JACKSON, Miss. – A whistleblower investigation by the U.S. Department of Labor’s Occupational Safety and Health Administration determined that Illinois Central Railroad Co., by conducting a disciplinary hearing, retaliated against a worker for reporting a work-related injury, which is in violation of the whistleblower protection provisions of the Federal Railroad Safety Act.
“Railroad workers have the legal right to report work-related injuries without fear of retaliation,” said Teresa A. Harrison, OSHA’s acting regional administrator in Atlanta. “Railroads that take such retaliatory actions against their workers for exercising basic rights will be held fully accountable and prosecuted.”
In this case, the conductor sustained injuries to the head, neck and back when falling into the bulkhead after the emergency brake was applied unexpectedly on a moving locomotive. The incident and injuries were reported immediately to the trainmaster. The complainant was taken by ambulance to the hospital, admitted and diagnosed with a closed-head injury.
As a result of its findings, OSHA has ordered Illinois Central Railroad Co. to pay $1,000 in punitive damages and to take corrective action, including expunging disciplinary actions and its references to them from various records. OSHA also ordered the railroad to compensate the worker for reasonable attorney’s fees. The railroad must also post and provide FRSA whistleblower rights to its workers.
Illinois Central and the complainant have 30 days from receipt of the findings to file an appeal with the department’s Office of Administrative Law Judges. Under FRSA, employees of a railroad carrier and its contractors and subcontractors are protected against retaliation for reporting on-the-job injuries, certain safety and security violations and for cooperating with investigations by OSHA and other regulatory agencies.
OSHA enforces the whistleblower provisions of the FRSA and 21 other statutes protecting employees who report violations of various securities, financial services, trucking, airline, nuclear power, pipeline, environmental, rail, maritime, health care, food safety, motor vehicle safety, workplace safety and health regulations and consumer product safety laws.
Under the various whistleblower provisions enacted by Congress, employers are prohibited from retaliating against employees who raise various protected concerns or who provide protected information to the employer or to the government. Employees who believe that they have been retaliated against for engaging in protected conduct may file a complaint with the secretary of labor for an investigation by OSHA’s Whistleblower Protection Programs. More information is available at http://www.whistleblowers.gov.
Under the Occupational Safety and Health Act of 1970, employers are responsible for providing safe and healthful workplaces for their employees. OSHA’s role is to ensure these conditions for America’s working men and women by setting and enforcing standards, and providing training, education and assistance. For more information, visit http://www.osha.gov.
The Labor Department wants companies to begin filing all workplace injury and illness reports electronically so they are available for anyone in the public to see. The department’s Occupational Safety and Health Administration will announce the plan on Thursday as part of a proposed rule that would dramatically change the way companies file safety records, according to a person familiar with the proposal. Read the complete story at the Journal Review.
The Labor Department wants companies to begin filing all workplace injury and illness reports electronically so they are available for anyone in the public to see.
The department’s Occupational Safety and Health Administration will announce the plan on Thursday as part of a proposed rule that would dramatically change the way companies file safety records, according to a person familiar with the proposal.
BOSTON – The U.S. Department of Labor has ordered Pan Am Railways Inc. to pay $50,000 in compensatory and punitive damages, as well as take corrective action, on behalf of an injured worker. The North Billerica-based commercial railroad adversely charged the worker with lying when he filed a Federal Railroad Safety Act complaint with the department’s Occupational Safety and Health Administration.
The employee, who works in a rail yard in Waterville, Maine, filed an OSHA complaint on Dec. 6, 2011, claiming that the railroad had subjected him to disciplinary action earlier, including a letter of reprimand, for reporting an injury and unsafe working conditions. Shortly after the filing, Pan Am Railways held a second disciplinary hearing on Jan. 4, 2012. It alleged that the worker made false statements to OSHA and the railroad.
