IBU Members Win Strike at Alaska Marine Highway System

By late 2018, the Inlandboatmen’s Union of the Pacific had been bargaining for 2 years to secure a contract for 400 workers at the Alaska Marine Highway System. The IBU represents the largest group of employees among several unions that represent public ferry system workers.

On February 19, 2019, the newly elected Governor released his proposed budget that called for cutting the ferry system by more than 1/3, along with slashing other public services in Alaska, including education, senior housing, and community medical aid. As the budget cuts were announced, a group of businesses continued talking about privatizing the public ferry system – talk that continues to this day.

In the last negotiations before the new governor took office, the State gave the IBU a “supposal” for a three-year contract which included 31 tentative agreements – contract changes approved and signed by both parties, along with wage increases of 3%, 1%, 1%, and raising workers’ share of health insurance premiums to 15%.

The State’s offer also included no adjustment to raise wages for crewmembers of the MV Lituya to help them reach parity with workers on other vessels. It also left intact a cost of living differential (COLD) that paid non-resident union members about $4 dollars less per hour than Alaskan residents – although the State agreed in principle to eliminate the COLD differential and boost the MV Lituya wages, but had not yet signed-off on those items. Members were adamantly opposed to approving a contract with higher health premiums. This made it impossible for the union to seek membership approval of the “supposal” package. The State responded by shutting down negotiations hours before the election of Governor Mike Dunleavy.

Background on health insurance

The State offers workers a choice of a standard plan or economy health insurance plans. Those who couldn’t afford the standard plan, which costs members over $350 per month, would choose the economy plan with high deductibles and more out-of-pocket costs, but no premium cost-sharing. When the state demanded IBU members to start paying 15% of the premiums for both plans, members were determined to fight indefinitely. They had also not received a wage increase for 3 years, so this proposal would have set workers back even further.

State offers a 1-year roll-over

When the IBU returned to bargaining under the new governor, the State offered a one year “rollover” of the contract, meaning no changes to the terms and conditions, no wage increases or health increases. We were agreeable to this idea – until they informed us that all 31 of the tentative agreements were now rescinded and off the table. They said we’d have to re-negotiate each of those in the next contract negotiations, a year out. They also made it very clear that there was no guarantee they would agree to the previously negotiated tentative agreements.

This was unacceptable, so we chose to continue bargaining our contract. We felt the State was only surface bargaining – talking with no real intention of reaching an agreement, so we demanded that they provide us with a written proposal by May 15, 2019. They responded with a written proposal that included a one-time lump sum payment of $1000 on January 1, 2021, to offset their proposal requiring members with the economy plan to begin paying part of their health premiums on January 1, 2021. The premium increases amounted to a $60 monthly increase for singles and $160 for a family, so the one-time lump sum would have a short-lived impact, covering only 6 months of higher costs for a family, along with the prospect of more increases in the future. The State “supposal” did include our proposal to increase the wages of crewmembers on the MV Lituya.

Union members vote

Our Negotiations Committee told the State that we could not recommend their proposal but would ask members to vote on it. I rode the MV Columbia as it traveled from Ketchikan to Juneau, to vote the members onboard. Patrolwoman Krissel Calibo flew to Kenai, then rented a car and drove to Whittier where she met the MV Aurora, then went to Homer where she met members working on the MV Tustumena so they could vote. All ballots were then brought to Juneau. Voting for crews on vessels arriving in Juneau were handled by Alaska Regional Director Trina Arnold and myself, who met crewmembers from the MV Tazlina, MV LeConte and MV Kennicott. We joined Executive Committee Vice-Chair Robb Arnold to vote the members of the MV Malaspina. We also offered an online ballot for the members who couldn’t get a paper ballot, including crewmembers of the MV Matanuska. On June 19, 2019, the votes were tallied, with members overwhelmingly rejecting the State’s proposal and authorizing the Negotiations Committee to call a strike.

Union goes into mediation

John Fageaux, President of ILWU Local 63-Office Clerical Unit (OCU), joined our negotiations team to lend assistance. We contacted the Federal Mediation & Conciliation Service, requested their help and went into mediation on July 15 and 17. During that process, the State agreed to increase the lump sum to $1500 and offered to include 3 of our 31 tentative agreements, but with no wage increases. After several rounds, the Union gave the State a “last, best and final” proposal – informing them we would strike if they did not respond. We waited until 4:00pm on July 17^th and received nothing from the State. We left the meeting to vote our members on this new proposal and prepare for a strike.

Strike after talks broke down

When members voted on the State’s final offer, 86% voted to strike. On July 24, 2019, after the MV Columbia arrived in Ketchikan and passengers were offloaded, IBU Patrolwoman Krissel Calibo boarded the ship, and the crew walked-off with pride –marking the beginning of our strike at 2:00 pm. Then the MV Tazlina crew finished offloading in Juneau at 4:30 pm and Executive Board Chair Earling Walli boarded the ship and walked-off with the crew. Regional Director Trina Arnold and Earling then boarded the MV LeConte at 8:30 pm and did the same. Arnold met the MV Malaspina at 3:00 am in Juneau where the crew finished offloading then walked-off the vessel. The MV Matanuska was in the shipyard in Portland. Port Captain Staples from Ketchikan Central Office (KCO) sent word to the Captains to have each IBU member “sign or get off the boat or we are calling reinforcements.”

When the crew refused to sign, they were ordered to vacate the ship and walked-off at 2:00 pm on July 25. Columbia River Regional Director Brian Dodge met with the crew on the next day and helped them organize a picket line outside the Portland shipyard. The MV Kennicott arrived in Ketchikan on July 25 at 3:00 pm and Krissel tried to board the vessel, but State Troopers, requested by the Central Office, wouldn’t let her on the ramp.

