Five-year contract seen as milestone in drive to keep Chicago competitive in convention and trade show industry
FOR IMMEDIATE RELEASE
May 16, 2006
Contact: Mary Kay Marquisos, MPEA, 312-791-6237
Meghan Risch, CCTB, 312-567-8540
CHICAGO - The Metropolitan Pier and Exposition Authority, trade show contractors and a major McCormick Place union today announced a far-reaching new collective bargaining agreement designed to ensure Chicago's continued leadership in the convention and trade show industry through greater work-rule flexibility and reduced labor costs.
The contract marks a significant milestone in efforts by Chicago's convention and trade show industry to ensure that goods and services provided at the facility not only are top-flight but also competitively priced and delivered in a customer-friendly manner.
The new five-year contract with Riggers Union Local 136 is seen by industry officials and customers as a major step in advancing operational reforms at McCormick Place. The contract represents significant movement by a key McCormick Place union in recognizing organized labor's vital role in retaining and attracting new shows to Chicago to create additional jobs, tax revenues and metro-wide economic impact.
The more than 300 Riggers Union Local 136 members transport equipment and displays from loading docks to the McCormick Place floor and help exhibitors set up and dismantle larger displays.
"First and foremost, I want to give credit where it's due - to the new partnership between management and the leadership of Local 136," said Theodore Tetzlaff, chairman of the Metropolitan Pier and Exposition Authority (MPEA).
"These are enlightened union leaders who recognize that we have to work together to grow this industry and keep it strong. These leaders - and they are leaders in the truest sense of the word - recognize that the interests of their members are intertwined with the MPEA's interests in growing an industry that contributes greatly to the economy of Chicago and all of Illinois," Tetzlaff said.
Leticia Peralta Davis, CEO of the MPEA, said the new collective bargaining agreement with the Riggers Local 136 is the direct result of initial reforms announced a year ago. In particular, she cited the May 2005 establishment of a new Labor Management Council as a key step in ensuring the kind of ongoing dialogue among McCormick Place management, employees, contractors and customers that produced the new contract announced today.
"The reforms announced last year set the stage for this new agreement with the Riggers, a contract that we believe will set a precedent for future labor agreements and other changes that will foster a new culture of competition at McCormick Place," Davis said.
The contract with the Decorators union expires June 30 of this year. Contracts with Teamsters and Carpenters union locals expire in 2008.
"The convention and trade show industry has become intensely competitive. Our customers and potential customers need to be assured that when they exhibit in Chicago, not only will they be doing business in America's greatest city, they will benefit from a superior level of service, efficiency and flexibility," Davis said.
Eric Dean, administrator of Riggers Local 136, said the new agreement demonstrates that unions recognize what's at stake in maintaining Chicago's leadership in the convention and trade show industry.
"The Riggers negotiated this agreement because we think it's in the best interest of our members and Chicago's convention industry," said Dean. "It's important for our union to have a viable convention and trade show industry in Chicago and this five-year agreement has the appropriate changes to help that happen along with increased wages and benefits for our membership."
Among key features of the new, five-year contract with Local 136 that takes effect June 1, 2006 and runs through June 30, 2011:
Reduced overtime charges: The new contract establishes three start times for crews Monday through Friday, with the first eight hours at straight time. The new weekday start times are 8:00 a.m., 10:00 a.m. and 12:30 p.m. This allows exhibitors much greater flexibility in setting up or tearing down their booths without incurring overtime charges. Time worked on Saturday will be at time and a half rather than double time.
Clearly defined language on reduced crew sizes: Whereas the May 2005 agreement called for reviewing crew sizes on a case-by-case basis, the new agreement establishes two-person crews (instead of three-person crews) as the standard for most of the loading/unloading and booth setup/dismantling work.
"Call by name:" The Riggers Local 136 has agreed to let show contractors or exhibitors request specific workers (journeymen and foremen) by name for the majority of crew members they need. In the past, contractors were required to employ whoever the union sent over.
Apprenticeship: Riggers Local 136 has agreed to introduce an apprenticeship program and allow contractors to employ one apprentice for every five journeymen hired for a job.
Wages/Benefits: The Riggers and contractors agreed to increased wages and benefits over the term of the contract.
The contract was signed by the Riggers Union and the two major general show contractors, GES Exposition Services and Freeman Decorating. The MPEA served as a facilitator in contract talks and signed the agreement as a witness.
Tim Roby, president of the Chicago Convention and Tourism Bureau, hailed the agreement as a major development that will help Chicago market its convention and trade show facilities.
"For those of us on the front lines of marketing this great city and its convention facilities, today's announcement is critical," said Roby. "Nobody can touch Chicago when it comes to the character and amenities of our city, our outstanding convention facilities and welcoming hospitality industry. When you add in greater efficiencies and cost savings, it's a potent mix. We appreciate the hard work of Local 136, the contractors and MPEA in making this happen."
Steve Drew, assistant executive director of the Radiological Society of North America, confirmed that today's announcement sends a powerful message to both existing and potential McCormick Place customers.
"Speaking for one of the largest shows at McCormick Place, I can say unequivocally that this is the most welcome news on the labor front in many years," said Drew. "It will save exhibitors money. It will enable show management and their exhibitors to set up and tear down shows with greater flexibility. This is proof positive that the new spirit of cooperation between labor and management at McCormick Place is progressing."
Today's announcement was attended by a variety of business, civic, labor, hospitality industry and McCormick Place customer representatives, including Dennis Gannon, president of the Chicago Federation of Labor.
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