PUC decision on pension disappointing, union says

By Sean Hao
Advertiser Staff Writer

The union representing Verizon Hawaii's 300 employees supported the sale, but requested the Public Utilities Commission prevent Verizon Communications from keeping an estimated $280 million in excess pension money after the proposed sale to The Carlyle Group.

The International Brotherhood of Electrical Workers Local 1357 said it feared that taking away the extra pension money could leave employees with less of a safety net and could result in higher rates for telephone customers if the pension becomes underfunded in the future.

However, the PUC order allowing the sale does not prevent Verizon from keeping the pension excess.

"Our position is still consistent in that we think the sale is good, but the PUC's decision is a disappointment, no doubt about that," said Scot Long, business manager for the union local.