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Florida Power announces another round of cutbacks, including 50 union jobs at the four coal-burning plants in Crystal River.
By ALEX LEARY
© St. Petersburg Times, published February 22, 2001
CRYSTAL RIVER -- Florida Power announced a new round of work force reductions Wednesday, eliminating 50 union jobs from its four coal-burning plants in Crystal River.
As it did last month, when more than 60 employees were cut from the nuclear plant, Florida Power characterized the changes as necessary to make the fossil fuel operation more competitive.
"The organization we have laid out is aimed at moving Crystal River toward being one of the top 10 percent of plants in the nation," plant manager Mike Olive said in a statement.
One way of achieving that, officials said, is to operate the four coal plants more like one unit, eliminating duplication of jobs and maintaining equipment better.
The changes, which will play out in coming months, come under a merger with Carolina Power & Light, the utility that bought out Florida Progress Corp., Florida Power's parent company, in 1999 for $5.3-billion. At the time, CP&L said it intended to cut $100-million in costs.
Including the cuts announced Wednesday, there will be at least 210 fewer jobs in Crystal River. The reductions stem from the merger but also reflect an effort to downsize the operation.
The nuclear plant increased staff to deal with regulatory shutdowns in 1996 and 1997 but the issues have since been resolved.
Wednesday's announcement was part of a broad cost-cutting effort. A total of 98 positions, 22 of which are currently vacant, will be cut in various fossil fuel plants across Florida, including those in Anclote, Bartow and Suwannee, said Florida Power spokesman Mac Harris.
But Crystal River, the largest operation in the company, a subsidiary of the newly formed Progress Energy, will bear most of the cuts. The coal-burning plants here employ about 400 people.
Who will lose their jobs is unknown at this time because of union regulations. Florida Power can eliminate specific positions but union members can bump co-workers with less experience.
Florida Power hopes to handle some of the cuts through voluntary retirement. Qualifying union members will be offered severance packages similar to those given to nuclear plant employees, Harris said.
The packages included seven weeks of pay; two weeks of pay, capped at 52 weeks, for every year in service; as well as unused vacation and holidays.
"(We) are sensitive to the fact that any time there are reductions in total staffing, individuals and families are affected," Olive said.
"We have worked with the union to come up with a program that is fair to both those employees who would like the opportunity to leave with a transition package, and those who want to continue their careers with the company."
Officials with the International Brotherhood of Electrical Workers either declined to comment on the cuts or could not be reached. They plan to meet this morning in Ocala to discuss the changes.