Lakewood Company Sues Union Members, Eyes Move to Elyria
Last week, a federal court judge issued a temporary restraining order that would keep Ferry Cap employees from refusing to work overtime — despite the union agreement.
Despite a 2011 union agreement between the Ferry Cap and Set Screw Company and its union employees, a federal judge has prohibited the workers from “refusing to work overtime” hours at the Lakewood facility.
Both city officials and employees are also concerned about the plant consolidating operations with the Nelson Stud facility in Elyria.
That’s a move that would take an estimated 120 jobs out of Lakewood.
But it’s more complicated than that.
Mayor: Ferry Cap Leaving Lakewood Would be a "Big Blow" to the City
According to the Plain Dealer, the Ferry Cap company filed a lawsuit against the employees in US District Court in Cleveland on Feb. 5. The named defendants are the International Association of Machinists & Aerospace Workers, the AFL-CIO, District Lodge 54 and several union members.
Judge James Gwin issued a temporary restraining order last week — in effect through Feb. 22 — that would keep the employees from refusing to work overtime.
The 100-year-old company, which manufactures specialized fasteners, once employed nearly 400 people. The company’s high-end fasteners can be found in Caterpillars as well as bridges and other applications.
Ferry Cap is one of the largest employers in the city.
In an effort to consolidate, the Plain Dealer reported that the company is looking to move its heading equipment from the Birdtown neighborhood to its sister company Nelson Stud Welding facility in Elyria.
Both are owned by parent company, Doncasters.
In the complaint, Ferry Cap argued that the employees’ refusal to work overtime could place the company’s ability to fill customer orders in jeopardy.
The judge agreed.
Company officials did not return calls seeking comment on this story.
However, a long-time employee of the company told Lakewood Patch that the company could abandon Lakewood by July.
The company’s goal, he said, is to move one of the company’s six headers each month.
“They are not moving the equipment, they are taking our lives,” said the employee, who spoke on the condition of anonymity. “We’re talking about our lives — our families. Ferry Cap is what it is. Our customers are happy. We are the ones who make the parts. We make the best parts on the market, because that’s what we do.”
The employees contend they were lied to and are being forced to work overtime against their wishes — as well as against Article III of the union contract with the company stating that employees must “agree” to work overtime.
A court-ordered meeting between both sides is slated for next week.
So far, two salaried employees — one engineer and another department head — have transferred to the facility in Elyria.
Many of the other employees worry they’ll be next.
“We grew up there together,” said the employee, who’s worked for Ferry Cap for more than 25 years. “Most of us started there in our 20s. Our families grew up together. We are family. We are not just workers.
“We have a decent contract that had decent health and retirement benefits, but every company that took over asked for more and cut jobs.”
He added that the employees made more money in the late 90s and early-2000’s than they make now.
That’s because employees agreed to cut their piecework — an employee incentive based on production — in exchange for keeping the company in Lakewood.
“We are complaining because they lied to us,” said the employee. “We gave part of our income not to move the machines and we were promised. And five years later, here we are. The machines are being moved.”
The union has filed a grievance over the potential move. It’s schedule for arbitration next month.
Mayor Michael Summers told Lakewood Patch that if the company left, it could be a “big blow” to the city.
Chris Olsen
7:45 am on Thursday, February 14, 2013
in the end, employees that refuse to work overtime and potentially earn more money is quite silly...what has work ethic become? are they asking these people to work 3 , 5 , 15 or 20 hours overtime? i work 65-75 hours a week as a career tech educator, am on salary and do not get paid overtime.....i do it because i know it is the right thing to do for the betterment of my students as well as the company as a whole....refusing to work overtime, how pathetic...
Phil Florian
8:08 am on Thursday, February 14, 2013
Chris, I think you miss the point of creating a contract. It is a signed agreement and one that shouldn't be conveniently ignored. I would assume if you signed a contract with someone...say with a contractor to work on your home...and they just decided to ignore parts of it you would have no problem with that? The point of what I am getting is that the company continues to cut staff but then asks the current employees to make up the difference. The employee contract is likely saying, "if you need more workers hire them." As a teacher I would assume you would not want to continually add more and more students to a single classroom to the point where your ability to reach each student would be hampered, would you? Or are you so loyal to your bosses that you would figure whatever they say must be what is right?
1
12:34 pm on Thursday, February 14, 2013
The work ethic has been eroding for years, it really is a shame. To that point , basic ethics in business have also hit an all time low - imo.
ian king
4:45 pm on Friday, February 15, 2013
Hi Chris,
EVERYONE works overtime today. Unions have lost their ability to organize and encourage new members. Why - there are books written about the failure of union leadership, corruption, outsourcing, globalization, etc. Whatever. The reality is that union membership is not what it once was nor will ever be again. To think otherwise is foolish and not reality based. A contract is a signed agreement yes, but we all know contracts have endless loopholes.
