The WisconsinLaborerWinter 1999

The delegates and staff of the Wisconsin Laborers’ District Council wish you and your family a safe and joyous holiday season!

Mark your calendar: dates set for 2000 Unity Conference
	The Biennial Wisconsin Laborers Unity Conference is scheduled for March 24 – 26, 2000 at the Concourse Hotel in downtown Madison, Wisconsin.
	The theme of this year’s conference is "When we build, we build forever" reflecting the collective effort and intent of Wisconsin Laborers to improving the lives and livelihoods of current and future members and their families.
	The format of the Conference has changed slightly from previous years to accommodate a greater selection of workshops, including a two-part workshop on Financial Planning and one devoted to the history and structure of the Union.
	Like previous Unity Conferences, the event will once again feature workshops on a number of Laborer programs and services, including skill improvement, Labor/Management cooperation, and legislative and political action.
	A number of special guests have been invited to address this year’s conference including Wisconsin Attorney General James Doyle; State AFL-CIO President David Newby; newly elected LIUNA General President Terrance O’Sullivan; LIUNA Secretary-Treasurer Carl Booker; and LIUNA Vice-President and Regional Manager Terry Healy.

Health Fair
	In addition to workshops and an extended general session, the Laborers’ Health and Safety Fund of North America will once again be on hand to conduct a Health Fair in conjunction with the conference. Attendees will be free to receive on the spot preventative health screenings and other information throughout the Health Fair, which will run on the second day of the conference.

Registration
	As in past years, registration is free and includes a reception Friday evening; continental breakfast and lunch on Saturday; and continental breakfast Sunday morning. Active members (working, or available for work) in good standing (not suspended) are eligible to attend. Friday and Saturday hotel accommodations will also be provided to attendees traveling to the Conference from outside the Madison area.
	More detailed Conference information and Registration forms for this year’s event will be mailed to all eligible members and distributed to Local unions in January.

Nominations sought for "Laborer of the Year"
	Too often the tendency is to focus on what one does for a living, rather than what one does in life. Laborers, like all workers, deserve to be recognized for their contributions both on and off the job.
	For that reason, the Wisconsin Laborers’ District Council is now accepting nominations for the first annual "Laborer of the Year" award. The award will be given to an active or retired member in good standing based on that member’s service to the union and to the community.
	Every day across the state there are members who go out of their way to make our lives, or the lives of people in the community, a little better. The award is intended to provide special recognition to an active member who has demonstrated a commitment to serving both the union and the community.
	The deadline for nominations is January 31, 2000.
	To request a nomination form, please contact your Local Union office or the Wisconsin Laborers’ District Council at 1-800-782-4634.
	The first annual "Laborer of the Year" award will be presented at the 2000 Laborers’ Unity Conference, March 24 – 26 in Madison.

