7 a month or four cents and hour in
the first year. In next two years, the wages would regress.
"With $1.75 billion in sales last and profits increasing by 44 percent in the last quarter, it's baffling that the largest funeral corporation in the world cannot conclude negotiations when local and independent homes can come to an agreement," said Coli. "The funeral business is a relationship business, and it's disturbing to see a company attack the very people whose community roots make this company so successful. It seems that they're trying to bring a Wal-Mart mentality to local funeral services."
On June 28, Teamsters Local 727 settled a contract for more than 200 funeral directors and drivers employed by independent and family owned businesses represented by the Funeral Directors Service Association on Thursday night. The FDSA settlement included wage increases, continuation of pension and health benefits and other contract improvements. SCI dropped out of the SCI this year after being a member since 1968.
Despite repeated requests to get any financial information, the company refused to provide the union with any data. Negotiations are scheduled to run through Sunday.
"Instead of wasting money on security guards and expensive lawyers, SCI should devote its considerable resources to more productive purposes," Coli said.
If the Teamster-represented funeral directors and drivers are locked out, the union has prepared an alternative list of funeral providers as an alternative for people in need of funeral services. While FDSA homes will be on the list, the union is asking that people not patronize Alderwoods-owned homes, because SCI is its parent company. This list and updates can be obtained by contacting the Funeral Negotiations Hotline at 773-685-3301.
Teamsters Local 727 represents more than 5,000 workers in the funeral and parking industry. It is affiliated with the International Brotherhood of Teamsters, which has more than 1.4 million members.
