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Progress Energy and union settle contract

By LOUIS HAU
Published January 18, 2006

Progress Energy Florida and the International Brotherhood of Electrical Workers have reached a tentative agreement on a three-year contract covering about 2,000 of the company's 4,600 employees.

After three months of talks, the sides came to terms late Friday. IBEW System Council U-8 of Crystal River is recommending the union membership approve the contract in a Jan. 31 vote.

"I think it's a fair contract," said Joe Adams, business manager of System Council U-8.

"This is a good contract both for our employees, as well as our customers," Progress spokeswoman Carla Groleau said.

The contract, which replaces one that expired Dec. 1, provides for pay raises of 3.25 percent in the first year of the pact, retroactive to Dec. 2, with increases of 3.2 percent in the second year and 3 percent in the third year.

Some employees will face higher deductibles for health insurance in exchange for lower annual premium increases. In the face of vociferous union opposition, Progress dropped a proposal to stop subsidizing retiree medical care for new employees.

Most of the talks focused on hashing out changes in work rules. The changes will give Progress greater scheduling flexibility and adds contract language that adds explicit protections for union jobs as the company farms out an increasing amount of work to contractors.

The sides said the talks were far more amicable than the last time the St. Petersburg utility and the union tried to negotiate a contract. That pact was the first collective-bargaining agreement negotiated by the former Carolina Power & Light, a nonunionized utility that took over Florida Progress Corp. in 2000 to form Progress Energy.

During their 2002 talks, the sides narrowly averted a strike and required the assistance of a federal mediator to reach a deal on a pact.

Louis Hau can be reached at 813 226-3404 or hau@sptimes.com

[Last modified January 18, 2006, 01:10:21]