OSHA found that the employee engaged in protected activity when filing the complaint, and the railroad took retaliatory action by charging him with lying and by holding the second disciplinary hearing. Such adverse action can intimidate employees from exercising their FRSA rights, even if the charge is later dropped, as it was in this case.
“Employers must understand that their employees have a legal right to file a whistle-blower complaint with OSHA without fear of retaliation,” said Marthe Kent, OSHA’s New England regional administrator. “Responding to an employee’s complaint with threats of disciplinary action is not acceptable and prohibited by law.”
In addition to the compensatory and punitive damages, OSHA has ordered Pan Am Railways Inc. to expunge all files and computerized data systems of disciplinary actions and references to the hearing notice and the January trial. The company must also post a notice to employees about its FRSA whistle-blower rights at all its Maine locations and on its internal website and provide all employees with copies of training materials related to FRSA. Finally, the company must pay reasonable attorney’s fees and compensate the employee for wages and benefits that were lost due to his attending the January disciplinary hearing.
OSHA enforces the whistle-blower provisions of the FRSA and 21 other statutes protecting employees who report violations of various airline, commercial motor carrier, consumer product, environmental, financial reform, food safety, health care reform, nuclear, pipeline, public transportation agency, maritime and securities laws.
Under these laws enacted by Congress, employers are prohibited from retaliating against employees who raise various protected concerns or provide protected information to the employer or to the government. Employees who believe that they have been retaliated against for engaging in protected conduct may file a complaint with the secretary of labor for an investigation by OSHA’s Whistle-blower Protection Program. Detailed employee rights information is available online at http://www.whistleblowers.gov.
Under the Occupational Safety and Health Act of 1970, employers are responsible for providing safe and healthful workplaces for their employees. OSHA’s role is to ensure these conditions for America’s working men and women by setting and enforcing standards, and providing training, education and assistance. For more information, visit http://www.osha.gov.
WASHINGTON – Norfolk Southern Railway Co. has been ordered to pay $1,121,099 to three workers following an investigation by the U.S. Department of Labor’s Occupational Safety and Health Administration, which found that the company violated the whistleblower provisions of the Federal Railroad Safety Act.
Two investigations, conducted by OSHA staff in Chicago and Pittsburgh, found that three employees were wrongfully fired for reporting workplace injuries. In addition to monetary remedies, the company has been ordered to expunge the disciplinary records of the three whistleblowers, post a notice regarding employees’ whistleblower protection rights under the FRSA and train workers on these rights.
Railroad carriers are subject to the FRSA, which protects employees who report violations of any federal law, rule or regulation relating to railroad safety or security, or who engage in other protected activities.
“The Labor Department continues to find serious whistleblower violations at Norfolk Southern, and we will be steadfast in our defense of a worker’s right to a safe job – including his or her right to report injuries,” said acting Secretary of Labor Seth D. Harris. “When workers can’t report safety concerns on the job without fear of retaliation, worker safety and health suffer, which costs working families and businesses alike.”
One investigation involved a crane operator based in Fort Wayne, Ind., who was removed from service after reporting an eye injury requiring the extraction of a sliver of metal and rust ring from his eye. The injury occurred while he was operating a crane in support of a bridge-building operation in Albany, Ind. The employee was taken out of service and formally terminated on Aug. 24, 2010, after an internal investigation determined he had made false statements concerning the injury.
OSHA’s investigation concluded that the worker would not have been terminated if he had not reported the injury. The agency has ordered the railroad to pay him a total of $437,591.70 in damages, which includes $100,000 in compensatory damages for pain and suffering, $175,000 in punitive damages, and $156,518.94 in back wages and benefits. It also includes compensation of $6,072.76 to the crane operator for penalties incurred when he had to cash in savings bonds prior to their maturity date after being terminated. In addition to damages, the company has been ordered to pay reasonable attorney fees. Further, OSHA has ordered the railroad to reinstate the worker to the proper seniority level, with vacation and sick days that he would otherwise have earned.
