The Stel Salaried
Pensioners Organization wishes to thank The Hamilton Spectator for permission
to post the following article by Reporter Tara Perkins published in the March
4, 2004 edition
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Mar. 4, 2004. 12:40 AM |
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Salaried Stelco retirees join
fight over pensions |
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They're asking the court to take away the company's
right to change plans on its own |
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By Tara Perkins |
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Stelco's salaried retirees have filed a motion asking the bankruptcy court to take away Stelco's right to change its pension plans without court permission. That right was given to the giant steelmaker in its initial court order from Justice James Farley on Jan. 29, granting the company bankruptcy protection. The retirees' motion said Stelco's court order gives the company more leeway than Air Canada has in its bankruptcy protection case, which is currently before the same Toronto judge. "The Salaried Retirees say that pension or benefit plans should be amended only with the Court's prior approval and only upon such terms as the Court may direct," the motion states. It says Air Canada is not allowed to change its pensions without court permission, and the same rule should apply to Stelco. Stelco's union, the United Steelworkers of America, has already filed a motion asking the court to throw out the bankruptcy protection altogether, arguing that Stelco's financial troubles are not that bad. The judge will announce his decision on that motion tomorrow. If the union's motion fails, the union will join the salaried retirees in the request to prevent the company from tearing up pension contracts without court permission. George Hanson, a Stelco salaried retiree, filed an affidavit with the salaried retirees' motion to show how much the retirees depend on their benefits. "Many modern medical treatments are expensive," Hanson wrote. "For example, I have spoken with Kenneth M. Weisbroad, a foreman who retired from Stelco in November 2000. Shortly after retirement, he was diagnosed with acute leukemia. His medical treatments have succeeded in prolonging his life, but at a monthly cost of approximately $4,000 per month for the prescription drugs. "He told me that he is extremely worried about losing his medical benefits, and that he could not sleep during the first week following the declaration of CCAA by Stelco." Hanson included examples of many other families depending on Stelco benefits. The salaried workers have taken the month since Stelco filed for bankruptcy protection to get organized as a group, and are continuing to sign up more members to support their court motions. More information about the salaried workers can be found at www.sassea.ca. tperkins@thespec.com 905-526-4620 |