The fault line between the union and nonunion employees of the Sun-Times Media Group couldn't be clearer than it now appears to be at the Post-Tribune, the group's daily in Lake County, Indiana.
This week almost the entire nonunion staff of that paper signed a letter to the union staff that closed with the blunt observation, "SAVING YOUR JOB ALSO SAVES OUR JOB."
It began: "With only days left until we actually know our fate, We are asking each one of you to think long and hard, about the decision you will make regarding concessions that will affect us all. Unlike the Union Employees of STNG, the Non-Union employees were not given a choice about concessions. Some of us took pay cuts of up to 50%. Our choice was to accept the pay cut or to leave. If we chose to leave we would not receive any unemployment compensation."
Here's a link to the entire letter.
The only known bidder for the assets of the bankrupt media is James Tyree of Mesirow Financial, heading a group of 36 investors. Speaking to the employees primarily through interim CEO Jeremy Halbreich, Tyree has given the unions terms that amount to telling them to gut themselves, and told them that unless they unanimously agree to these terms he'll back out. The STMG assets will be auctioned off October 7 in bankruptcy court, and Tyree's already made the opening bid — $5 million plus the assumption of a little over $20 million in debts. No other bidders are expected.
All five Newspaper Guild units that bargain with the STMG have rejected Tyree's terms by lopsided margins, and the Post-Tribune's was the first to act, voting 17 to 1 against them on September 14.
The letter to the union was written by Kelsey Perry, an account executive in the Post-Tribune's retail advertising department, which is the only department of any size outside the newsroom to survive the media group's massive retrenchment. Perry tells me she took her letter around Monday and collected 27 signatures, meaning almost the entire nonunion rank and file at the paper. Somebody didn't sign for religious reasons, and two others "because they felt sorry for the union people," Perry tells me. And there were a few people she didn't have a chance to approach.
She doesn't feel sorry for the media group's Guild members, who in Marchearlier this year agreed to a 15 percent, supposedly temporary pay cut and are now being told by Tyree that he intends to make it permanent. In conversation, Perry's a lot blunter than her letter. "We can't believe these people are that ridiculous and are not willing to make concessions," she says. "I personally have taken a 50 percent pay cut. I head up real estate, and they gave numbers to me that were unattainable, and if I didn't meet 80 percent of that goal I only got half pay. If over all, the real estate market is down 20-some percent, how did they expect me to make these goals? I can live with that. I know real estate will come back. But when you ask somebody to take a 15 percent pay cut and live without seniority — we don't have seniority."
She says, "We are all very grateful to Jim Tyree. We think this is a wonderful thing he's doing. He's throwing us a lifeline we desperately need. These idiots are waiting for a party boat and there isn't a party boat coming."
The staff of the Post-Tribune is down to 60 or so people, though I'm told that just a couple of years ago it was around 250. "Our circulation department is gone," says retail sales assistant Kathleen Elwood, who signed Perry's letter. "Our finance department is gone. Most of our graphics artists are gone — that was outsourced to the Philippines. Fiinance is in Tinley Park now. We're delivered by the Tribune. Our classified department was outsourced three or four months ago to call centers in New York and Aurora."
And the printing's done by the plant on South Ashland Avenue that prints the Sun-Times. "All we are is an office building with a staff," says Perry. And there's a For Sale sign out in front of the office building, which is in Merrillville. Andy Grimm, president of the Post-Tribune's guild unit, has talked up the idea of the employees making an ESOP bid for the Post-Tribune and taking it over, but neither Perry nor Elwood takes that idea seriously — in part because there are so few employees. "We're pretty much a shell right now," says Perry. "Where would they print it?"
After she'd collected her signatures, Perry put her letter in an envelope and put the envelope on Grimm's desk. She said Friday she's still waiting to hear from him. The reaction came from STMG management. She faxed a copy of her letter to Ted Rilea, the vice president of labor relations. On Wednesday STMG issued a news release announcing it.
"If I were buying these newspapers and there's one paper holding out," says Perry, meaning one union at one paper, "I would fire them. You know what, they're troublemakers. If 37-some people can disrupt the lives of 1,800 — how do you do that!"
She's saying Tyree should buy the Post-Tribune and fire the newsroom. Perry likes working at the Post-Tribune and she has faith in its future: she believes that once the company's out of bankruptcy the Post-Tribune can make a comeback because northwest Indiana is such a rich region for news and the Chicago papers barely cover it. In other words, her fire-the-reporters idea doesn't make a lot of sense. It does express her exasperation.
Andy Grimm indicates to me that at least as far as he's concerned, the ESOP idea is still alive.
UPDATE: Here's Grimm's response to Perry:
“I’d just like to say to the folks on the other side of the building that we’re really not idiots over here in the union. We understand the great opportunity Mr. Tyree’s bid represents for our company, and we’re all very worried about our jobs, too. Yes, we voted down the contract terms that were proposed, but in the same resolution, we voted to open negotiations with the company to try to find terms that can ensure a future for the Post-Tribune. Our letter to the company is posted in the newsroom, next to Ms. Perry’s petition. We voted in favor of the pay cut in May, and we’re willing to come to the table at any time to talk about concessions that will protect jobs at the Post-Tribune and the rest of the Sun-Times Media Group.”