OSHA’s second investigation involved a thermite welder and a welder’s helper based in western Pennsylvania. Both employees had worked at the railroad for more than 36 years without incident when they reported injuries sustained as a result of an accident caused by another vehicle that ran a red light and hit a second vehicle, which in turn collided with the company truck in which they were riding.
The employees initially reported minor shoulder area pain plus some stiffness and soreness. Later, when questioned by management, they initially declined medical treatment, but as the pain increased, sought and received treatment at a local hospital. They were then taken out of service pending an investigative hearing and formally terminated. Management concluded that the employees’ reports about their condition were false and conflicting and constituted misconduct.
OSHA’s investigation found that the employees were terminated for reporting injuries to management. The agency has ordered the railroad to pay them $683,508 in damages, including $300,000 in punitive damages; $233,508 in lost wages, benefits and out-of-pocket costs; and $150,000 in compensatory damages for pain and suffering. Interest on back pay due will accrue daily until the employees are paid. In addition to damages, the company has been ordered to pay reasonable attorney fees.
These actions follow several other orders issued by OSHA against Norfolk Southern Railway Co. in the past two years. OSHA’s investigations have found that the company continues to retaliate against employees for reporting work-related injuries, and these actions have effectively created a chilling effect in the railroad industry.
“The Labor Department’s responsibility is to protect all employees, including those in the railroad industry, from retaliation for exercising these basic worker rights,” said Dr. David Michaels, assistant secretary of labor for occupational safety and health. Railroad workers must be able to report work-related injuries without fear of retaliation.”
Norfolk Southern Railway Co. is a major transporter/hauler of coal and other commodities, serving every major container port in the eastern United States with connections to western carriers. Its headquarters are in Norfolk, Va., and it employs more than 30,000 union workers worldwide.
Any party to these cases can file an appeal with the Labor Department’s Office of Administrative Law Judges within 30 days of receipt of the findings.
On July 16, 2012, OSHA and the U.S. Department of Transportation’s Federal Railroad Administration signed a memorandum of agreement to facilitate coordination and cooperation for enforcing the FRSA’s whistleblower provisions. Between August 2007, when OSHA was assigned responsibility for whistleblower complaints under the FRSA, and September 2012, OSHA received more than 1,200 FRSA whistleblower complaints. The number of whistleblower complaints that OSHA currently receives under the FRSA surpasses the number it receives under any of the other 21 whistleblower protection statutes it enforces except for Section 11(c) of the Occupational Safety and Health Act of 1970. More than 60 percent of the FRSA complaints filed with OSHA involve an allegation that a railroad worker has been retaliated against for reporting an on-the-job injury.
OSHA enforces the whistleblower provisions of the FRSA and 21 other statutes protecting employees who report violations of various airline, commercial motor carrier, consumer product, environmental, financial reform, food safety, health care reform, nuclear, pipeline, worker safety, public transportation agency, maritime and securities laws. Employers are prohibited from retaliating against employees who raise various protected concerns or provide protected information to the employer or to the government.
Employees who believe that they have been retaliated against for engaging in protected conduct may file a complaint with the secretary of labor to request an investigation by OSHA’s Whistleblower Protection Program. Detailed information on employee whistleblower rights, including fact sheets, is available at http://www.whistleblowers.gov.
Under the Occupational Safety and Health Act of 1970, employers are responsible for providing safe and healthful workplaces for their employees. OSHA’s role is to ensure these conditions for America’s working men and women by setting and enforcing standards, and providing training, education and assistance. For more information, visit http://www.osha.gov.
The Federal Aviation Administration has issued a proposed policy statement to establish the extent to which OSHA regulations may apply to flight attendants onboard an aircraft in operation.
An FAA-OSHA memorandum of understanding (MOU) previously established a team to identify factors to be considered when determining when OSHA standards may apply to employees on aircraft in operation.
Section 829 of the FAA Modernization and Reform Act of 2012 instructed the FAA to develop this proposed policy statement setting forth circumstances in which OSHA requirements may be applied to aircraft crewmembers.
