Union Holds Rally for Hundreds of Locked Out Workers in Muscatine, Iowa

Union Holds Rally for Hundreds of Locked Out Workers in Muscatine


by Tracy Kurowski

Photo: 
The rat is a prop used at picket lines for various reasons, usually a
strike, lockout, or when unfair labor practices are being committed.


On Saturday, October 24, 2009, more than one hundred people came out for a rally in support of the locked out workers at the Grain Processing Corporation in Muscatine, Iowa. Grain Processing Corporation is a leading manufacturer of corn-based products ranging from food items to pet care products.


The Back to Work Rally, held by UFCW Local 86D, the union that represents the workers, was held to keep the spotlight on the hundreds of workers who have remained locked out since last August 22, 2008.

Workers had anticipated that when their five-year contract expired at midnight more than a year and two months ago they would continue to work under the terms of the existing contract as is the standard practice when a contract expires during negotiations.

However, at 7 p.m., GPC pushed them out and has continued to operate with replacement workers – unfair certainly, but unfortunately, perfectly legal under current labor law.

The lockout has had dire consequences on the faltering economy in Muscatine County, Iowa, whose unemployment rate, at seven percent, is twenty-three percent higher than the rest of the state.

“We want to work,” said Local 86D President William Poggemiller. “We wanted to work while settling our contract differences, but GPC locked us out.”

The union has set up a hardship fund to help the workers, but there hasn’t been enough to cover everyone’s bills for such a long period of time. Some workers have reported that they have lost their cars and others are close to losing their homes. In addition to losing their jobs, the workers' health care benefits were cut, effective the day of the lockout. Though eligible for COBRA benefits, at $350 a month they remain unaffordable for many families, whose sole source of income is unemployment benefits.

Despite the economic downturn, the initial cause of the lockout was not wages or benefits, but language concerning outsourcing and job security. GPC wanted to alter contract language to be able to outsource any portion of its workforce at any time and for any reason. The union objected to that risk. The locked out workers average close to twenty years of service to the company.

“It’s really about keeping good jobs here in Muscatine,” said Bob Weatherman, one of 86D’s vice presidents. “We need to stand up for job security – for our families and for Muscatine’s economy.”          

The two sides last negotiated with each other in early June 2009. The union has also expressed concerns about safety due to inadequate training of replacement workers.
 
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Ten Questions about the GPC Lock out

1. Were the 300 Union employees of GPC, locked out or out on strike?
    A They've been locked out.


2. Q  What is the difference?
    A strike occurs when the Union votes down a company's contract offer and VOTES to Strike. A lock out is the result of a company refusing to let their hourly employees work. The Union has no vote or choice.


3. Q Did GPC lock out their employees due to sabotage?
    A Sabotage, accident, or excuse. We may never know for sure; they have offered no proof of their claim.


4. Q GPC claims the lock out was due to economics.
    A One month after the lock out Gage Kent donated $150,000 to Washington, Indiana for an aquatic center.  They also had funds to buy insert land and a road on the south end of town. Yet at the same time, they have frozen salaried workers' wages and lowered the company's profit sharing contributions from 15% to 3%. The hourly workers for GPC get a contribution of 2%.


5.  Q Has GPC put an outsourcing clause in the proposed contract?
     A Yes, which means seniority means nothing. ZERO! The company could use outside contractors to replace hourly employees at ANY time.


6.  Q Why hasn't GPC and the Union board met in months to negotiate?
     A The company asked the Union board not to call unless they are willing to buckle under and give the company a proposal.      


7.  Q Does GPC offer sick leave to it's hourly employees?
     A NO, GPC is the only food-grade plant that does not give it's workers sick leave without prior approval.


8.  Q Has GPC denied prior earned vacation to the locked out workers? 
     A Yes, they have denied the employees requests for vacation days that they have previously earned. The company has also denied funds from the employees 401K profit sharing accounts.


9.  Q Do the locked out Union members have medical insurance?
     A NO, GPC had the right to let these people keep their insurance or take it away. Sadly, they chose to take it away.


10. Q Union workers make good money; why should I support you?
     Because we're fighting the very fight that EVERY working class American needs to support. We're telling big businesses they can't give away our jobs, that our seniority IS important, that blue-collar workers deserve to be compensated, too. Not just the CEO's and upper management. This entire country rests on the backs of the working class. Ask yourself this; what happens to this nation when those backs break and there is nothing left to give.

Tracy Kurowski is currently AFL-CIO Community Services Liaison at the United Way of the Quad City Area. She has been active in the labor movement for ten years, first as a member of AFSCME 3506, when she taught adult education classes at the City Colleges of Chicago. She moved to the Quad Cities in 2007 where she worked as political coordinator with the Quad City Federation of Labor, and as a caseworker for Congressman Bruce Braley from 2007 – 2009.

Tracy Kurowski writes a labor update every Monday on Blog for Iowa

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1 Response to Union Holds Rally for Hundreds of Locked Out Workers in Muscatine, Iowa

  1. Unknown's avatar Anonymous says:

    I think some people would like to have some background on the management of GPC. From my understanding, this lockout was ordered from the owner in an effort to break the union. What I hear of the whole incident is that this is just a power play on his part.

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