Wednesday, November 4, 2009

"Little" Willie Brown Explains Why He Rejected the Deal, Discusses Strike

At 11:30AM today, "Little" Willie Brown had his first press conference since calling a strike at 12:01AM on Tuesday morning. Here is the un-edited video:

View more news videos at: http://www.nbcphiladelphia.com/video.



Here are the headlines:

1. He walked out of the deal because of the pension. He complained that while employees only get 50% put into their pension while SEPTA management get's 90% put in.

2. He thinks Mayor Nutter, or he calls him "Little Ceaser", shouldn't be involved in talks since he's trying to keep the compromise low, and refuses to talk with him at the table.


The deal they were given was reviewed and commented on by labor experts and the verdict was unanimous: It was a pretty decent deal.

The compromise was, in the end, a good one: The workers still received a raise over 5 years of 11.5%, they did get more put into their pension (although they would have to put more into it themselves as well), and their health care contribution would remain at only 1%. Considering SEPTA wanted to raise their health care costs to 4% alone... it was a major victory in the end with all things considered.

To Willie's credit, I get the part about the pensions.... somewhat.

There's a few problems. For starters, the fact that there is a pension is amazing. How many places actually still have one, save the government? Its safe to say that paying into your own retirement makes sense and is fair, and paying 50%, to me, is a little tough but fair. The fact that SEPTA management get's 90% is crazy, and the smartest thing to do would be to accept the contract on the condition that management decreased what they got put into their own accounts. Maybe that was the case. If it was, he would have been idiotic to not mention it.

Word is that SEPTA and the unions and Ed Rendel could meet Thursday to discuss the contract. Rendell had stated Monday that if they didn't meet by Thursday he would not give SEPTA an extra $6 Million to help pay for the deal the union was given.

There is something important to consider: the funding for SEPTA is NOT set in stone.

The budget for SEPTA over the next few years depends on state funding, which in and of itself has always been iffy, but also on putting tolls on I-80. If the federal government doesn't allow us to put tolls on I-80, SEPTA will be further in the hole than before, and any and all raises and benefits won will fall on you and me, the average SEPTA rider.

As I've stated before, I do believe SEPTA management is partly to blame for what we're seeing happen with this agency. The company is horribly mismanaged and has never in its history turned a profit. Improvements to the system have been slow, with everything from basic station improvements to a updated fare system being held back.

At the same time, its hard to say that long term improvements are the fault of management. Its the same story as always: If you're spending a ton on your employees and day-to-day operating costs, how can you afford to do things to improve you company?

SEPTA spokesperson Jerri Williams spoke to NBC10 about the strike as well:

View more news videos at: http://www.nbcphiladelphia.com/video.



SEPTA is willing to talk and get this taken care of. Will "Little" Willie Brown be willing to do the same?

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