There is a President’s meeting Monday, September 24th. Following that meeting we will have the specific language of the proposed contract changes and will post all of that, along with how it compares to current contract language, and information on the ratification process.
Local 1101 Executive Board members will be visiting all work locations beginning Monday, September 24th and there will be a Verizon workers membership meeting to discuss the Tentative Agreement.
WAGES
| Effective Date | Percentage Increase | Applied to: |
| The first Sunday after ratification of the 2012 MOU | 2.25% |
All steps of the basic wage schedules |
| Sunday, 8/4/2013 | 2.75% | All steps of the basic wage schedules |
| Sunday, 8/3/2014 | 3.0% | All steps of the basic wage schedules |
Compounded Increase 8.2%
Ratification Bonus. A one-time, single Ratification Bonus payment of $800 will be paid within thirty days of ratification. Ratification Bonus payments will be subject to all applicable federal, state and local tax withholdings.
COST-OF-LIVING
There will be no Cost-of-Living adjustments during the term of the contract.
JOB SECURITY
Job Security provisions, including no voluntary layoff and the Movement-Of-Work provisions (.7) remain the same.
TRANSFERS
35-mile rule remains the same.
INCIDENTAL ABSENCE
Effective January 1, 2013, there will be 10 days paid Incidental Absence.
All employees may take up to Four (4) absence days (Exempt Days) that will not be subject to the Absence Control Plan. The remaining 6 days are subject to the Absence Control Plan and you can be stepped if they are not FMLA approved.
Employees will be paid the first week in March the following year, a lump sum payout for using four days or fewer based on the following chart.
| Number of Paid or Unpaid Incidental Absence Days used in the Calendar Year | Lump Sum Payment |
| 4 Days | 1 Day’s Pay |
| At least 3 days but less than 4 days | 2 Day’s Pay |
| At least 2 days but less than 3 days | 3 Day’s Pay |
| More than Zero days but less than two days | 4 Day’s Pay |
| Zero Days | 5 Day’s Pay |
PENSION PLAN
Remains unchanged for current employees. No cap at 30 years. No pension for new hires.
New hires will be covered by a 401(K) instead of having a pension. There is a 100% company match for employee contributions of up to 6% of their salary. There is a discretionary bonus of up to 3% of their salary added to the 401(k).
PENSION LUMP SUM CASHOUT remains
NEXT STEP PROGRAM
The Next Step program will be terminated as of May 31, 2016. Employees who are already enrolled in the Next Step Program as of the Fall 2012 semester will be able to continue taking courses to complete their degree.
TUITION ASSISTANCE PLAN
Effective January 1, 2013 there will be an annual cap on tuition assistance for full time associates of 8,000 under the tuition assistance plan.
MEDICAL
Premium payments for health care (monthly)
| MEP & HCN | EPO, HMOs & other plans | |||
| Employee | Employee + Family | Employee | Employee + Family | |
| Current contract | 0 | 0 | 0 | 0 |
| 2012 | $30 | $60 | $45.00 | $90 |
| 2013 | $45 | $90 | $67.50 | $135 |
| 2014 | $50 | $100 | $75.00 | $150 |
| 2015 | $55 | $110 | $82.50 | $165 |
If the employee or covered dependent uses tobacco products, the rates above increase by $50/month.The rates above will be $100 more per year for employees who do not complete a health risk assessment.
PRESCRIPTION DRUG PROGRAM
*DNP is Discounted Network Price
Generics:
| Retail | Mail Order | |
| 2013 | DNP or $8 | DNP or $16 |
| 2014 | DNP or $8 | DNP or $16 |
| 2015 | DNP or $9 | DNP or $9 |
Single Source and Multi Source Brands:
| Retail | Mail Order | |
| 2013 | 30% of DNP or $25 | 30% DNP or $50 |
| 2014 | 30% of DNP or $25 | 30% DNP or $50 |
| 2015 | 30% of DNP or $26.50 | 30% of DNP or $53 |
Out of pocket maximum for drugs purchased at mail order pharmacies:
2013: $600
2014: $700
2015: $742
Current out of pocket maximum is $400/year under the Health Care PPO will be eliminated.
HEALTHCARE REIMBURSEMENT ACCOUNT
The Company will establish a Health Reimbursement Account (HRA) and allocate a credit of $850 to each HRA for eligible full-time employees to reimburse for medical expenses (co-pays, deductibles, out of pocket expenses, co-insurance). May not be used to reimburse for any premium payments. This is a one-time payment of $850 (not yearly).
RETIREE HEALTH BENEFITS
Any changes to the health care benefits and prescription drug coverage provided to active employees will also be made, effective January 1, 2013, to the health care benefits and prescription drug coverage provided to covered retirees.
Employees who retire before January 1, 2013 will not be subject to new premium payments for health care as retirees, only for the life of this agreement. Anyone who retires after January 1, 2013 will be subject to new premium payments as retirees.
CORPORATE PROFIT SHARING
The “Standard” CPS Distribution is $500 per year. Notwithstanding, the minimum distribution for 2011, 2012, 2013 and 2014 will be $700. The Company distributed the CPS Award for Performance Year 2011 already.
WORK AND FAMILY COMMITTEE
Funding for the Work and Family Committee programs will be a total of $6.0 million ($1.5 million per contract year, which includes funding for 2011).
MOVING PAYDAY TO FRIDAY
The pay day for all associates will move from Thursday to Friday, effective January 5, 2013.
CALL CENTER JOBS
Verizon will hire 300 new full-time call center jobs during the term of the contract. 125 jobs into Sales and Service centers and 175 jobs into the Fiber Customer Support Analysts (FCSA’s) and Enhanced Verizon Resolution Centers (EVRC’s).
Note: No change to the carve outs for Verizon Business workers which means they are still not covered by the Job Security Letter and can be laid off. Also, no change to the carve outs which establish a lower pay rate for Verizon Business workers even though they do the same work as Verizon workers.
Source: Local 1101.org