Special Report – Need for Recruiting
	The front page headline in the November ‘99 issue of Cockshaw’s Construction Labor News and Opinion says it all – "Acute Skills Problems Persist: Craft and management shortages rate as industry’s top challenge."
	For years, survey after survey of construction firms nationwide have consistently shown the number one issue of construction employers to be the growing shortage of skilled workers.
	For the third straight year, a poll of union and non-union employers conducted by a Denver-based management consulting group identified "lack of qualified personnel" as contractors’ biggest concern.
	The construction industry nationwide has been experiencing a sustained period of growth, driven by an economy in the midst of period of economic expansion nearly unparalleled in our nation’s history.
	Unemployment is running at its lowest levels in 30 years. Construction like many industries, is finding it more and more difficult to find sufficient numbers of qualified workers to meet labor demands.
	According to the state Department of Workforce Development, in the 1980’s there were nearly 2.5 times as many young people turning 18 than there were reaching retirement age. Today that ratio had dwindled to 2 to 1.
	Compounding this problem is the low image construction currently enjoys among career choices for young people. In a recent survey of high school seniors, construction ranked 148 out of 150 possible career choices.
	Faced with that image the industry will be hard pressed to find workers to fill the over half a million new construction jobs that the Bureau of Labor Statistics projects will be created over the next eight years. The Milwaukee Journal Sentinel this month reported that the construction industry "has had to find an average of 10,900 new workers each year from outside the existing workforce" in Wisconsin alone. That figure is projected to grow to well over 45,000 annually by the year 2015.
	All of this demonstrates the serious need for employers to recruit new workers into the industry. But, given the direct impact membership figures have, both in terms of numbers and workforce percentages, on everything from negotiated wages to pension and health benefits, these trends and projections must also be taken seriously by unions as well.
	Wisconsin Laborers are keenly aware of the problem. From January 1, 1999 through October, 1,650 workers have joined the Laborers. Despite that large number of new members, the Laborers statewide have experienced a net gain of only 349 members.
	While net gains are good, these numbers clearly illustrate the magnitude of worker attrition and the level of effort that will be needed to advance core membership levels and build or maintain union market share in the industry.
	This of course raises the question of where will the new recruits come from? According to DWD, the percentage of persons between the ages of 16 and 64 not in Wisconsin’s labor force has dropped from 32% in 1975 to 14% in 1995.
	But, while the state enjoys a nation leading 74.7% employment participation level, there are areas of the state that do not come close to approaching that level. Milwaukee County for example, has employment participation level of only 50%. Speaking at a recent Associated General Contractors of Greater Milwaukee gathering, DWD’s Terry F. Ludeman estimated that "there’d be 75,000 more jobs filled," if that were to occur.
	Because of these serious trends and in order to build union market share in the industry, the Laborers have developed and participated in a number of training, apprenticeship, and recruitment programs over the years designed to bring new workers into the industry.
	Since 1995, the Laborers have participated in the state DOT sponsored Transportation Alliance for New Solutions (TrANS). TrANS is designed to increase women and minority worker participation in the road construction industry. Originally implemented in southeastern Wisconsin, the program’s success has allowed it to expand to include other areas of the state. To date, 109 people have stayed working in the industry because of the program.
	Next year the Laborers will unveil a new recruitment effort designed to introduce high school students, their teachers and guidance counselors to the short and long term benefits of becoming a construction craft laborer.
	The new campaign will feature a video comparing construction to other career choices, including segments on projected earnings, benefits, work, training and career advancement opportunities, and interviews with young workers who have joined the Laborers.
	Wisconsin Laborers are serious about dealing with work force trends and the need to recruit workers into the industry.

Labor History
	Thirty-some odd years ago or more, sometime during the month of December and usually just before Christmas, it wasn’t unusual for an entire family to cram into the family station wagon, or the "good-car" and take a trip across town for the annual visit with Santa.
	Granted, visits with Santa aren’t particularly unique this time of year. Today, especially, any trip to any mall this time of year will tell you that. But, what made these visits special was not that they took you to the mall, but that they took you to the hall – the Local Union hall.
	Years ago, it was not unusual for Unions to sponsor holiday parties geared for the entire family. An appearance by Santa, Santa’s helpers and, yes, an occasional reindeer were traditions within many Local Unions and families planned their holiday season around them.
	While most of the children, and the adults for that matter, never remembered the speeches – and as with any labor event, there were usually speeches – the images of those seasons have become even richer with the passage of time.
	Intended or not, the events became a valued part of members lives away from the workplace or jobsite.
	In addition to Holiday parties, many unions routinely sponsored other family focused events throughout the year.
	These events often provided an opportunity for a diverse group of people, separated by shift, employer, and neighborhoods, to develop relationships between and among members and their families.
	Businesses and their associations recognized the influence these events were having on their workers and their workers involvement within the labor movement.
	During the late 1940s and early 1950s companies began mounting aggressive public relations campaigns to redefine American business and the free-market system as pro-worker, pro-family and pro-community.
	Winning the public relations war meant winning the over spouses and children to the companies side through community building events and programs. These events ranged from community-wide open houses where companies invited entire families to day-long picnics and entertainment, to industry sponsored post-prom parties for area high schools. Companies even began competing with Unions as sponsors of softball teams and bowling leagues.
	And Junior Achievement, a program rooted in the National Association of Manufacturing, began flourishing during this period, as industry sponsors entered the school systems, indoctrinating young people on the value of business and free enterprise.
	Today, the tradition of family oriented local union sponsored events has all but disappeared. One exception for Laborers in Wisconsin is Local 237 in Kenosha, where this year, as in past years, Santa will once more be on hand, listening to those Christmas wishes and handing out presents to the kids.

Coia to retire
O’Sullivan elected General President
	At a regular meeting of the General Executive Board, General President Arthur A. Coia announced his intent to retire effective January 1, 2000. The Board unanimously elected Terence M. O’Sullivan as General President.
	O’Sullivan currently serves as LIUNA Vice President, Mid-Atlantic Regional Manager, and Assistant to the General President. He joined LIUNA in 1972 and is a long time member of Laborers’ Local 1353, Charleston, West Virginia. O’Sullivan worked as the Administrator of the West Virginia Laborers’ Training Fund, and has also served as Assistant Director of LIUNA’s Construction, Maintenance, and Service Trades Department, and as Chief of Staff.
	In addition to other posts, O’Sullivan serves as Administrator of the Laborers’ Health and Safety Fund of North America and the Laborers-Employers Cooperation and Education Trust.

