Posted on: Friday, December 6, 2002
UPW put under direct administration of trustee
By Karen Blakeman
Advertiser Staff Writer
Citing a "zero-tolerance policy," the parent organization of the United Public Workers yesterday took control of the UPW, one of the state's largest and most powerful unions, and suspended its board members and state officers.
The American Federation of State, County and Municipal Employees told UPW officials that its president was taking over the union and placing UPW Local 646 under direct administration of a trustee.
Lee Saunders, executive assistant to the international president of AFSCME, told the UPW officials during a 2 1/2-hour lunch meeting at the Hilton Hawaiian Village that the action was precipitated by the recent convictions against former UPW leader Gary Rodrigues.he former UPW director is awaiting sentencing on more than 100 federal counts of mail fraud, money laundering, embezzlement and accepting kickbacks. AFSCME also said it would investigate allegations that Rodrigues continued to influence the 12,500-member union.
"When it comes to financial wrongdoing, AFSCME has a zero-tolerance policy," said Gerald McEntee, AFSCME's president. "We have placed UPW under administratorship to restore integrity to the leadership of this union and to ensure that our members continue to be well-represented."
In accordance with AFSCME regulations, a hearing will be held within 21 days for those who wish to challenge the trusteeship.
Local labor lawyer Peter Liholiho Trask will serve as UPW's administrator, Saunders told the more than
two dozen officers and board members who attended the meeting. Liz Ho, AFSCME's area director, will serve as assistant administrator.
The meeting was held behind closed doors. When Ho stepped out to answer a call on her cell phone, Dwight Takeno, who had served directly under Rodrigues before the convictions were handed down and as acting director afterward, was seen sitting surrounded by the former board members and listening to Saunders' talk.
"They seem to be taking it pretty well," Ho said as she stepped out of the meeting. "I mean, they aren't throwing food at us or anything."
Takeno, who was Rodrigues' choice to head UPW, had no comment on his suspension after the meeting. Nor did many of the board members, except for some from the Big Island.
"A decision has been made," said board member Allen Nobriga of the Big Island. "We will abide by it. I guess the idea is to start over, with no implications of misuse of power by people who weren't supposed to be there."
Board member Sam Kalua, also of the Big Island, said Saunders told them they would continue to serve as division officers.
"We can continue to educate our members at that level," he said. "Our intentions were always in the best interests of our members, and the international is here to assure that continues. We'll cooperate 100 percent."
Kalua said he knew and had worked with Trask, the new administrator.
"I'm very confident in that selection," Kalua said. "He's a good man."
Trask, who has sometimes represented UPW in his work as a labor lawyer, and who has also served as a per diem district judge in Hawai'i and as a legislative aide to U.S. Sen. Dan Inouye, had worked at UPW as an assistant to Rodrigues from 1992 to 1997.
Trask said he disagreed with the way some in the labor community described his departure from full-time UPW work as "getting canned."
"We came to a mutual understanding," Trask said. "We may have had different reasons for me leaving at the time, but eventually it all worked out for the best for this union."
The lawyer said although he would have to leave his private law practice to become administrator, he was pleased to have the position.
"I've been a longtime labor activist," he said. "This feels like a homecoming."
Trask and Ho will make sure a financial audit of the union is conducted, he said. They will work on ways to give more of a voice to union members who have said they feel disenfranchised by the UPW, including giving consideration to a constitutional amendment that would allow voters to directly elect the state director, instead of electing convention delegates to choose.
Along with those duties, the new administrator will be conducting contract negotiations. Contracts for two of the union's 13 bargaining units expire in June.
"We'll be working closely with Peter and Liz," Saunders said. "These are difficult times ahead. Anything Peter asks for, he gets."
UPW is the second Hawai'i union to be placed under trusteeship in the past two years.
Local 5 of the Hotel Employees & Restaurant Employees Union was placed under trusteeship before its last elections, when the union leadership had fractured. Both sides had agreed to it, said Local 5 leader Eric Gill.
"It turned out to be a very good thing for our local," Gill said yesterday. "It can help with reorganizing and restructuring and it can help the new administration to get a stronger footing.
"A change of administration can be difficult. Having a trusteeship to ease that is not a bad thing."
Dr. William Puette, director of the Center for Labor Education and Research at the University of Hawai'i-West Oahu, said he thought the appointment of a trustee could turn out to be a positive situation for the labor community.
"I'm glad to see AFSCME has come in and is taking a close look at this situation," he said. "And personally, I trust AFSCME to make the right decisions."
Reach Karen Blakeman at 535-2430 or kblakeman@honoluluadvertiser.com.