Chicago teachers get 1-year contract, end strike.
The teachers' contract called for a 4.5-percent salary increase effective December 17 and one-time bonus in March 1985 equal to 2.5 percent of earnings during 1984. The board also agreed to resume paying the full cost of medical insurance, as it had done since 1971. Earlier, the board had moved to ease its fiscal problems by requiring the employees to begin paying 25 percent of the cost, which became a major issue in the dispute. To some extent, medical cost will be moderated by a new plan under which the board will contract with certain hospitals to treat employees. If the employees use other hospitals, they will have to pay higher deductibles.
In another cost-containment move, the parties agreed to make up only 5 of the 10 school days lost due to the strike. The board also voted to cut the number of teaching positions, reduce funds for maintenance and supplies, and eliminate a proposed plan to improve academic standards. scheduled to expire in July 1985. The cut affected 8,000 union members plus 4,000 nonunion employees who had earlier agreed to the plan.
The company, which lost $15.5 million in the third quarter of 1984, attributed its difficulties to lack of finances and management talent to carry out a diversification plan.
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|Publication:||Monthly Labor Review|
|Date:||Feb 1, 1985|
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