Posted on: Friday, February 13, 2004
Hawaiian Cement, union resume negotiations today
| • | Ameron lays off 25 employees |
By Curtis Lum, Dan Nakaso and Debbie Sokei
Advertiser Staff Writers
A Hawaiian Cement executive said progress was made in contract talks last night with striking workers and expressed hope that a settlement might be reached when the two sides reconvene this afternoon.
Company management and union negotiators met yesterday for the first time since employees went on strike a week ago, giving a glimmer of hope to the state's construction industry that has been hobbled by the work stoppage.
But no talks were held yesterday with Ameron Hawaii, O'ahu's other major concrete company.
Yesterday's talks with Hawaiian Cement at the Teamsters and Allied Workers Local 996 Kalihi headquarters were arranged by federal mediator Ken Kawamoto. They began at 2:30 p.m. and ended about 8:15 p.m.
The two sides will meet again at 2:30 p.m. today, said Michael Coad, Hawaiian Cement's vice president and chief negotiator.
Coad last night would not comment on specific issues, but said "movement was made by both sides."
"A good agreement is better than a fast agreement," Coad said. "There was some discussion and movement from the union tonight that we have not seen previously and that buoys me. Each meeting you move a little closer and a little closer and (last night) was, I thought, a very good session."
Teamsters president Mel Kahele disagreed with Coad that much progress was made last night.
"No movement," Kahele said. "No movement, not on the company's part."
"We were optimistic and were hoping that we could end this strike (last night) and return back to work," he added. "There was some discussion and we'll be returning (today)."
The strike involves 211 Teamsters at O'ahu's two largest concrete companies. The ripple effects began immediately and have crippled housing, condominium and large-sized construction projects all over O'ahu. Hundreds of construction workers also have been told to stay home because they cannot proceed without concrete.
The Teamsters strike began just as Hawai'i's construction industry was on the verge of a predicted $5.4 billion year. It's an industry that government and industry leaders have expected to lead Hawai'i's economic recovery.
In all, 144 Ameron workers went on strike last week Friday. Another 67 Hawaiian Cement employees followed on Saturday. Hawaiian Cement and Teamsters negotiators last met on Feb. 6. Ameron's talks broke off Saturday.
The issues are similar at both companies: sick leave and company proposals to increase employee contributions to healthcare plans.
In their old contract, Hawaiian Cement workers paid nothing for their healthcare plans. Hawaiian Cement proposed that they bear 20 percent of the costs. Ameron wants its union employees to increase their payment from 20 percent to 30 percent.
Both companies have said that rising healthcare expenses represent the fastest growing segment of their labor costs.
Like other companies around the country, Ameron and Hawaiian Cement officials have argued that employees who pay more of their healthcare expenses will use the system less. And by being more careful, the companies argue, the rising cost of medical care will slow.
Ameron Hawaii's medical costs to provide employee coverage through the Teamsters Health and Welfare Trust Fund in Honolulu have risen 10 percent to 20 percent every year over the past four years, company officials said. This year, Ameron's costs will jump 21 percent.
Most of Ameron's workers — 60 cement mixer drivers — earn $25.54 an hour. But with an average of 55 hours per week in overtime, spread over six days, the highest paid Ameron Teamster earned $120,880 in 2002. The median salary was $71,433.
At Hawaiian Cement, the highest paid union workers earned $116,000 in 2003 and the average employee made $85,000.
Reach Reach Curtis Lum at culum@honoluluadvertiser.com or 525-8025, Dan Nakaso at dnakaso@honoluluadvertiser.com or 525-8085, or Debbie Sokei at dsokei@honoluluadvertiser.com or 525-8064.