The proposed policy statement, subject to amendment following a public comment period, says that because the FAA does not have regulations addressing certain issues, OSHA’s hazard communication, blood-borne pathogens and hearing conservation standards can be applied to the working conditions of flight attendants onboard an aircraft in operation.
The proposed policy statement defines an aircraft “in operation” from the time the first crewmember boards the aircraft to when the last crewmember leaves the aircraft after completion of the flight. The FAA notes that in another MOU, the FAA and OSHA will establish procedures that can be used to identify other conditions where OSHA requirements would apply while ensuring that such requirements would not negatively affect safety.
To read the proposed policy statement, click on the following link:
Even when railroads return workers to their jobs with full back pay after wrongly terminating them for suffering a workplace injury, significant monetary sanctions may still be imposed by the Department of Labor’s Occupational Safety and Health Administration (OSHA).
Case in point is Norfolk Southern, which was ordered to pay damages in excess of $580,000 in August after violating the Federal Railroad Safety Act’s worker protections against employer harassment, intimidation, discipline and termination in retaliation for reporting workplace injuries or safety concerns.
Railroads have been hit with millions of dollars in sanctions by OSHA over the past year for such behavior, but this case is significant in that the railroad unsuccessfully claimed it should not be sanctioned because after terminating the worker it reinstated him with full back pay.
The unidentified conductor, who suffered a shoulder injury, had been riding the lead car to protect a shove at NS’s Decatur, Ill., yard when several cars behind him derailed due to poorly maintained rail ties.
NS initially claimed the injury was fabricated, and fired the conductor for allegedly making a false injury report. A public law board subsequently ordered the railroad to rehire the conductor with full back pay – 10 months after the workplace injury — and he continues to work for NS. During those 10 months of unemployment, the conductor endured significant financial distressed.
A UTU designated legal counsel, who brought a complaint before OSHA under the whistleblower provisions of the Federal Railroad Safety Act, said NS contended there were no damages to be assessed because the conductor had been put back to work with full pay.
OSHA said the NS arguments were baseless and that the railroad should be punished for violating the conductor’s rights under the Federal Railroad Safety Act.
OSHA then ordered NS to pay the conductor – in addition to the back pay already received – more than $580,000 to cover pain and suffering, punitive damages, loss of employer-paid benefits during the period of unemployment, attorney’s fees and additional lost wages plus interest because OSHA said NS had under-calculated the amount of back pay.
NS also was ordered by OSHA to restore the conductor’s seniority level and vacation and sick days credit, and further credit him with 10 months of service toward his Railroad Retirement pension.
OSHA also ordered NS to provide all workers in its Decatur yard with a copy of an OSHA fact sheet on whistleblower protection, to post in the yard a notice explaining worker rights under the Federal Railroad Safety Act, and to expunge from the conductor’s personnel file all records of his termination and OSHA claim.
“This decision sends a powerful message that terminating an employee for an injury creates financial exposure for the railroad far beyond just having to put him back on the job with back pay,” said UTU International President Mike Futhey. “No longer can a railroad simply calculate the worse-case scenario as having only to provide back pay.”
A rail employee who believes he was improperly harassed, intimidated, disciplined or terminated for reporting a workplace injury or safety concern may file a whistle-blower complaint directly with OSHA, or may contact a UTU designated legal counsel, general chairperson or state legislative director for assistance.
A listing of UTU designated legal counsel is available at:
In ice hockey, the scoring by one player of three goals is called a “hat trick.” In baseball, a player striking out four times in a single game is said to have earned a “golden sombrero.”
Norfolk Southern’s feat is to have earned from OSHA a still unnamed fifth significant sanction in recent months for violating – through harassment, intimidation and unwarranted discipline — the rights of injured employees or those attempting to report a safety concern.