Loyalty to bosses has nothing to do with anything - it is loyalty to a paycheck that is today's reality for most of us. And if you don't have a paycheck, you don't survive.
And if you want to talk about long hours, my wife worked retail at highend shops like Banana Republic, Kenneth Cole, Dillards, as a manager and it was EXPECTED that she work at least 10 hours a day if not more, sometimes 6 days a week. All on a salary, not hourly rate. This is the reality for most workers today. And if she didn't want to do those hours, well, there were 10 people waiting to take her job.
Such is the work world today in corporate run USA. There is very little unions can do for most workers in the USA today.
Basbelle
1:13 pm on Sunday, February 17, 2013
Chris, with all due respect because I believe in what you do as a teacher having been one myself, there is a huge difference here. You're comparing apples to oranges. When you work overtime you are doing it for one of the greatest causes there is: educating & forming young minds thus building the future for all of us. & frankly as important as it is & as stressful as it can be it's quite a cushy gig compared to what these men do daily. Imagine working in a place where you're dealing with machines that can potential rip off one of your apendages at the slightest mistake & the air quality is so full of poisons someone who isn't used to it will literally choke upon entering. But that isn't even the problem here, the problem is that this company HAS LIED TO THEM. It isn't even the company they originally signed up for, which was more like a family than most work places. This company has stepped in, stripped away the workforce & the moral, made agreements with them that cost these men pay & benefits then turned around & lied to them. They aren't just moving a couple machines to Elyria, they're absorbing the company these men built up with their blood, sweat & health. They're doing it to make their own less capable companies look good. Best of all these men have never gone on strike, never ceased to produce. They could just quit & sit on unemployment but they're not built like that. No work ethic? Ridiculous. But would you want to work overtime for someone doing this to you?
meituk
10:11 am on Thursday, February 14, 2013
A CONTRACT IS A CONTRACT AND IT'S BINDING!!! Just another example of the perpetual erosion of Unions. Unless there was a case of work stopage due to lack of staff then there could be an arguement made but it's more about the company fast tracking the work so it can get a big bonus and not because it's neccessary. Sounds like the judge is a total suck boy to the company too. Unfortunately this will only cost the members money with battling this out in the courts and will not stop the company from moving it's shop elsewhere. SOIDARITY!
ian king
4:38 pm on Friday, February 15, 2013
Hi Meituk,
We are living in an economic recession in NE Ohio. Walk down any street in this area and there are empty storefronts. Walk down any residential streets and there are deteriorating housing stocks, empty apartment buildings. This area is not a move to area for young people looking to invest in a career and home. The area has a huge aging population of limited means. Unions need to accept these realities when they are faced with either maintaining jobs or losing thems. These are no win times for anyone. If Solidarity means denial of the reality of business today, then more and more jobs will leave and no jobs will come here. Let encourage Solidarity to mean compromise in the face of economic ruin. The city and the union need to do whatever it will take to keep this company in Lakewood.
Whatever it will take! Or is the city and the union willing to accept more loss of tax revenue, more job loss, more lowering of property values, more moving of its citizens our of the area/state, no new business relocating or opening here - are we really ready to begin the new empty/rundown Detroit - over Solidarity? over contract loopholes? If yes, welcome to Lakewood continuing its slow decline - there is no lucky Lottery win for Lakewood folks!
1
12:31 pm on Thursday, February 14, 2013
The contract doesn't say they cant move their business, does it? Now that they have a hostile employer/employees relationship - what is their incentive to stay in Lakewood?
So many people would love to have those jobs. What a unfortunate time to pick this fight with your employer. (especially one pondering a move out of the area)
Basbelle
12:47 pm on Sunday, February 17, 2013
One of the main points in the contract was that the company would NOT move from Lakewood. The truth is the workers gave up between $5-$7 an hour in pay and benefits to keep that from happening and now 5 years later here it is. This company isn't even the company they originally worked for, the only thing left of Ferry Cap & Set Screw is THEM. This new owner has systematically torn them down, lied to them and now is trying to cheat them. And to address your final point, yes there are many who would love to have those jobs. Unfortunately there aren't many at all who would be able to actually perform them. These men are a rare breed, all of which have been with the company for decades. They have worked on these machines and honed their skills for that long, working in the sludge and filth creating intricate machine parts better than anyone else. These men are the result of years of hanging in there longer than anyone else, the best of the best at their job. That's why they aren't just being fired. The company needs them, needs the know how they possess and won't find anywhere else. Unfortunately it doesn't want to treat them as the irreplaceable assets that they really are.