The Stel Salaried Pensioners Organization wishes to
thank The Hamilton Spectator for permission to post the following article by
Reporter Deirdre Healy, published in the April 3, 2006
edition
By Deirdre Healey
The Hamilton Spectator
(Apr 3, 2006)
Union members at Stelco's Hilton Works have a choice between
the traditional hard line and moderation in the election for Local 1005
president today, analysts say.
The avowed Marxist Rolf Gerstenberger is fighting off a
challenge from vice-president Jake Lombardo, who is widely viewed as someone
more likely to make compromises.
Analysts say Stelco's future as a steel competitor rests in
the piles of ballots collected from today's vote.
Close to 2,700 unionized employees at the Hilton Works plant
are expected to cast ballots. They will elect someone to represent them at a
time when new ownership is attempting to breathe life into the company after
its exit from bankruptcy protection.
The person they choose could push Stelco forward or impede
its future success, said insolvency lawyer Bruce Leonard of Cassels Brock &
Blackwell LLP.
"The company's downfall has always been the quality of
the relationship it has had with its employees," Leonard said.
"Anyone who brings more division to the situation is
not going to be a good thing for the company."
Gerstenberger and Lombardo didn't return repeated phone
calls from The Spectator.
With the union's contract set to expire July 31, employees
are basing their decision on who they trust to get the best deal at the
negotiating table, said Marvin Ryder, a DeGroote School of Business professor.
Gerstenberger, who refused to take part in Stelco's
restructuring plan, is known for holding his ground and taking an aggressive
approach to negotiating, Ryder said.
"They could either go with the person who won't engage
or respond to the new challenges of Stelco, but could be the man to draw a line
in the sand. Or they could go with Lombardo, who will envision a future for
Stelco, but will be willing to put some things aside at the negotiating
table," he said.
If Gerstenberger is re-elected, Leonard predicts a rocky
road ahead. He could lead the union into a strike if negotiations don't go his way,
Leonard said, "and that would take a whack out of Stelco's emergence and
success."
Or he could "play hardball" at the negotiating
table and demand a huge wage increase "that would hurt Stelco's
productivity and competitiveness," he added.
Whether Gerstenberger comes out on top will be known
tomorrow afternoon. The four polling stations -- three at the plant and one at
the union hall -- close at midnight. Members are also voting on 23 other
positions.
The thousands of ballots will be watched over by security
guards until tomorrow morning when 30 people will spend the day counting votes.
Ryder predicts a close race, with Stelco veterans backing
Gerstenberger and their younger counterparts supporting Lombardo.
Longtime Stelco employee Terry Parker suspects Gerstenberger
will be re-elected. "He hasn't negotiated as president. I think people
will keep him on to give him that chance to negotiate," said Parker, who
has been at Hilton Works for 36 years.
Parker said the union will have to take a "hard
line" with the new owners at the table and Gerstenberger is capable of
that. "The new owners are not interested in the company. They are only
interested in making money."
Fellow Stelco worker Bob Ferguson, who has worked at the
Hamilton plant for 33 years, echoed Parker and said Gerstenberger should be
given the opportunity "to finish what he started."
"He has done a half-decent job of staying on top of
things up until now."
dhealey@thespec.com
905- 526-3468