BUSINESS MANAGER'S REPORT

February 6, 2009

 

1.  Hawaiian Telcom continues to navigate through the rough waters of Chapter 11. Some of the impacts have been the freezing of the lump sum option, full implementation of Next Gen TV, and layered approvals for any expenditure above the normal operational expenses.

 

Here is how we mitigate the exposure to the Union:

• We have met with PUC Chair Caliboso and continue to schedule meetings with our Congressional leaders to ensure that the members of IBEW Local Union 1357 do not suffer any more throughout this process.

• I have testified in support of House Bill 254 and will also be testifying in support of Senate Bill 1607. These bills are structured to help level the playing field with regard to flexible pricing, and although it is not the total answer, it is a step in the right direction.

• IBEW Local 1357 is a representative on the Creditors Committee, which has oversight on the expenditures of the Company, We are also privy to operational information, such as capital investments being made by the Company and where the impact would be to our membership.

The reality is the longer we are in Chapter 11, the more customers we may lose, the longer it will take to roll out new products, the more pressure it will put on our members, and the continued weakening of the Company and the membership.

 

We already have members who have stubbed their toes with regard to being responsible; members turning in members; members deviating from practice; and members who because of preventable personal situations no longer can fulfill their work requirements, taxing the Union's resources. And we will fight for our members to the umpteenth degree. However, understand this --- where Microsoft, Starbucks, IBM, Sony, Panasonic, etc., are laying off employees by the thousands, those employees who choose to put themselves in difficult positions dilute our efforts to save jobs. Please remember to help one another and be the best IBEW member you can be.

 

2.  President Furukado and Local Union Rep Kimi Koge recently returned from Saipan, where they were able to help resolve workplace issues, help train and support our Unit 10 members, while also working on future bargaining opportunities with the administration. Kimi and Ted were also instrumental in signing up 20 new members. Thank you, Kimi and Ted, for your tremendous leadership, and also to Unit 10 Chairman Ray Tenorio and Executive Committee member Hector Venus for their comprehensive effort and support for our members.

 

3.  IBEW Local Union 1357 still faces significant challenges during this coming year. With the Company's filing of Chapter 11, we have had to acquire specialized legal support to protect our members' rights. And as we ramp up our organizing efforts, we still have a long way to go in growing our membership. We continue to schedule training support for both the staff and our Union leaders, while we transition both PTI and Hawaiian Telcom employees. Having said that, I am recommending to the Executive Board that it delay any action on the existing dues structure until we have better stabilized our fiscal condition. But, most of all, we need to make sure that we continue to protect our members.