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This illustrates yet another thing that is screwed up with this company and its future. Should we somehow survive this bankruptcy process (and the only way I see that happening is if Tyree buys us anyway without the concessions), then the union and nonunion people will have to work together closer than ever before, and how can we work together with all of this between us? Even if everything works out, the nonunion workers at least have been through hell the last month and we hold the union responsible. Every conversation in my office eventually comes around to us going out of business or involves some sort of gallows humor. People are having health problems from stress. This kind of thing isn't going to be forgotten or forgiven easily. Do you think Ms. Perry in this article or the others who signed her letter won't have any conflicts with the union workers after this? I've heard that if this goes through the union and nonunion staffs will be mixed together like never before and we'll probably all be either asked to join the union or conscripted into it. There are people who really, sincerely hate the union and everything they stand for, and I'm sure there are union workers who feel the same about the nonunion workers. This company is just getting more disfunctional.
"I personally have taken a 50 percent pay cut. I head up real estate, and they gave numbers to me that were unattainable, and if I didn't meet 80 percent of that goal I only got half pay. If over all, the real estate market is down 20-some percent, how did they expect me to make these goals?"
Um Kelsey, you have taken a 0% pay cut. You are being payed 100% of your salary per your compensation agreement. Your "half pay" occured because, guess what - you missed your goal. Welcome to sales.
Talk about an entitlement mentality.
I cannot speak for everyone who's name is on that letter, but just because I signed it, that does not mean I share Ms. Perry's opionions. I signed it to express my concerns to the people who have a say in my future...period. I did not feel there was animosity before, just major concern. But it does seem that we are trying really hard to self destruct. Emotions are obviously high, but we have to think, people!
I think it is important to remember that divisiveness can only be destructive. And to resort to name-calling? Many of the guilders were quite disappointed that the non-union folks were not included, or apparently even invited, to the meeting with Jeremy Halbreich last week. A lot of misconceptions that Kelsey and others have could have been cleared up. We are all employees here and we all want this newspaper to survive.
In the recent past, the guild went for years, about 9 years, without a contract. That means 9 years without pay raises. That battle was fought because important issues were at stake and deserved to be protected. Including severance and seniority.
Frankly, the 15% cut Tyree has demanded was really never a deal breaker for guild members. We had accepted the fact that that cut was necessary. This hasn't been accurately addressed in most media stories.
Kelsey points to this strong animosity towards guild members. Really? When the P-T went through layoffs last year, the guild was able to bargain and negotiate. TWICE we were able to garner enough generous and thoughtful co-workers to VOLUNTEER to take layoffs. Those volunteers were allowed time before they left. This was not the case for non-union employees who were given a callous 5 minutes to clear their desks and an escort out the door. Wouldn't you want that same protection, Kelsey? And believe me, no one in the guild took comfort in watching this happen. We were thankful for the union, but took no glee in the suffering of those shoved out the door.
And the ESOP attempts....try getting investors to make a committment when the company refuses to open the books. Of course no one will make an offer if there are no numbers.
For non-union P-Ters to hate the union or what the union stands for is a mystery to me. Northwest Indiana is full of union members. Many residents subscribe to this paper specifically because itis union. Well, let me say this. Some people may hate us. Fine. But we don't hate you. And furthermore, I think there are far fewer that hate, than don't. I think people are scared. And there are some (management) that are taking advantage of that fear and using it to divide people. Why do you think non-union people weren't allowed to the meeting with Halbreich here last week? Are you aware that we were told that was for our own protection, because the scary people on the other side of the building might come to blows? Communication is never a bad thing. Miscommunication, misinformation and fear are the enemies, not each other.
For non-union P-Ters to hate the union or what the union stands for is a mystery to me. Northwest Indiana is full of union members. Many residents subscribe to this paper specifically because itis union. Well, let me say this. Some people may hate us. Fine. But we don't hate you. And furthermore, I think there are far fewer that hate, than don't. I think people are scared. And there are some (management) that are taking advantage of that fear and using it to divide people. Why do you think non-union people weren't allowed to the meeting with Halbreich here last week? Are you aware that we were told that was for our own protection, because the scary people on the other side of the building might come to blows? Communication is never a bad thing. Miscommunication, misinformation and fear are the enemies, not each other.
Management at the post-trib has been severely lacking for some time now, there is no communication, when we ask for a clue to what's going on all we are told is we don't/can't/won't say anything, but in reality we see you grouped together in someone's office whispering away. At least Murdoch kept us abreast of situations and treated us as ONE team, our new publisher has no consoling words or direction and doesn't even give us the time of day. I know for a fact that they offer many fine management courses at the local colleges. Perhaps someone should invest in some higher learning.
Maybe if Kelsey Perry and those of her opinion used tactics other than calling co-workers "idiots," they might listen to her. Too bad lady, you lost me and likely many others at your own workplace. I hope the Sun-Times non-union folks don't think a letter like that's going to sway anyone. It won't.
