When Jerry McCoy heard about the American Rescue Plan in March, he didn’t know that much about it. In 2011, he retired as a machinist from the Y-12 National Security Complex facility in Oak Ridge, Tennessee and has been living off the company pension. Consolidated Nuclear Security, LLC operates the site.
“I’m retired during a pandemic. If they ever said, ‘We don’t have enough money in your pension plan,’ it would have been devastating,” said McCoy, a member of IAM Local 480.
President Biden signed the Butch Lewis Emergency Pension Relief Act into law on March 11, as part of the American Rescue Plan. The law preserves and restores pensions for more than one million retirees and workers in about 200 severely underfunded multiemployer pension plans. McCoy was thankful his pension didn’t fit into that category. However, he knew the dire consequences looming for all U.S. pensioners without the provisions of the “Butch Lewis Act.” It protected healthy plans and strengthened the overall pension system, something the IAM lobbied for heavily.McCoy was happy to see the legislation, because he considers his pension his lifeline. “It’s very important because we depend on that for our livelihood, my wife and I.” He said it was reassuring to know that he would someday retire with a pension, even when he was younger. “That was the reason you stayed there,” he said. “That was the reason you wanted to be there.”
McCoy started working for what was then Union Carbide in 1970 and 41 years later, hopes young workers realize the benefits of defined benefit pension plans and the importance of preserving them. “New employees come in and don’t have a pension. They have a 401K. You might as well go to Vegas,” he said.
Fortunate enough to retire at 60, McCoy is thankful his wife has a pension and their daughter was able to receive a union scholarship from the AFL-CIO and go on to work for a Canadian company that provides a pension.
It’s all about priorities and getting a fair return on our work. “Giving bonuses sounds good, but I’d rather have a raise,” he said. And a pension.
Solidarity and unity were on full display this week when IAM Local 778 members working at Highway Trailer Sales in Kansas City, MO settled their 12-day strike and returned to work with a contract which contained a 10 percent pay increase. The group of four tractor trailer mechanics voted unanimously to accept the new agreement.78
As the strike grew in numbers of days, so did the size of the picket line. Even though there were only four members on strike, the positive response from fellow union members, local labor unions, politicians and the community was a true display of how solidarity and support make a big impact.
BREAKING! Thanks to your solidarity, the striking workers at Highway Trailer Sales INC have won the raises & benefits they rightfully deserve!
Today’s solidarity event on the picket line is canceled.
— MO Jobs with Justice Voter Action (@MOJwJ) July 13, 2021
“The members at Highway Trailer Sales went on strike July 1. This group stood together every day to fight off the employer’s desire to sub-contract their work and cut their benefits and wages,” said Local 778 Business Representative Scott Brown. “This unit was successful in their fight and returned to work July 13 after accepting an offer with 100 percent approval. The amount of support from other labor unions, elected state and city representatives, retirees and other workers showing support on the strike line and making donations definitely played a major role in the owner getting back to the table. We’re happy to get this group back to work under a fair and acceptable contract that holds value to their labor and skill set.”
“These members held strong from day one of the strike and that is why they were successful in not taking concessions,” said Local 778 Directing Business Representative Joe Capra. “I want to thank the UAW, and all the other unions that came out in strong support during this strike. In addition, BR Scott Brown showed his leadership in turning this strike to a win for labor, and a special thank you to GLR Larry Young for his help throughout negotiations and the strike.”
“I couldn’t be more proud of this group for standing up and fighting for what they deserve,” said IAM Midwest Territory General Vice President Steve Galloway. “This group worked throughout the entire pandemic, making sure they could keep tractor trailers on the road. They sacrificed past raises to help their employer, and the time came for their employer to reciprocate with a fair contract. In addition to their strength and solidarity, the support they were shown by the labor community, political leaders and the greater Kansas City area has been truly inspiring. These members exemplify what it means to be Fighting Machinists.”
The IAM was among a number of labor unions honored during the Washington Spirit’s recent “Salute to Labor” night at Audi Field.
The July 10 event was a nod to the region’s workers, including those who helped construct the 20,000-seat sports venue that was completed in July 2018. The $400 million stadium in Buzzard Point was a construction project with workers such as carpenters, painters and ironworkers.
The evening’s match between Spirit and the North Carolina Courage also included posting of union logos on the scoreboard, including that of the IAM.
The Spirit thanked many unions in the D.C. metro region, which includes the IAM, the Transportation Communications Union (TCU/IAM) and the National Federation of Federal Employees (NFFE-IAM).
The Spirit’s website touted the work of the those who constructed Audi Field, which also included apprenticeship opportunities for local residents:
Over the 18 months that it took to build the stadium, many different hands were needed to pull this project together. Not only was it a good learning experience for many, but through the project labor agreement, it has turned into long-term jobs for local residents of the Washington, D.C. area.
Audi Field also serves as home to the DC United men’s professional American soccer team.
The IAM is continuing to urge the Biden administration to protect Service Contract Act (SCA) workers’ jobs by reinstating critical job security protections.
Service Contract workers are private-sector employees who work under federal contracts, primarily at military bases and other federal installations. The IAM represents nearly 40,000 Service Contract Workers in various industries, spread across more than 800 locations.
In 2019, former President Trump rescinded Executive Order 13495, which President Obama implemented to provide essential job security to service contract workers. The order, known as “Nondisplacement of Qualified Workers Under Service Contracts,” granted workers the right of first refusal for continued employment when an SCA government contractor or employer is replaced by a new successor contractor at the same location. This policy benefited both the government and the workers by ensuring workforce stability as government contracts change hands.
IAM International President Robert Martinez Jr. wrote a letter to President Biden in February urging him to restore Service Contract Workers job protections.
“Not only is President Trump’s petty rebuke of President Obama’s policy bad for government contracting efficiency, it is also disastrous for the workers who are displaced, along with their families and the communities where they reside,” wrote Martinez “We respectfully ask that you swiftly reinstitute EO 13495 for the sake of efficient government procurement and fairness to these workers and their families.”