While other railroads have earned one or more recent rebukes from OSHA, Norfolk Southern seems headed for a gold medal in this dubious category of employee harassment, intimidation and unwarranted discipline.
OSHA says the reason has been the railroad’s single-minded, if not narrow minded, determination to be declared the nation’s safest railroad – albeit through harassing, intimidating and disciplining workers not to report their workplace injuries.
Norfolk Southern denies the allegations and is appealing each of the OSHA actions.
BNSF, which also has been sanctioned numerous times by OSHA for similar violations of the rights of injured and safety-conscious employees, recently took the art of intimidation to a new level by attempting to coerce employee witnesses to its alleged violations to allow a BNSF attorney in the room when questioned by OSHA investigators. BNSF denies its intent is to intimidate those employees from being candid with OSHA investigators.
“Railroad workers throughout this country have the right to report an injury without fear of retaliation,” said Cindy Coe, OSHA’s regional administrator in Atlanta. OSHA, she said, “will continue to protect” rail workers from employer retaliation, and employers found in violation “will be held accountable.”
As reported by the Norfolk, Va., Virginian Pilot newspaper, four of the five OSHA-determined violations were announced within months of Norfolk Southern’s winning the railroad industry’s E.H. Harriman gold medal safety award in May for the 23rd year in a row.
“The Harriman program, in place for nearly 100 years, quietly ended with this year’s awards, though news releases about this year’s winners from Norfolk Southern and the Association of American Railroads did not explicitly state that the program was over,” reported the newspaper. “The industry group did not say why it ended.”
A Norfolk Southern spokesperson told the newspaper there was “no connection” between its OSHA-determined violation of employee rights under federal law and the ending of the Harriman program.
The UTU and other rail labor organizations have long held that the Harriman awards program encouraged carrier supervisors to harass, intimidate and discipline injured and safety-conscious employees in an effort to earn cash bonuses and promotions in conjunction with their railroad’s winning of a Harriman gold, silver or bronze medal.
The award is named after the late railroad baron Edward Henry Harriman who, during the late 19th and early 20th century, held financial control of Union Pacific, Southern Pacific, Illinois Central, Central of Georgia, plus other smaller railroads, a steamship line and Wells Fargo Express.
The UTU documented in 2007 that a Norfolk Southern supervisor posed as a clergyman to enter the hospital room of an injured worker. Once there, according to obtained evidence, he tried to convince the attending physician not to prescribe a particular medication, which would have required reporting the injury to the Federal Railroad Administration and putting the winning of a Harriman gold medal at risk.
The Federal Railroad Safety Act of 1970 extended whistleblower protection to employees who are retaliated against for reporting an injury or illness requiring medical attention. The Rail Safety Improvement Act of 2008 added additional requirements ensuring injured workers receive prompt medical attention.
Their purpose is to protect rail workers from retaliation and threats of retaliation when they report injuries or illness, report that a carrier violated safety laws or regulations, or if the employee refuses to work under certain unsafe conditions or refuses to authorize the use of safety related equipment.
An employer is outright prohibited from disciplining an employee for requesting medical or first-aid treatment, or for following a physician’s orders, a physician’s treatment plan, or medical advice.
Retaliation, including threats of retaliation, is defined as firing or laying off, blacklisting, demoting, denying overtime or promotion, disciplining, denying benefits, failing to rehire, intimidation, reassignment affecting promotion prospects, or reducing pay or hours.
UTU designated legal counsel have pledged to investigate and assist UTU members in bringing complaints under these laws.
A rail employee may file a whistle-blower complaint directly with OSHA, or may contact a UTU designated legal counsel, general chairperson or state legislative director for assistance.
A listing of UTU designated legal counsel is available at:
The UTU and the Sheet Metal Workers International Association (SMWIA), along with two other rail labor organizations, have filed a complaint with the Department of Labor’s Occupational Safety and Health Administration (OSHA), alleging BNSF has expanded its harassment and intimidation of injured workers to include the targeting of witnesses.