The issue is this: people I don't know and who don't know me are determining my future. The decisions of the non-union employees do not adversely affect the livelihoods of the union employees. But don't be misled - it is not nearly as divided as you think. In the end what we all want is to produce a product we are all proud of, and enjoy doing it in the provess. And it's not just Post-Tribune employees who will be impacted. Our advertisers and our readers will be too. They are just as loyal and passionate about us and choose us over the competition. Our subscribers and advertisers will be directly affected by the decisions made in the next few days. I think it will be worked out in the end, and I know that our customers and readers hope and pray it will too!
I, a non-union employee who has a lot of "friends" on the union side of the wall, also wasn't invited to THAT meeting. I do know this, WE ALL LOSE. This is a situation where we all go down together, but I do know this, also. As someone who has over 30 years experience in sales, I've already had about 5 companies tell me, if the bottom falls out, come and see me-I don't know too many jobs out there for writers and pressmen-if ANY. So, your lives AND OURS are in your hands.
Guess what, Sweet Cheeks, you're gonna lose even if the unions give in to all concessions. The ultimate goal is to reduce staff by 35% and they're going to be looking at a lot of things, like how much medical insurance you use (pregnant anyone?), sick leave, employee compensation, Excessive time off, etc.
And guess what else? It's up to your manager or editor. Even if you're Ace Reporter or Top Sales Dawg, if your manager doesn't like you, you're history.
you guys need not be so harsh to each other (I'm sure its not easy during these difficult worried times) pull together as difficult as that may be - start getting a hold of your mgmt team. Where are they in all of this to support you? Under their desk? Has mgmt stood up and suggested to cut throats at the top? Can you imagine how much money could be saved there? How much dead weight is at the top? you can guarantee that they are reaping nice bonuses and raises thru out YOUR suffering. Its only fair that everyone INCLUDING top mgmt make concessions and even more so top mgmt. You know there is al lot of extra baggage there that can be dumped. I feel for you union and nonunion peoples for what your top mgmt has put on you. Has your leaders been telling you the truth and keeping you informed? according to "getyourheadoutofyourasses" your mgmt team sucks! NO support from them, no consoling, misinforming or not informing at all! Lets face it mgmt always lies and pits each other and even has their favorites. Anyway, union people as hard as it yes I think for the time being voting "yes" is the right thing to do, unfortunately. SAVE ALL OF YOUR JOBS. At least it gives each of you a little extra time to locate something else. I would hate to see your publication go out of business. You know what that would do for your competitor?? wow! they are just waiting to be the ONLY paper alive. You know, just maybe if you the pos tribune survived this, your competitor might go under instead - now wouldnt that be nice for you to be the sole surviving paper?
you all need to pull as a team, create your own meeting get together . I see that the nonunions are scared shitless because they have no say or control in the matter of keeping a job. I know I'd be scared also. You guys need to see both sides. too bad that the whole suntimes cant have a huge meeting w/ all of the top "heads" including your CEO, COO, and TYREE. face to face tells alot by itself, but politicians are notorious for misinforming - misleading - hiding the truth. I WISH ALL OF YOU THE BEST OF LUCK no matter what road you take.
Thank you, Fuzzy. You're absolutely right. Management is spouting inane nonsense from Tyree's mouthpiece Jeremy Halbreich - who is going to end up fabulously rich if this deal goes through. Management has been promised they will keep their jobs IF they convince us to take the crumbs they're offering.
SCREW IT! If management is sneaking these internal memos to this blog, they are deliberately trying to stir up hostility. Let's throw the hostility right back at them.
THEY MAKE A LOT MORE MONEY THAN WE DO AND THEY'RE NOT FACING BIG CUTS!
IT IS TIME TO START SHARING EVERY NASTY THING YOU KNOW ABOUT YOUR MANAGER WITH THE EXECUTIVES. NOTHING IS SACRED IT'S TIME TO TALK ABOUT THE AFFAIRS, THE JOB SEARCHES, THE LIES ON TIME SHEETS, THE LAZINESS, THE DISHONESTY.
THEY WANT TO SCREW US. TIME TO TURN THE TABLES.
Yeah, let's not do that "Tell Tyree" after all. ok? Cannot imagine how productive that would be.
At least the folks at the Trib seem to know what the score is and what the scenarios could be...
http://www.chicagotribune.com/business/chi…
By Julie Johnsson and Michael Oneal Tribune reporters
October 4, 2009
FROM THE TRIB STORY
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Sources say talks are scheduled to continue through Wednesday, if needed, and the Guild has planned a meeting that evening to update members and possibly vote on new contract language. On Thursday, the U.S. Bankruptcy Court in Delaware will consider approving whatever bid the company recommends. Sun Times Media Filed for bankruptcy there.
If another party proposing to liquidate the company tops Tyree's bid, labor's approval could be critical to bolstering Tyree and management's case to keep Sun-Times Media as a going concern, sources said.
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