March 27, 2008 Presidental Update

BUDGET:
    Hubert H. Humphrey said, “The moral test of government is how it treats those who are in the dawn of life, the children; those who are in the twilight of life, the aged; and those in the shadows of life, the sick, the needy, and the handicapped.”

    By that measure, Pennsylvania is failing the moral test. The continuation of flat funding and caseload size in the proposed budget, in addition to cuts in some vital services and continued inadequate funding and no COLAs for others (mental health and retardation), are breaking the hearts and spirits of those who live and work in Pennsylvania.

TASK FORCES – COPE, MEMBER/GRIEVANCE CENTER:
COPE Task Force:
    The first meeting of the COPE Task Force was February 25, 2008. It was a great session of members, retirees, and staff with the purpose to brainstorm and collaborate on what works to raise COPE dollars and to develop a statewide plan for implementation. Ted Oslak will present a brief overview and provide recommendations from the Task Force to SWEB. Attached are documents that were developed at that meeting. Our next meeting is scheduled March 25, 2008.

Thank you to our participants: Donna Scarboro, Jim Young, Allie Samsel,Ted Oslak, Bill Bacon, Lawrence Funck,
Roni Hamiel, Bill Brooks, Talmadge Belo,Kathy Jellison
    Interested in empowering members to give to COPE? Join the COPE Task Force – it all adds up:
    Political Action + Member Involvement and Education = BETTER WORK LIFE
    Make COPE a part of every interaction with members!

Member/Grievance Center Task Force:
    The first meeting of the Member/Grievance Task Force was February 21, 2008. The purpose is to brainstorm ways to move the grievance process to service members to the highest degree possible.
    The old idea of the union will not let us go – we have been doing grievances the same way since 1942. Not that grievances are not important, they are. As 5% of the membership takes up 80% of the Business Agents time, we need to find ways to mobilize, organize, and learn from grievances with our members in the shops.
    We discussed ways of moving the backlog, ways to tackle Fourth Step responses, the GAC and education for both members and stewards. Also, the fact that the Commonwealth is not interested in an accelerated grievance procedure (AGP) with SEIU 668 PSSU due to the constitutional final appeal of our members. There was discussion on better use of the website, using links, forms online, etc.
    The group is reviewing the current grievance form and boiler plate language for contracts, and letters to members. The next meeting is April 8, 2008.
    Current members include: Dave Ramsey, Wes Johnson, Rick Grejda, Talmadge Belo, Claudia Lukert, Bill Brooks, Kathy Jellison
    We plan to add members shortly: Vicki Placidi, Bob Goyak
    Interested in moving the grievance process into the future? Join the Member/Grievance Center Task Force! Also coming, a new BA Task Force, Steward and Advanced Steward Training Task Forces and Vision Task Force.

RESIGNATIONS, RETIREMENTS, NEW STAFF:
    Good luck and best wishes to Business Agent Jim Boyd on his retirement and welcome to Karen Ribaric, new Business Agent for Westmoreland and parts of Allegheny, Somerset, and Cambria counties.
    A fond farewell to Business Agent Jack Yanchulis, who accepted a state mediator position, and a proud recognition of your outstanding work over the past eight years.
    Dorothy Koscelnick has resigned as Chair of the BDD Committee due to health reasons. Get well wishes and thank you for your long time commitment to the union and the BDD Committee. Welcome to Frank Chiarelli, the new BDD Chair. Vicki Stevens, Chair of the OES Committee, has also resigned. Welcome to Barb Olsen as the new OES Chair and welcome Brenda Ward the new OES Statewide SWEB member.

PEBTF – PA EMPLOYEES BENEFIT TRUST FUND:
    The Fund surplus is in the $120 million range, which is an increase of $20 million from fiscal year end.
    Enrollment remains stable at 80,801, which is down approximately 2,200 members due to the early retirements.
    State employees are currently paying a 1% health care contribution. Approximately 33,000 employees, or 42%, earned the 2008 waiver for participating in the Get Healthy Program. This is a higher participation than most private employees.
    Medco is to continue for 3 ½ more years. This generates $120 million in savings with no disruption of services.
    Phone accessibility will now be enhanced for the visually and hearing impaired.