In recent months, OSHA has imposed millions of dollars in sanctions against railroads – including BNSF – for violating federal laws that provide protections for injured rail workers and those reporting safety violations.
The UTU and the SMWIA – now combined as the Sheet Metal, Air, Rail and Transportation Workers (SMART) — along with the International Brotherhood of Electrical Workers and the Brotherhood of Locomotive Engineers and Trainmen — filed a complaint with OSHA July 31 alleging that BNSF officials in Montana are attempting “to interfere with an OSHA investigation into possible violations of the Federal Rail Safety Act” as reported by BNSF employees.
BNSF has written to possible witnesses, asking if they would “object” to having a BNSF representative present during their interview by OSHA investigators.
“Plainly,” states the rail organizations’ complaint, “any employee receiving a communication like this, however innocently couched from the company, will be intimidated by the knowledge that the company is looking over his/her shoulder insofar as providing information to OSHA is concerned.”
The Federal Railroad Safety Act of 2007 extended whistleblower protection to employees retaliated against for reporting injuries, illnesses or safety concerns.
The complaint filed with OSHA says, “We do not know how BNSF was able to identify these employees as witnesses,” as OSHA previously rejected a BNSF demand that OSHA disclose to BNSF the names of employee witnesses. OSHA told BNSF that “such requests are wholly inappropriate and that OSHA will not comply with them.”
OSHA previously has made clear that “the safety of railroad employees depends on workers’ ability to report injuries, incidents and hazards without fear of retaliation.”
The rail labor organizations urged OSHA to “immediately contact BNSF and sternly rebuke the carrier for this inappropriate conduct. The confidentiality protections in the Federal Railroad Safety Act’s governing regulations and OSHA’s Whistleblower Investigations Manual require nothing less.”
Additionally, the rail organizations cited a June 1 OSHA letter to BNSF stating that “OSHA assumes that BNSF [legal] counsel would be well aware of the conflict of interest that would inevitably arise if BNSF’s attorney were to represent both the corporation and non-managerial employees in a whistleblower case.” The complaint says, “Apparently, BNSF did not see fit to explain that conflict of interest when approaching these employees and offering to be their ‘liaison’ with OSHA.
“No railroad employee [should be] intimidated from filing a complaint initiating an OSHA investigation or from participating in such an investigation, or in any way retaliated against by his/her employer for doing so,” said the rail organizations in their complaint.
Between 2007 and 2012, OSHA received more than 900 whistleblower complaints under the Federal Rail Safety Act.
BNSF has a history of attempting to violate federal laws protecting workers. In March, following a complaint by the UTU and the SMWIA to the Equal Employment Opportunity Commission (EEOC), BNSF rescinded a proposed new rule that would have required its employees to provide highly personal medical information.
The UTU and the SMWIA told the EEOC that the BNSF would be in violation of the Americans with Disabilities Act, the Civil Rights Act and other federal statutes by requiring employees provide the railroad with doctor’s notes, diagnostic test results and hospital discharge summaries that could disclose non-workplace injuries and illnesses. BNSF rescinded the proposed new rule prior to EEOC action.
Delivering on the theme of the 2012 regional meetings – “We will not back down” – UTU International President Mike Futhey told more than 1,000 attendees at the Memphis meeting how the UTU is using every tool available – negotiations, legislative and legal — to defend its members’ jobs and workplace safety.
* On the Belt Railway of Chicago, where the carrier is demanding contract changes to permit one person crews at carrier discretion, the UTU has asked the National Mediation Board to declare a bargaining impasse. Belt Railway General Chairperson Chris Votteler’s negotiating team, assisted by International Vice President Delbert Strunk, faces a carrier that refuses to take crew consist changes off the table – three years following start of negotiations — even though the carrier is party to a moratorium on the issue.
“We will take every action necessary to protect our members’ jobs. We will not stand down on crew consist,” Futhey said.
