Pressmen's union approves contract concessions with Star Tribune

[Omaha Steve]

http://www.startribune.com/business/41408012.html?elr=KArks:DCiU1OiP:DiiUiD3aPc:_Yyc:aUU

By DAVID PHELPS, Star Tribune

Last update: March 17, 2009 - 9:47 PM

Pressmen at the Star Tribune ratified a concessionary contract Tuesday night that includes layoffs and pay cuts but goes a significant step toward keeping the company afloat.

The contract, approved by a vote of 72-5, will save the company about $3.5 million a year.

Terms include unspecified wage reductions believed to be in the range of 17 to 40 percent and 24 layoffs, first through volunteers and then through reverse seniority if there are not enough volunteers. The agreement also reduces manning requirements on the newspaper's presses.

The union, Teamsters Local 1M, is allowed to retain its own health plan with a cap on contributions from the company.

The local's attorney, Andrew Staab, issued a statement that said, "In spite of the lopsided vote margin, there was a great deal of reluctance and anger. But the alternative was no agreement with the company at all."

FULL story at link.