Boston, MA 09/22/2014 (wallstreetpr) – After having discussions on a new contract between Newspaper Guild and Time Warner Inc. (NYSE:TWX), talks broke down recently as management claimed that they were facing the obstacles after delivering the final offer. The “final, last and best” offer was made by the company to outsource dozens of jobs overseas, further consolidate the editorial work of its magazines and finish healthcare benefits for its retirees.
The proposal is unacceptable by Newspaper Guild as the act will hollow out the very company. Management is asking to outsource 160 editorial jobs overseas, which would be a large blow to some of the country’s most crucial and respected magazines. According to President of Newspaper Guild, Bill O’Meara, many of the Time Inc.’s proposals are not only shocking, they are illegal too. Charges are being filed over these labor law violations so that the management is forced to get back to the bargaining table and carry out negotiation in good faith.
Time Inc.’s proposal despite $10 million in state taxpayer subsidies
Time Inc. declared outsourcing proposal despite getting $10 million in state taxpayer subsidy for shifting its offices to Lower Manhattan and not to move jobs outside the city. In Aug 5 filing with the Securities and Exchange Commission,the company foretold its plan to shift jobs out of the city, and the country, notwithstanding the tax breaks, it said that it would drive operational efficiencies through sourcing of staff globally.
Time Inc. declares that the talks are at impasse
At the recent bargaining session, Time Warner Inc. (NYSE:TWX). declared that if the Guild negotiators do not collectively recommend that members approve the final package, the company would take the final offer as been rejected and the talks would be at an impasse. Although Guild negotiators claimed that they would review the management proposal, Time Warner Inc. (NYSE:TWX)’s negotiators replied the talks were at a legal impasse.
