The Facts about FairPoint's Proposals

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Nov 08, 2014, 08:00 ET

PORTLAND, Maine, Nov. 8, 2014 /PRNewswire/ -- FairPoint Communications spokeswoman Angelynne Beaudry today issued the following statement about the company's implemented proposals:

In early August, two of FairPoint's collective bargaining agreements, that cover most of our union-represented employees in northern New England, expired. After months of negotiations we informed the Unions that the parties were at impasse, and on August 28, 2014 we implemented our final proposals. On October 17, 2014 the Unions struck FairPoint and remain out today.

It was the Unions who decided to strike, and it will be the Unions who will decide when to end their strike. Either way, FairPoint will provide service to our customers.

The cause of the strike is equally clear. Our desire is to provide our employees with quality jobs, with good wages, and with mainstream healthcare and retirement benefits. Although the average striker's paycheck totaled $82,500 in 2013 – nearly twice the median personal income in the region – FairPoint did not seek wage concessions. And by implementing our final proposals we took the initiative to move approximately 1,700 unionized employees to benefit plans that are the same or substantially similar to the plans all other FairPoint employees receive, including management. But our employees struck over this wage and benefit package.

Further, we have no desire to take away the strikers' jobs. The application of our subcontracting proposal will not result in the layoff of unionized employees. It will give the Company the right, among other things, to contract out work in situations such as during the annual summer storm season or when facing emergency conditions. This will allow the Company to respond more quickly to our customers' needs.

This is a strike about wages and benefits. We think our proposals to the Unions were fair. The Unions think they were so bad that they went out on strike. You be the judge:

Category:	FairPoint's Implemented Proposal:
Wages	No change to base wages for current employees.
Healthcare	A comprehensive medical plan with FairPoint paying almost 80% of premiums on average for employees and their families, which is more generous than for our other employees.
Retirement Plans	A mainstream 401(k) plan, with dollar-for-dollar company match for up to 5% of the employee's eligible pay.
Paid Sick Time	Five paid days per calendar year for personal illness (plus four paid personal days, ten paid holidays and up to five weeks of paid vacation time depending on tenure).

Subcontract work	FairPoint will not subcontract if it directly results in a layoff of unionized employees.