DISABILITY INSURANCE:
    Several unions met with the Commonwealth to discuss some optional insurance coverrages for our members.
    For those of you that have been around awhile, during the Casey administration, members could purchase supplemental benefits. About 3,000 members took advantage of this statewide, a very small number are still in one of these plans. They will not change.
    Effective July 1, 2008 (may be longer for LTC benefits), the Commonwealth will offer the following:
    1. Group Term Life for employees and some coverage available
for spouse and dependents through Prudential.
    2. Long Term Disability – employees only through Prudential.
    3. Long Term Care through Prudential.
    4. Personal Auto Insurance through Travelers.
    5. Personal Home Insurance through Travelers.
    More details will follow. We do know policies will be payroll deduction after tax and will be at group rates even if they are individual policies. The Commonwealth will market this and let employees attend meetings without charging leave time.

REHP:
“A nation that continues year after year to spend more money on military defense than on programs of social uplift is approaching spiritual death.”   Reverend Martin Luther King, Jr. 
    Last fall the governor’s office gave us a sucker punch in the form of increased prescription co-pay for our oldest state retirees, and a new Medicare Advantage program replacing traditional Medicare and the Retired Employees Health Program. It was a decision made without our knowledge or consent. We’re not backing down without a fight. 
    Forced fee-for-service plans are the governor’s way of weaning us off Medicare entirely and putting us all at the mercy of private insurance companies. The governor says there’s nothing we can do, but the governor is wrong. Call him today (717-787-2500) and let him know how you feel about our poorest and oldest retirees being forced to pay more for prescriptions. We have retirees who have retired before 1970 making less than $500 a month! Tell him how you feel about changing health care plans without consulting with union representatives. Tell him how you feel about privatizing health insurance to build profits for private insurance companies at the expense of driving federal Medicare into obscurity.
    The Pennsylvania turnpike is under threat to becoming a prime piece of real estate up for sale. Nearly 70 years ago, 15,000 workers created “America’s first superhighway”. Today, thousands of turnpike workers are at risk of losing their jobs. While SEIU 668 does not represent these workers, our fight against privatization extends to all fronts. Like health insurance privatization, a quick fix in the form of a big check from private industry will be catastrophic in years to come. High tolls, inadequate maintenance, min-mart “landscapes”, neighboring roads filled to capacity – and it all beings with public employees getting kicked to the curb.
    When history looks back, they will see how we treated our elderly in Pennsylvania – and it is deplorable. By forcing our retirees to switch from REHP to a private fee-for-service plan (PFFS), Governor Rendell is denying them their right to access the secure Medicare program they paid into all their lives.
    Other states have had problems with this plan – less doctors and hospitals accepting the plan; frequently denied claims; difficult appeals process; unstable plans; profiting off retirees – just to name a few. The trend toward private plans and the devastating privatization of our traditional Medicare program threaten the very existence of Medicare.
    The phone never stops ringing in our office. Retirees are confused and angry – with good reason! On February 1, 2008, the Governor increased co-pays for prescription drugs and higher out of pocket costs went into effect for retirees who retired before July 1, 2004. Now he has instituted private insurance for those over age 65. While Advantra is accepted at UPMC (except for Hillman Cancer Center), it is not accepted in many hospitals in Philadelphia.
    Please tell any retirees over age 65 that may contact you:
    If you do not choose a plan, you will be put into Advantra
    Call all your doctors, specialists, and hospitals to assure they accept the plan before your choose it.
    Call the PEBTF toll free hotline at 1-800-522-7279 or the Area Agency on Aging in your county of residence and ask for the APPRISE program.
    The implementation date will be May 1, 2008 and the Goverernor has extended the enrollment deadline to March 21, 2008.

COUNTY ASSISTANE OFFICE LEGISLATIVE MEETINGS:
    The issues of workload, flat funding, and ill-fitted technology is being heard across the state at County Assistance Offices. Through the efforts of Statewide CAO Rank & File Chair, Gene Quaglia, and Statewide CAO Supervisory Chair, Joel Levin, legislative meetings have been making an impact. Starting with a legislative shop visit to Berks CAO, meetings have been taken place in Erie (over 100 members), Westmoreland (over 65 members), and Beaver and Allegheny Counties have a meeting scheduled for March 13, 2008. Following the meeting in Westmoreland, a representative for a state senator on the Appropriations Committee made a commitment that his boss will raise our issues at the budget hearings, some have asked for more information, and some have committed to write to the Governor on our behalf. 
    The problem is that going into the budget hearings some of the counties most impacted by staffing will not have spoken to their legislators. PLEASE step up and be part of the action – especially in Eastern Pennsylvania.
    On December 12, 2007, the State Council held a Budget Summit. Legislative Director Bill Bacon and I spent over four hours with the Democratic Caucus explaining our concerns over flat funding and caseload size for all agencies.
    Bill Bacon, Gene Quaglia, Joel Levin and I along with State Council Legislative Staff Jeff Hunsinger and Neal Bisno from UHE (United Healthcare East formerly SEIU 1199P) met with Sandy Williams from DeWeese’s staff. We stressed the following points: 
The budget is a HUGE problem for us.