The MV Kennicott crew had received an intimidating notice from Captain John Falvey, General Manager of the Ketchikan Central Office, the same notice that was given on the MV Matanuska, asserting that IBU members had to declare whether they were striking or working. He said those who elect to strike would not be paid and ordered the Captains to hand each member the notice. Krissel was finally able to meet the crew outside the tube, near the guard shack at the Vigor Shipyard, and the majority walked-off. The MV Aurora arrived in Valdez on July 24.

We had a phone meeting with the crew and they reported that management offered to leave them on the vessel with pay, but the following day they received the same “strike or work” demand letter, and members walked off the ship as directed by the union. The MV Tustumena arrived in Kodiak on July 24 and received the same demand letter.

On July 25, crew members walked off the ship as directed by the union. Unfortunately, it must be noted that a few crew members did not follow the union’s order to leave the ships. This internal matter will be taken up by the Alaska Region. On July 30, the State sent a letter to members notifying them that their healthcare coverage would end on July 31, if they remained on strike. In addition, the non-union, substandard Inter-Island Ferry Authority (IFA) was pushing to get the MV Lituya moved off the terminal so IFA could run their ferry from Metlakatla to Ketchikan, replacing our service. Southern California Patrolman Mike Vera called upon his friends and family in Metlakatla who joined our members to stand guard on the picket line. There was a tremendous amount of pressure from the employer on members. I am proud to say that IBU members didn’t waiver in their commitment. They were prepared to fight until we got a settlement. And they did so with pride and honor Regional Director Trina Arnold was similarly impressed with the solidarity she saw during the strike.

“It was amazing to watch some of the passengers of the MV Malaspina get off the ship and join our picket line in Juneau at 3:00 am. In fact, the public support continued to grow each day. The cars would honk and wave as they drove by. A taxicab owner lent us one of his cabs to get to and from town. It turns out he was a former member of the Marine Engineers Beneficial Association (MEBA) who used to work with us at the Marine Highway System. People were dropping food off for our picketers up until the end of the strike. Members offered one of the passengers a room in their home because she didn’t have anywhere else to stay. I realize this was hard on our members, but I know we will all treasure the memories we have of the solidarity on our picket lines. We’ll be telling these stories to each other for years to come.”

Solidarity rallies were held on July 29, in Bellingham, Washington, organized by Terri Mast, IBU Secretary Trea surer, and at picket lines in Juneau, Ketchikan, Valdez and July 28 in Kodiak. Solidarity messages were received from Tlingit and Haida First Nations, the Master, Mates & Pilots, Marine Engineers Beneficial Assn., American Radio Assn., Maritime Labor Alliance, International Longshore Association, Sailors’ Union Pacific, Utility Workers Union of America, BC Ferry and Marine Workers Union, Maritime Union of Australia, ILWU International, ILWU Alaska Longshore Division, ILWU Local 200 Alaska, ILWU-PCPA Pensioners, ILWU Local 13, ILWU Local 63 OCU, IBU SF Region, Puget Sound Region, Hawaii Region, Columbia River Region, Southern California Region, Region 37, IBU Longshore, Nakliyat-ls – Trade Union of Revolutionary Workers of Land Airway and Railway workers of Turkey, Transportation Trades Department, Vice President Joe Biden, Senator Bernie Sanders, Senator Elizabeth Warren and Senator Kamala Harris. Sara Nelson, International President of Association of Flight Attendants- CWA, AFL-CIO, sent us a message:

“The last Alaska ferry strike was in 1977, but right now workers are standing together and stopping service until they get an agreement after years of negotiations. We stand with IBU and MEBAUNION @ MMPUnion who are honoring the strike in solidarity.”

Resolution and return to work

Beth Schindler, Director of the Federal Mediation and Conciliation Service, stepped-in as we resumed mediation on July 27 and 28. We made some real progress, but then things stalled and she decided we needed a break. The outstanding issues were the wage increases, health premium sharing for the economy plan, and the remaining tentative agreements – which included many protections for members, plus the COLD differential for non-resident Union members.

By July 30, the political environment was heating-up. Coastal legislators worried that pressure was mounting to get the ferries running. The union returned to mediation July 30, joined by ILWU Secretary-Treasurer Ed Ferris. The State brought in an attorney, Jim Baird, from Chicago, who management had used in the past to get a settlement. We went around the clock trading proposals until 1:00 am, when we broke until 2:00 pm the next day. ILWU President Willie Adams and Vice-President (Mainland) Bobby

Olvera attended to show their support that afternoon. We went back into mediation and traded proposals until we reached a deal at 1:00 am on August 2, 2019. We secured all 31 of the tentative agreements, along with modest wage increases. We limited the premium share to a more modest increase that would affect the economy plan during the last 6 months of the contract, offset by a one-time lump sum payment from the State. We also reduced the non-residential differential by 20%. During our final 2 days of mediation, we had a solid picket line outside our meeting – with supporters who played drums and chanted – refusing to leave until we got a contract.

We heard them say, what seemed like thousands of times: “What do you want? A fair contract! When do you want it? NOW!” President Sara Nelson of the Flight Attendants, sent the following message to us on Friday, August 2, 2019, at 3:00 am, upon hearing we reached a settlement, “Way to go, BREAKING NEWS: Inlandboatmen’s Union (IBU) just arrived at a tentative agreement with Alaska Marine Highway. And I hear it’s a good one! Picket lines are coming down. When we fight, we win!”

A special thank you to everyone who assisted in some way with planning, strategies, political outreach, rallies, messaging and more. Most of all, thank you to our amazing members in Alaska, for without their continued solidarity and commitment, this could not have been achieved. We dared to stand up and fight back at this turbulent time in Alaska, we kept our focus on getting a fair contract and we won!

– Marina V. Secchitano
IBU President