Council hosts Computer Training
	The Wisconsin Laborers’ District Council conference room became a make-shift computer lab this month as a number of locals took advantage of a Council sponsored computer training for Microsoft Access based membership administration software.
	The class was designed to give union administrators a better understanding of how their union administration programs work and identify ways to take advantage of the features found in Microsoft Access to enhance software performance for the Local.
	Through presentations and hands-on exercises participants learned how to create customized tables, reports and queries, as well as import and export data.
	Prof. John Lund from the UW School for Workers and Joe Oswald of the District Council taught the four-hour class.

Delegate Profile
	Jim Annis, Laborers’ Local 113 in Milwaukee, has been a Laborer for over 26 years. Jim is a Business Rep at the Local and one of the newest delegates to the Council, having now served since February, 1999.
	Originally, Jim saw getting involved in the union as an opportunity, "to make a better life for myself and my family," and has remained active in the local for years. Presently, he is serving his third three-year term as President.
	Jim has also recently been appointed a Trustee to the Building Trades United Pension Trust Fund.
	Jim’s goals as District Council Delegate mirror those of other delegates, and sees the Council as a means "to work with the other Locals for the benefit of all Laborers in the state."
	In addition to his work at the Local, Jim also serves as a delegate to the Milwaukee Building and Construction Trades Council and has been a DAD’s Day (Building Trades sponsored, Dollars Against Diabetes) volunteer for the past four years.

Congressional Watch Help needed on Pension proposal
Congressional Watch Help needed on Pension proposal
	By Mike Ryan
	This past year Congress came as close as it ever has to making the necessary changes to Section 415 of the Internal Revenue Code that places unfair restrictions on participants in multi-employer pension funds.
	Section 415 of the Internal Revenue Code limits pension benefits based on 100% of pay, despite the fact that multi-employer plans base their payout on service. In multi-employer plans, pension contributions in a contract must be the same for all workers covered by the agreement, regardless of pay. High earners and low earners who have worked the same amount of time under the plan are entitled to the same benefits. Sometimes Section 415 prevents low earners from collecting their entire pension.
	Section 415 also imposes severe early retirement reductions and combines or aggregates pensions received under multi-employer plans and single employer plans for the purpose of establishing these limits.
	Unfortunately, a bipartisan proposal that would have finally offered building trades pensioners relief from Section 415 restrictions was excluded from the final Omnibus Appropriation Bill offered by Republican leadership and passed earlier this Fall.
	Democrats in Congress and many Republicans recognize the unfair restrictions Section 415 place on building trades workers. Both parties seem prepared to forward legislation next year designed to fix the problem.
	It would be helpful for members to encourage their member of Congress to sign-on as a co-sponsor of any bill designed to offer muti-employer plan participants relief from Section 415. Laborers work hard for a living deserve to receive pension benefits based on the contributions they made, and not some arbitrary standard that has nothing to do with the solvency of the plan. Please call your member of Congress today and ask that they co-sponsor Section 415 Relief legislation.


Legislative Changes needed in state Prevailing Wage law
Legislative Changes needed in state Prevailing Wage law
	The Wisconsin Laborers’ Legislative agenda includes various proposals aimed at improving state prevailing wage law. This is the last in a series of articles meant to provide members with information on these various proposals.

	Prohibit state, county or municipal government from entering lease or purchasing agreements for prison or jail facilities unless the owner can document that the facility was built by workers who were paid prevailing wages.
	Historically, prison construction in Wisconsin has been public work subject to the state prevailing wage law. Today, as the state prison population escalates it is becoming more and more difficult for the state to fund the capital projects necessary to house these inmates. Not surprisingly, Wisconsin is gaining the attention of a proliferating private prison industry that is well prepared to influence both public opinion and public policy toward the construction and operation of private prison facilities in the state.
	While the Governor and others have spoken against privately operated prison facilities, not much has been said in opposition to the state purchasing or leasing privately built facilities. Obviously, prevailing wage law does not apply to ordinary private sector work.
	But, this is not ordinary private sector construction. This work is being done for the state. Regardless of whether the state buys or leases the facility, the intent of private prison construction in Wisconsin is clear and the state is a necessary partner.
	For all practical purposes, private prisons are public projects and the workers who construct these facilities deserve the protection of the state prevailing wage law.

