Building workers threaten owners with strike action.

A dispute over health insurance bills could leave New York's office buildings in a big mess Friday.

On September 23, members of Local 32 BJ, the labor union for commercial building janitors, voted to authorize a strike if the union's negotiations with the Realty Advisory Board on Labor Relations won't produce a feasible health care plan by October 1.

At the moment, Local 32 BJ faces a $175 million deficit in its health insurance fund. In an effort to cut down the expenses, union members agreed to a coverage plan with fewer physicians and a revised prescription plan, which would bring the deficit down to approximately $100 million. In exchange, they would like building owners to pay the difference, a proposal the Realty Advisory Board rejected on the grounds that the commercial real estate market is experiencing high vacancy rates this year. "Overall, we've got three main demands: continuation of employer health care coverage, a fair wage increase and retirement benefits," said Matt Nerzig, a spokesman for Local 32 BJ. "The health care costs have been skyrocketing, so we've taken some steps to contain those costs and now we are asking the real estate industry to do their part. We are still talking, but we haven't seen a proposal from management that would close the [deficit] gap. We hope to avoid a strike, but if we don't have an agreement [soon], we might have to go on one."

According to Jim Berg, president of the Realty Advisory Board, a possible solution would be for building owners and union members to split the cost of insurance benefits.

"I think that both sides intend to resolve this issue," be said. "In terms of our options, there are several: there will be some changes in the [health care] plan that will reduce the costs a bit and the remaining money will have to be negotiated as to how much will be paid by the employer and how much by the employees. We'll sure be working on it."

If the negotiators fail to come up with a health care plan acceptable to both sides by Friday, approximately 1,000 of New York's office buildings could be left without cleaning services. Buildings in Long Island, Connecticut, New Jersey and Westchester county could be affected as well.

In preparation for the strike, the Realty Advisory Board issued an advisory on how building owners and managers could deal with building maintenance problems.

Among other things, the Board recommends that strike notices be posted in visible locations for the benefit of tenants, that building management inspect the buildings daily for signs of possible problems and that the management hire replacement workers, but limit their services to essential tasks only.

A complete strike preparedness manual can be found at www.rabolr.com.