Friday, December 18, 2009

Piecework Allowed ! Union Denies All !

December 10, 2009


Hello Carpenter Union members and anyone else. As I said, I would try to post something new each week along with the supporting documents to show everyone this is not just my story, but actual FACTS.

To start, we have to go back to 1998 and before. Remember when all you had to do to become a journeyman carpenter in the union was to pay $500.00 to the local B.A.? This practice had been going on forever. Nobody ever really cared or said anything because it didn’t matter, especially to the specialty trades; roofing, siding, drywall, insulation and overhead doors. It didn’t matter because all of these trades and more were paying piecework. The union apparently knew about this and allowed it to happen, the reason WHY the union allowed all of us to violate the written contract was never shared with us.

I believe the reason they allowed piece work was that it gave the UNION the perfect opportunity to EXTORT from us as contractors. I would, as many other signatory contractors, get audited by the union. I always had an amount that the UNION claimed was due, through the TRUST FUNDS. This amount due, they said was due to NOT paying in proper benefits per hour, per the contract. If we didn’t pay the amount they claimed due on the audit, the TRUST FUNDS would sue us in Federal Court. We argued and paid attorneys and then ended up settling with the union and trust funds for an amount we felt wasn’t right or fair but we had no choice! They then wrote up a “confidential settlement” agreement where NO ONE was to ever find out about this.

In 1998, I was asked to attend an R.C.E.C. (Residential Contractors Employment Council) meeting by other signatory contractors that were being treated the same as myself with the union. I was made a director at that meeting. I made it clear to R.C.E.C.’s Board, with the new contract due in June, I was going to fight to get piece work as part of the contract. A group of 16 roofing contractors then withdrew our bargaining rights from RCEC. The siders, dry wallers and insulators followed and did the same, hoping to get the Union to recognize piece work. Needless to say, the union never did allow the ENTIRE group a piece work contract.

What happened next was an interim agreement for one year. The union admitted they sold union cards and acknowledged they allowed piece work, but swore with the new contract, hourly only pay would be strictly enforced! Earl Oliver even swore that if he had to put 100 new men on the street to enforce the hourly pay provisions of the contract, that is what he would do. Again, needless to say, Earl never kept his promise.

In the 1998 contract negotiations with the union, at the Drake Hotel in Oakbrook, Earl Oliver started the opening morning of negotiations with a speech about going forward, without admitting guilt on either side, in a new direction, per contract, strictly hourly. When Earl was finished, I stood up with some papers in my hand, and Earl Oliver exploded! He swore, knocked the lectern over and stomped out of the meeting. What I had in my hand was a contract with the overhead door industry for PIECE WORK!

Now, two critical issues that I believe affect your pensions and show the lack of credibility of your union.

First, Section 20.9 of the Carpenters union contract: In the current contract, in 1998 and all contracts before that it says very specifically “employees covered by this Agreement shall not perform work on a piece work basis.” Tell me HOW IN THE WORLD CAN THE UNION JUSTIFY A PIECE WORK CONTRACT with one segment of the work force when it claims in its own contract piece work is prohibited? When members join they are sworn to NOT work piece work in “By Laws and working rules” rule #1.g

I believe you men have been cheated out of pension dollars because the union clearly states to all of us and federal judges that piece work is illegal and cheats the pension funds out of contributions which would go to the men! Talk about unclean hands, I believe this union is as dirty as they come.

I have posted a copy of the piecework contracts from 1996 thru 2008. Notice how they allow having benefits paid. Divide gross earnings by scale, that will give you the hours to pay benefits in on, NOT ACTUAL HOURS WORKED!!! Your pension funds are getting cheated!

Second, to further this deceptive practice, I believe the presidents of the union in the past, along with their law firm, lied about this to members and even federal Judges. See the attached letter from Frank Libby to one of the union’s members.

Documents Posted are:

• Piece work contract. Highlighted in areas that are very important but read the entire thing, you’ll be amazed.

• Letters from Earl Oliver stating “hourly pay only” and they will accept nothing less.

• Unions letter rescinding the piecework contract, note the date, two weeks after my hearings ended. You’d think they would at least have been smart enough to just let it run out rather than admit it was a mistake and cancel it!

• Letter from Frank Libby denying the union has or even EVER had a piecework contract.

How can you entrust running your union and Pension to someone that would blatantly deceive you? That’s enough from me this time, I will add again soon.

What I would recommend that YOU do is send a certified letter to Frank Libby asking how his unions’ breach of fiduciary, by allowing piece work, has cheated your pension. Let me know his responses. You can write him at:

Frank Libby

Chicago Regional Council of Carpenters

12 East Erie Street

Chicago, IL 60611-2796

Click here for the Documents  http://home.comcast.net/~carpenterwatch/BLOG121809.pdf

Respectfully,



Michael. A. Prate

Monday, December 7, 2009

Is The Carpenters Union In Chicago Corrupt ???

November 30, 2009



Corruption in Chicago Carpenters Union Hurting Rank and File Pensions!

I have been a contractor in Chicagoland for over 36 years. I have been a signatory to the Carpenters Union for approximately 25 years. I am NOT anti-union. I am also signatory to Chicago’s Local #11 Roofers Union and Sheet Metal Workers Union Local 73 Union.

The intent of this blog is to show you, current and former Chicago District Council of Carpenters members, what I have found out through the last ten years of my fight with your union. I have uncovered many acts by your union that most definitely affects your pension funds. Many of these same wrong and illegal acts also affect us contractors that are signatory to the CDCC. Bottom line is we all are getting screwed. I have had many carpenters union members ask me what they can do about what is going on. I will address that and believe me, there is a lot that can be done by you. The key element of success for you will be to take the time and contact the individuals that I identify by certified mail so that there is a record of everything. Your voice in unison can and will be heard. I will post a document weekly as proof of what I am alleging and describe for you how it affects your pension benefits.
This first thing you can do to help yourself and learn more about what your rights are is to request, from the Chicago District Council of Carpenters Pension Fund, the booklet that is a Summary of the Plan. (Read it! It can be confusing at first, but worth the time invested.)

You can request this booklet by sending your request in writing to:


Chicago Regional Council of Carpenters

Attn: Kristina Guastaferri, Pension Fund

12 E. Erie Street

Chicago, IL 60611



• An important item to check out is the page that is headed “Statement of Rights Under the Employee Retirement Income Security Act of 1974”. Verbatim it says “as a participant in the CDCC Pension Fund, you are entitled to certain rights and protections under the Employee Retirement Income Security Act of 1974 (ERISA). ERISA provides that all plan participants are entitled to the following rights.”

Next, you should send a certified letter to:

Michael O’Grady

12 East Erie Street

Chicago, IL 60611

Requesting the following documentation: (Federal law mandates they provide these documents to you.)



• Copies of all documents governing the operation of the plan, including insurance contracts and collective bargaining agreements.

• Form 5500 Series

• The Annual Report



If you do not receive these documents within 30 days, per the plan and Federal Law, you may file suit in Federal Court and get paid $110.00 per day until you receive these documents.

I would be interested to know if you do get these documents or not. For those that do not, we can then band together and initiate a class action suit in Federal Court to compel them to give the documents to you.

An important contract your union entered into, of which by law they should give you when you submit your request of “all contracts”, is a piece work contract your union entered into with the Overhead Door Industry in Chicagoland. That document is what I will describe to you next time and how it hurt your pension.

That’s all for now. Spread the word and if anyone out there has had a bad experience with this union, please let us know. We can do something about it. You are not alone.


Michael A. Prate