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UAW FILES SUIT TO BLOCK UNISYS RETIREE HEALTH CARE CUTS

 DETROIT, Dec. 22 /PRNewswire/ -- UAW attorneys representing UAW Local 1313, and retirees and their spouses from the UNISYS Corporation who are former members of Local 1313, filed suit today in Federal District Court to block plans by UNISYS to institute a new retiree insurance plan with curtailed benefits, and to reduce and to entirely eliminate company premium contributions for retirees' health insurance by 1996.
 The UAW suit contends that in announcing on Oct. 30, 1992, that it would drastically reduce health care benefits, UNISYS violated its contractual obligations to its retirees and its statutory obligations under the Employment Retirement Income Security Act (ERISA). The union further contends that UNISYS induced employees to retire early by promising them lifetime health insurance benefits. The union is asking the court to affirm that the retirees' health insurance are indeed lifetime benefits, that the benefits be restored and that the retirees be compensated for any losses incurred.
 "By promising these workers that they could retire with lifetime health insurance, and now breaking that promise, the corporation has cruelly and illegally pulled the rug from under these 2,800 retirees and created unnecessary anxiety and fear," declared UAW Region 1A Director Bob King. UAW Local 1313, which represents about 2,800 UNISYS retirees and spouses, is part of UAW Region 1A.
 "We firmly believe that UNISYS' contractual and statutory violations will be reversed by the court and that the retirees' benefits will be restored," stated King, concluding, "unfortunately, the unilateral reduction of retiree health insurance by companies is a growing national problem which must ultimately be addressed by reform of our nation's health care system."
 -0- 12/22/92
 /CONTACT: Reg McGhee of UAW Public Relations, 313-926-5291/


CO: UAW Local 1313; UNISYS Corporation ST: Michigan IN: INS SU:

KE -- DE016 -- 9270 12/22/92 16:24 EST
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Publication:PR Newswire
Date:Dec 22, 1992
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