• Eighty-two more positions are being cut in CAO’s in addition to the large numbers through retirement in 2007. Loss of 1,000 positions since Rendell took office.
• The budget cuts and flat funding affect every agency we represent.
• The $70 million in staff cuts does not even compare to the $440 million given to Deloitte for technology that does not work.
• The Governor is sitting on a $500 million surplus.
• Cover all Pennsylvania needs to be our work.

What we want:

CORRECTIONS:
    Business Agent Laura Gilbert is commended for her work on the long awaited flextime agreement for the Community Corrections Counselors statewide. This agreement provides the ability for counselors to flex their schedules without management’s ability to remove the benefit on a whim.
    Business Agents Rose Cindrick, Jim Young, Allie Samsel, Kim Yost, Statewide Corrections Chair Lois Brown-Velkoff, and I met with the DOC and OA March 4, 2008 over managements attempts to divide the work of the Corrections Counselor into two job titles; Case Managers and Treatment Specialists with the former doing casework and the latter running groups. We raised issues of seniority, furlough, pay, etc; and mostly the fact that the DOC ignored a demand to cease and desist by the union until a meet and discuss could be held. The added duties to the CEVC position were also discussed and the issue of pay of the counselors as compared to the corrections officers. The DOC is to get back to us with their response. There are several statewide grievances and ULP’s possibly pending including direct dealing at some institutions. The pay issue will go to arbitration as per a side letter to the contract.
    The other issue that was raised is the DOC’s intent to institute a Corrections Counselor Trainee position (code 47520), a Civil Service job at pay grade 5 (see the OVR section for further information).
    As the inmate population continues to surge (more than 1 for every 100 adults), Corrections Secretary Beard is calling for 2 or 3 new prisons at a minimum cost of $200 million each in the budget. SEIU told Representative DeWeese’s office that we need to double the professional staff in the institutions now.

OVR:
    As in Corrections, OVR is resurrecting an old title (Employment Counselor I – pay grade 6) and renaming it an Employment Facilitator. Although SEIU 668 was asked for input and objections, the position was posted one day after receiving that input. As in Corrections, this is viewed as an attempt to not only get the work done cheaper but to also weaken the professionalism of the classification.

OES – OFFICE OF EMPLOYMENT SECURITY WORKFORCE INVESTMENT:
    The President’s federal budget eliminates funding for Wagner-Peyser/Employment Service. SEIU International is involved and has drafted a letter to legislative decision makers emphasizing the need to continue this funding.
    OES Committee member Ken Jasper and Business Agent Erma Rhodes are collecting member stories on how these services are affected when staffing is cut. They are all looking for success stories on how we were able to provide quality services when we had adequate staff.
    The letter was also sent to the PA AFL-CIO to be sent to local labor council representatives and State Workforce Investment Boards across Pennsylvania.

LEHIGH: 
    Business Agent Neil Brown reports that Leigh County refuses to agree to a memorandum of understanding that parallels the rank and file contract for supervisors. The same is occurring with SEIU UHE (formerly 1199P) at the county home. Don Cunningham, County Executive in Lehigh, is planning to run for Governor. A meeting is scheduled for March 14, 2008. We are working with both SEIU UHE and SEIU PA State Council to put pressure on County Executive Cunningham.

EFCA – EMPLOYEE FREE CHOICE ACT:   
Pennsylvania State Democratic Party Passes Employee Free Choice Act Resolution!
    The campaign for the Employee Free Choice Act reached a new milestone when the Pennsylvania Democratic Party State Committee passed a resolution of support for the Employee Free Choice Act at its January meeting in Lancaster. This marks the first known time in the country that a state party has passed such a resolution. “It’s heartening to see a major political party recognize the importance of workers’ freedom to form a union and bargain collectively. Real grassroots momentum is building in support of this legislation,” said PA AFL-CIO Secretary-Treasurer Rick Bloomingdale. The resolution was put forward by Tom Herman (SEIU) from Berks County and seconded by Barbara Cooper (AFSCME) from Chester County. It passed the Rules Committee and the General Body unanimously. The Democratic State Committee resolution follows on 32 county and municipal resolutions that have passed across the Commonwealth thanks to the leadership of the Pennsylvania labor movement and labor’s friends who hold public office, many of them union members themselves. Congratulations to all involved!