	Apply PW to all work performed where state money or state guaranteed loans are made available to the project, or if the project is built in an authorized TIF district.
	State prevailing wage law only applies to those projects where the state is the project’s owner.
	Over the years, the state like all units of government has been increasingly involved in financing projects that it does not necessarily own.
	The financing has ranged from grants and low-interest loans to the establishment of TIF Districts and special taxing authorities.
	Prevailing wage law is intended to protect the integrity of area wage standards.
	That same standard must also apply to projects made possible through government investment, financing or other assistance.

	Governor vetoes PW language
	Governor Tommy Thompson vetoed a provision in the state budget that would have specified that payroll records on public records were subject to the state’s open records law.
	The provision was consistent with the state Department of Workforce Development practice that encourages individuals and third parties to use the state’s open records law to gather evidence of wage violations before filing a formal claim against an employer with the Department.
	At the insistence of the provision’s sponsor State Senator Russ Decker (D-Weston), Senate Democrats included the open records language in their version of the state budget after Assembly Republicans had it removed in their caucus.
	The Prevailing wage measure then survived the final conference committee report only to be vetoed by the Governor.
	Presently, the connection between contractor records and open records law is not plainly stated in the statutes. Recent court decisions have made it more difficult for individuals to obtain this information through the state’s open records law.
	The Laborers and other building trades unions plan on seeking support for separate legislation to deal with the issue, which they view as simply validating existing DWD policy, when the legislature reconvenes next year.


LECET Report LECET working for labor and management
LECET Report LECET working for labor and management
	LECET programs continue to work for both labor and management. In 1999, two of these programs were particularly successful in making signatory contractors more competitive and winning more jobs for Laborers.
	Wisconsin Alliance for Fair Contracting
	Wisconsin LECET funds and coordinates the activities of the Wisconsin Alliance for Fair Contracting. WAFC continues to be the most effective means of supporting the enforcement of wage and hour laws in the state of Wisconsin.
	In 1999, WAFC monitors uncovered dozens of cases of workers being underpaid or not properly compensated while working on public works projects. This past year alone, these monitors have been responsible for filing wage rate complaints that may result in over $300,000 in unpaid wages and benefits on behalf of workers.
	WAFC works with the state Department of Workforce Development; state Department of Transportation; federal, state and local awarding agencies and staff; contractors and contractor associations; other labor organizations, including the International Union of Operating Engineers and International Brotherhood of Teamsters; local law enforcement and district attorneys.
	WAFC is "leveling the playing field" by making sure unscrupulous contractors are not rewarded with contracts while stealing wages and work from workers and fair contractors. On some occasions, after WAFC announced it would be monitoring a project before the project was awarded, contractors pulled bids. The work of WAFC has also gained the attention of the state chapter of the Associated Builders and Contractors, which has been challenging, with mixed results, WAFC payroll open record requests and "advising" its members about WAFC activity.
	Increased contractor reporting on prevailing rate surveys
	Wisconsin LECET again took the lead in facilitating contractor reporting on prevailing wage surveys. From personal meetings with contractors and associations, to developing and marketing computer software designed to encourage reporting, LECET again made an impact on union wage rates in the state.
	The effort resulted in an increase from 160 to over 200 signatory contractors reporting work to the department this year. While final figures from the department will not be known until January 1, 2000, we already know that the Laborer Heavy and Highway rates carried in 68 of 72 counties in the state.
	To increase contractor reporting on state prevailing wage surveys, LECET worked with an outside computer consultant to develop software program; other labor organizations, including the Teamster and Operating Engineer; the state Department of Workforce Development; state and Milwaukee Chapters of the AGC of Wisconsin; Wisconsin Underground Contractors Association; Wisconsin Transportation Builders Association.
	By working to increase the number of contractors and reported hours on wage survey data, LECET is helping to ensure that Laborer wage rates prevail in counties across the state.
	From a competitive stand point, it is extremely important in terms of future work for signatory contractors and members, that contractors bidding on public projects bid at wage rates consistent with those found in the collective bargaining agreement.
	This is especially true, given the fact that under state law the established wage rate has to be exact to the penny in order for mid-year increases to go into effect. In other words, if the prevailing rate set for the project does not match the contract rate to the penny, any increase in the contract is not reflected in the prevailing wage set for the project. This leaves signatory contractors at a competitive disadvantage.
	Signatory employers will bid that work estimating wage increases during the life of the project. Non-union employers will bid the work based on the established wage rate – with no increases. It is, therefore, of critical importance that union wage rates be reported accurately as well as in number.
	Wisconsin Laborers are committed to the future of our industry. LECET’s accomplishments demonstrate that we and our signatory employers are partners in the industry. We are willing and able to do what it takes to make our employers more competitive and gain more work for our members.