* As to conductor certification — mandated by Congress and put into regulatory language by the Federal Railroad Administration – Norfolk Southern has filed an FRA-required certification plan without discussion and coordination with general chairpersons.
The NS proposed plan seeks to provide a pilot for remedial training only for conductors who have not traveled over a territory for 36 months, rather than the 12 months required in current agreements; and then seeks to place the burden of notification solely on the conductor rather than tracking the time period electronically. Additionally, the NS plan does not discuss procedures it will follow in an investigation even though FRA regulations require railroads to provide all documents and the list of witnesses prior to a hearing.
Futhey said the UTU will not permit “a tortured interpretation” of congressional and FRA intent, and will work to ensure every railroad follows the letter and intent of the law and regulations prior to the required Sept. 1 deadline for certifying conductors.
* In Pennsylvania, Norfolk Southern is attempting to disregard state safety laws and regulations through federal preemption affecting workplace safety at hump yards. “We will take every action necessary to prevent railroads from weakening workplace safety protections, whether at the state or federal level,” Futhey said.
* Pointing to millions of dollars in fines assessed by the Occupational Safety and Health Administration against railroads that have harassed, intimidated, disciplined and fired workers for reporting injuries and workplace safety concerns, Futhey reminded members that UTU designated legal counsel is pledged to assist in bringing and pursuing such complaints. Information on filing these complaints is available at the UTU website at www.utu.org by searching “OSHA.”
“We are not going to allow carriers to continue their pattern of harassment and intimidation of workers who are injured on the job,” Futhey said. “The FRA and OSHA recently signed a letter of intent to investigate jointly all complaints of carrier harassment and intimidation, and the FRA has informed each carrier of its intent to work with OSHA to end the long-standing practice of carriers disciplining injured workers “where the facts fail to support the charges. We are lawyered up, too, and will take this to wherever we must to protect the interests of our members.”
* Recalling the horrific murder of a UTU-member bus driver in Los Angeles, the fatal shooting of a train-crew member near New Orleans, and assaults on bus operators and intrusions into locomotive cabs by armed robbers elsewhere, Futhey said the UTU is working with lawmakers and regulators to implement better safeguards for its air, bus and rail members. The FRA recently imposed a requirement that all new and remanufactured locomotive cabs be equipped with secure cab locks.
“I promise every member that the UTU will stand shoulder-to-shoulder with our members to ensure their safety. Our voice will be heard,” Futhey said.
As to the state of the union, Futhey said the International’s general fund balance is improving as carriers bring back furloughed workers, that the UTU Insurance Association now has a $28 million surplus and is financially strong, and the Discipline Income Protection Plan (DIPP) is financially sound with more than $10 million in assets.
Futhey emphasized that while competing plans often seek ways to deny payment of claims, the UTU’s DIPP is aggressive in paying claims. Futhey cited an example of two workers on the same assignment on CSX – one covered by the UTU’s DIPP and the other by a competing plan – who were both suspended. “Where the competing plan denied the claim, DIPP paid the claim. End of story.”
As for the UTU’s disability insurance plan covering bus and rail members, Futhey said it has paid out more than $22 million in disability benefits for off-duty injuries and is proving to be a valuable benefit.
As to organizing, Futhey said that since January 2008, when he took office, the UTU has an unprecedented record of organizing one new property every seven weeks. One of the first post-merger coordinations has been the joint strengthening with the Sheet Metal Workers International Association of organizing efforts, which makes greater resources available for organizing transportation, building trades and production workers.
Futhey also explained how the UTU negotiating strategy in national handling has already paid off for rail members covered by the national rail contract.
“When we entered national rail contract negotiations, our strategy was to hold the monthly cost sharing premium under $200 — rather than allow it to escalate to $300 or more — in exchange for somewhat higher copays,” Futhey said. “The Affordable Care Act now eliminates many of those copays, saving affected members out-of-pocket for many health care services while those members enjoy one of the lowest cost-sharing premiums in the public and private sectors.”