NIOSH WORKPLACE VIOLENCE GRANT:
    We have been working closely with The University of Maryland School of Nursing, Work and Health Research Center, as they prepare to apply for a multi-million dollar, five-year National Institute for Occupational Safety and Health (NIOSH) grant to do intervention-based research on the issue of workplace violence against public healthcare workers. Based on the fact that all of our members working in state mental hospitals are affected by these tragic assaults, it is important to include all unions in this effort.
    The Office of Mental Health and Substance Abuse Services and the Department of Public Welfare have been working closely with us to address the impact patients who commit acts of violence, or threaten to do so, have on themselves, other patients and their caregivers at Wernersville and Norristown State Hospitals specifically. As I’m sure you will agree, an actual assault or the threat of an assault on a caregiver is not, nor should it be, a condition of employment, nor is it conducive to quality care for the patients we serve. While such an action may rise to the level of a felony under Pennsylvania Law, “criminalizing the mentally ill” is not an answer to this complex problem. We are looking for real solutions to a very real problem and have also asked the Commonwealth to join us in this opportunity to collaborate.
    The deadline to apply for the grant is March 26, 2008. An outline of the grant proposal is attached.    
    In the meantime, if you would like more information about the Research Center at UMD, their website is http://nursing.umaryland.edu/excellence/whrc/index.htm or for more information on the grant http://grants.nih.gov/grants/guide/rfa-files/RFA-OH-08-004.html.
    This is an excellent opportunity to collaborate with other unions and address the issue of workplace violence and hopefully expand it to all state and local agencies that we serve.

PENSION:
The following information was taken from an article in The Patriot News:
State Pension System Lifts Weight Off Taxpayers
    Pennsylvania’s state government pension system reaped a 17.2 % rate of return last year, greatly diminishing the size of a projected spike in the system’s taxpayer subsidy.
    The State Employees Retirement System said Wednesday it collected more than $5 billion on investments in 2007 and registered one of the highest rates of returns among large public pension plans.
    The median return for large plans last year was 8.7 percent, according to the Wilshire Trust Universe Comparison Survey, an industry measuring stick. The S&P 500 grew by 5.49% in 2007.
    Just five years ago, pension officials projected the taxpayers would have to kick in 28% of the state government’s payroll to keep the system afloat in 2012.
    As a result of its strong performance, the system now expects the taxpayers’ share to be less than 8.2%.
    Pension system administrators say its broadly diversified portfolio is the reason that returns have ranged from 14.5% to 24.3% over the last five years.
    Pennsylvania’s state government pension system has more than $35 billion in assets and more than 215,000 members.
Teacher’s Pension System Posts Rosier Outlook
   An optimistic outlook also came from the Public School Employees’ Retirement System, which covers 263,000 active and 162,000 retired teachers and other school employees. The teachers’ pension system reported it, too, has seen its investments reduce the contribution spike expected in 2012-13.
    Its spike had been expected to reach 27% of payroll, but now is projected at just over 11%.
    The teachers’ pension system’s investment returns have ranged from 12.9% to 23% since 2003. PSERS has assets of about $69 billion.

SECA LOANDED LABOR LEADERS:
    It is that time of year to start looking for Loaned Labor Leaders. We do not have a date for the SECA Kick Off yet. However, we know it will start in September and end in October. The communities we have full time PA AFL-CIO Liaison are Pittsburgh (we need one here), Reading, Fairless Hills, Butler, Johnstown, Harrisburg, Erie, Scranton, Lancaster, Lehigh Valley, Wilkes-Barre, Philadelphia, York, and New Castle.
    The following are areas that are Labor friendly and also need Loaned Labor Leaders: State College, Clarion, Franklin County, Clearfield, Lock Haven, Bloomsburg, Meadville, Huntingdon, Indiana, Williamsport, Lewisburg, Shamokin/Sunbury area, Greensburg/Washington area, and Warren.
    We are allowed 20 from each union. We have until April 15, 2008 to recruit 40 Loaned Labor Leaders. Therefore, I am requesting that SWEB members submit names to be considered for this campaign in writing to Kathy Stine no later than April 14, 2008.

SETTLEMENTS, ARBITRATION AWARDS, ULPS: