GP Union News September 9, 2008

GP Health Care Issues in Spotlight

The USW continues to monitor the health care situation at GP and met with management in August to review renewal rates for 2009. Technicians from the USW Pension & Insurance Dept. were in attendance and will follow up with GP as we move forward. The network issues were also discussed with the following issues reported on:

Regarding the networks, the group reviewed some UHC recruitment issues, including: Albany GA, -- 2 hospitals that are not in UHC network will be treated as in-network; Mt. Olive, IL -- Litchfield family practice, now in-network; Plattsburgh, NY – one hospital at issue now fully in network; Bradford, PA – primary hospital there now in network; Fort Dodge, IA – Trimark primary physicians – negotiations ongoing with UHC to bring them into network; Big Island, VA – lack of specialists and pediatricians in network, some are joining using network gap exception if there are no similar providers within 30 miles.

The company committed to work with UHC for proactive notification of network coverage issues before yearly renewal so that work can be done at the local level if issues arise.

Preventive care was also discussed and how use of the plan benefits in this area might be maximized along with ways to identify health issues and address them before they arise. Also, many doctors are charging some preventive care as surgery rather than preventive care so the 100% coverage for preventive care is not being applied. Members should work with their providers to make sure they bill such procedures as preventive care.

The USW has asked for regular meetings on the health care issues and the company has expressed interest in that as well. Please advise your staff representative of any issues as they arise with the health care and they can be in touch with Leeann Anderson, who is assigned to the GP Conference in this regard.

No Labor Agreement Yet for Wheatfield GP Workers

USW-represented workers at Georgia Pacific’s Wheatfield, Indiana wallboard plant continue to get the runaround from management as they struggle for their first union contract.

A large majority of the men and women at the Wheatfield plant voted in the Spring of 2007 to join fellow GP workers as members of the United Steelworkers. They particularly wanted to eliminate favoritism in the workplace and have the added security of a collective bargaining agreement, as do thousands of other USW members at GP.

Workers there have had more than 14 months of negotiations with the GP management, and still no deal. Instead, the USW members rallying for Wheatfield workerscompany wants wage cuts, fewer vacation days for workers, cuts in funeral leave and other give-backs.

Steelworkers District 7 members are steadily picking up the pace of public demonstrations in support of the Wheatfield GP workers, and will continue to do so until a fair agreement is achieved. Members of the GP Union Conference, representing thousands of GP workers around the country, want the workers in Wheatfield to know that you’re not alone. If progress is not made at the negotiating table soon, we will be looking at more ways to urge GP to do right by the workers in Wheatfield, get off the concessions in contract talks and offer workers a deal they can live with.

AN INJURY TO ONE IS AN INJURY TO ALL!

Pulp Truth -- Issue 16

Unsafe Working Conditions Caught Up to Workers in July

In Pulp Truth issue 15, we reported that Peter Conley of Local 449 in Waterville, Maine, suffered a massive stroke at the Huhtamaki plant where he worked. Brother Conley, 44, died July 23 at Maine Medical Center and left behind three children ages 19, 12 and 5.

In addition to the three July accidents reported in Pulp Truth issue 15, four more incidents occurred in July.

Shortly before midnight on July 18, Local 1017 member Shawn Sharrow was injured when his arm and shoulder were caught in a winder machine at Dunn Paper in Port Huron, Mich.

Sharrow, who was 20 at the time of the incident, was airlifted to the University of Michigan Medical Center in Ann Arbor, where he was listed as critical but stable for four days. He suffered broken bones in his shoulder and neck, cracked ribs, internal injuries and corneal abrasions in both eyes. There was concern about permanent nerve damage to his arm and neck.

Sharrow’s mother, Kim, said doctors at the medical center called his survival a miracle and attributed it to his age and general condition. Sharrow is now back home in Port Huron.

USW Emergency Response Team (ERT) representative Hilary Chiz assisted the family and those who helped with Sharrow’s rescue. USW Health, Safety and Environment (HSE) Assistant Director Dave Ortlieb conducted the investigation and provided the company with changes that could be done to prevent a repeat of the incident.

At the NewPage facility in Wisconsin Rapids, Wisconsin, Local Union 2-94 member Kurt Resheske, 33, was severely burned July 29 while working near a washer inspection door. He sustained second and third-degree burns over 60 percent of his body. ERT representative Duronda Pope assisted the family and HSE representative Steve Sallman responded to the incident.

On July 29, 2008 a high density recycling fiber storage tank explosion at Packaging Corporation of America’s paper mill in Tomahawk, Wisconsin, fatally injured three employees. The tank that exploded was used to store recycled fiber storage, and the three individuals were engaged in maintenance activities which included welding on the top of the tank’s high density spreader when the explosion occurred. A fourth employee, who was standing on the tank’s catwalk was also injured, but he was treated and released and is recovering from his injuries.

Two of the employees fatally injured in the explosion, Steven C. Voermans, 52, and Randy J. Hoegger, 55, were local union members of the International Association of Machinists and Aerospace Workers Local Lodge 1713. The third fatally injured employee was Don Snyder, 46, a salaried employee. The fourth injured employee was a college student and member of the International Association of Machinists and Aerospace Workers Local Lodge 1713. ERT representative Duronda Popeand HSE representative Steve Sallman responded to the incident.

After reportedly having a dispute with a supervisor, Edmund Giasson of Local 900 at the NewPage mill in Rumford, Maine, died from a heart attack July 28. Giasson, 53, had worked at the mill close to 30 years and was known to be “very, very serious about his job,” according to local president Gary Hemingway. Giasson had a history of heart problems.

These incidents point to the need for paper mill locals (and later those with converting operations) to fill out the Paper RAP survey they received in mid-August. See story on the next page.

Contracts that Reopened in August

If the re-opener date for your local contract is not listed here, please contact PT editor Lynne Baker at lbaker@usw.org to have your contract listed. Not listed last month was the Temple-Inland Orange, TX contract that expired July 31.

Georgia-Pacific, Monticello, MS, Aug. 1
Georgia-Pacific, Akron, OH, Aug. 1
Georgia-Pacific, Monticello, GA, Aug. 1
International Paper, Geneva, NY, Aug. 1
Corrugated Carton, Newark, NJ, Aug. 1
Schiffenhause Pkg. Corp. North, Suffern, NY, Aug. 1
Pactiv Corporation, Red Bluff, CA, Aug. 1
Schiffenhause Pkg. Corp. South, Newark, NJ, Aug. 1
Schweitzer-Maudit, Ancram, NY, Aug. 1
RTS Packaging, Merced, CA, Aug. 1
Smurfit-Stone Cont., St. Cloud, MN, Aug. 1
Temple-Inland, Gilroy, CA, Aug. 1
Weyerhaeuser Co., Anaheim, CA, Aug. 1
Precision Products, College Park, MD, Aug. 6
Sonoco, Hutchinson, KS, Aug. 6
Shelby Co., Westlake, OH, Aug. 6
International Paper/Shorewood Pkg., Waterbury, CT, Aug. 7
International Paper (div), Pineville, LA, Aug. 10
Rand Whitney, Worcester, MA, Aug. 11
Georgia-Pacific, Memphis, TN, Aug. 15

Mill Leaders Must Complete Paper RAP Health & Safety Survey

“The time for after-the-fact investigation is over. We must take a proactive approach to ensure paper workers don’t lose their life or get injured when they go to work,” said International Vice President Jon Geenen.

Around August 19, each local union president of a mill received the Paper RAP health and safety survey that VP Geenen’s comment refers to. The survey’s success depends on a very high response rate. So:

• If you are paper mill leadership, please prioritize completing the survey.
• If you work in a paper mill, please offer to assist the local leadership to accomplish this important task.
• If you work in a converter within a council that has mills, encourage mill leadership to get this done. (FYI: We’ll later focus on converters.)

A few things about the survey:

• Complete one survey per mill
• Get input from key members as needed
•Make the September 12, 2008 deadline
• For another copy, contact Joyce Russotto (920-722-1085; jrussotto@usw.org) or your international representative.

Together, we will use the survey’s results to leverage change at the local, industry and national policy levels to protect our brothers and sisters.

A Model in Coordinated Bargaining: U.S. Steel Agreement

The new tentative, four-year agreement at U.S. Steel shows what is possible when collective bargaining evolves and we coordinate our strength.

Workers obtained very significant wage hikes and substantial bonus and pension increases. Benefit programs were improved for active and retired employees, and health care premiums were reduced for retirees.

Job security was improved by a requirement in the tentative agreement that U.S. Steel make capital investments in its plants so that they can compete in the world economy. The contract also looks toward the future by creating an “Energy Efficiency and Carbon Emissions Task Force” to address the threat of global warming and its impact on the steel industry.

Another job security provision in the agreement is that the outsourcing of work will return to the jurisdiction of USW members.

The tentative agreement covers some 16,000 workers employed at 14 U.S. Steel locations.

PCA Mill Global Agreement Secures Workers’ Future

A new five-year global agreement negotiated with Packaging Corporation of America (PCA) contains wage increases totaling 13.75 percent, increases pension and other benefits, maintains existing health care plans and premiums, offers job security and makes it easier to organize nonunion PCA facilities.

The agreement covers about 1,200 workers at four PCA mills in Valdosta, Ga., Counce, Tenn., Filer City, Mich., and Tomahawk, Wisc. USW members at the four mills overwhelmingly approved the contract in a vote on Aug. 14.

Items not covered in the master agreement are negotiated at local union bargaining tables upon renewal of the local union’s contract. If an agreement is not reached on these items, the renewal contract remains unchanged. This prevents management from imposing contract terms on the local union. The local union renewal contracts are also five years in length.

Health care benefits and employees’ 20 percent contribution toward health care premiums were locked in immediately after ratification of the global agreement for the period of the local union contract. Also enacted upon ratification was a contract and job protection clause in case a PCA facility is sold; a restriction to work force reductions unless a facility is partially or completely shut down; and a ban on negative attacks during organizing campaigns.

Increases in wages, pensions, short-term disability benefits, life/accidental death and dismemberment benefits and retiree life insurance benefits will occur the day after the expiration of the current local union agreements. The monthly service multiplier for mill workers’ pensions will be increased by $6 to $46.62, which is one of the highest flat dollar pension benefits in the industry. Short-term disability benefits will be increased $70 over the term of the renewal contracts. Life/accidental death and dismemberment benefits will increase a total of $9,000. Retiree life insurance benefits will be secured at $10,250.

PULP TRUTH -- INDUSTRY WIDE NEWS

Contracts that Reopened in July

If your local is not listed here, please contact PT editor Lynne Baker at lbaker@usw.org to have your contract listed.

Appleton Papers, Appleton, WI., July 2
International Paper, Statesville, NC, July 2
Mid-Atlantic, Montgomerville, Pa., July 2
New York Folding Box, Stanhope, NJ, July 2
Georgia-Pacific, Blue Rapids, KS, July 3
Monadnock Paper, Bennington, NH, July 3
Newark Group, Mobile, AL, July 3
Georgia-Pacific, St. Marys, GA, July 8
Art Kraft Container, Tullytown, PA, July 8
Island Container, Wheatley Heights, NY, July 17
Heritage Container, Brooklyn, NY, July 17
Delta Corrugated, Palisades Park, NJ, July 17
Norampac, Maspeth, NY, July 17
P.C.A., Valdosta, GA, July 17
Rock-Tenn, Lynchburg, VA, July 17
Smurfit-Stone Cont., West Point, VA, July 17
Green Bay Packaging, Ft. Worth, TX, July 18
Smurfit-Stone Cont., Philadelphia, PA, July 18
SCA Tissue, Cherokee, AL, July 23

USW Assists Graphic Packaging in Getting Tax Credits

Our union assisted Graphic Packaging International, Inc. in obtaining economic development tax credits from the State of Michigan and the City of Kalamazoo for a $27 million planned expansion of the company’s Kalamazoo operations.

More than 500 employees work at the site. Our union represents the hourly workers. The expansion is expected to add up to 160 local jobs.

The Kalamazoo operations include a coated-recycled paperboard mill and a production facility where folding cartons are manufactured for a wide variety of food, beverage and consumer products packaging.

This is another example of how a union can help a company succeed in today’s tough global marketplace.

Rising Price of Crude Oil Prompts Temporary Shutdown

As of Aug. 1, Graphic Packaging is shutting down its No. 2 machine, which produces coated unbleached kraft paper generally used in the production of beverage cartons, at its West Monroe, La., mill. The rising price of crude oil has caused higher costs for key mill production inputs like fiber, natural gas and petro-based chemicals. To compensate, the company is idling certain older, higher-cost assets. Whether or not the machine is started up in January will depend on the company’s assessment.

Producing about 100,000 tons of paper annually, the machine is operated by a 24-person crew. Local 364 President Al Hamby told The News Star, “As of now, they’re not laying anybody off, but they aren’t guaranteeing anything in the future. If they lay off the employees, they would be hard to replace because they are skilled, experienced workers. It’s hard to just go out on the street and find 24 people who can operate one of these machines. So if they plan to restart the machine, they’ll probably need to keep them.”

Canadian Government Gives Energy Rebates to Paper Companies

To help paper companies compete, the Canadian government gives quarterly energy rebates to pulp and paper mills in Ontario that purchase a minimum of 50,000 megawatt hours annually and commit to increased energy efficiency.

Companies participating in the $140-million, three-year Northern Pulp and Paper Electricity Transition program have already received over $51 million in total. Nine mills are currently participating. The rebates are designed to help lower a company’s energy costs by 15 percent.

In June, Domtar’s Ontario pulp and paper mills in Espanola and Dryden received C$4.3 million in electricity rebates to help lower their energy costs.

Other steps the Canadian government has taken to address electricity costs include encouraging large power consumers in the forest sector to undertake self-generation power projects through the Forest Sector Prosperity Fund and Loan Guarantee program; extending the rate cap on Ontario Power Generation’s non-prescribed supply; having a co-generation power procurement program under the Ontario Power Authority; and having an Ontario Power Authority program to compensate companies for load shedding and shifting during high cost power peaks.

Latest Health & Safety Incidents in the Paper Industry

Unfortunately, this is turning out to be a record year for health and safety incidents. It could be because U.S. manufacturers are emphasizing production at all costs in order to compete with other manufacturers in low-wage nations like China.

One of our members had a fatal accident at around 9:00 a.m. on Sunday, June 22 at Haverhill Paperboard in Haverhill, Massachusetts. According to The Eagle-Tribune, the victim, Lloyd “Butch” Benjamin, 49, a member of Local 204, fell about 25 feet from a ladder and struck his head. He was working inside the plant at the time of the incident and was taken by ambulance to the local hospital where he was pronounced dead. Kim Nibarger from the USW Health, Safety and Environment (HSE) Department is conducting an investigation of the incident. Al McDougall, coordinator of the USW Emergency Response Team (ERT) program is assisting the family. Haverhill Paperboard is part of the Newark Group, which has USW members at 11 of its mills.

Local 2-21 members Trudy Broman and Paul Nelson, who work at the NewPage mill in Escanaba, Mich., were on top of a tank that once had sodium chlorate in it that they were assigned to wash out with water. An explosion occurred—the cause is unknown at this time—and Broman sustained severe third degree burns on 50 to 60 percent of her body. She was in critical condition and was transported to a hospital in Milwaukee. Her doctors were concerned about the condition of her lungs and she has a long road of recovery ahead of her. Nelson sustained second-degree burns on his hands and is recovering from his injuries. HSE representative Kim Nibarger is investigating the incident, which occurred July 8, and ERT representative Duronda Pope is assisting the family.

USW member Grady Olson of Local 2-469 was seriously injured when his right arm was caught between a roll of paper and a powered “paster roll” in a paper coating machine at the Appleton Paper facility in Appleton,Wisconsin. Brother Olson is recovering from the July 11, 2008, accident at Appleton Medical Center’s intensive care unit.

Around 1:30 p.m. on July 15, Local 449 member Peter Conley, who works at the Huhtamaki Paper facility in Waterville, Maine, became dizzy and ultimately lost consciousness while he was at work. After a protracted rescue effort, he was taken to a local hospital and later was transported to Maine Medical Center in Portland, Maine. Conley is in the cardiac intensive care unit and his family has been told he suffered massive damage, probably due to a stroke, with ancillary heart damage. HSE assistant director Dave Ortlieb is conducting the investigation and ERT representative Hilary Chiz is assisting the family.

Don’t Forget to Register for Health & Safety Conference

It’s not too late to register for the USW Health & Safety conference being held in Pittsburgh Aug. 18-22 at the David L. Lawrence Convention Center and Westin Convention Center hotel.

There will be over 42 workshops covering such topics as Permit Required Confined Space, Introduction to Systems of Safety, Hazards of Noise Exposure, Introduction to USW’s Triangle of Prevention Program, Hazard Mapping Your Workplace and Hours of Work.

Besides the workshops there will be plenary speakers and time for union-only and joint company meetings. This is a joint labor-management conference, so you are encouraged to invite management representatives from your workplace to attend. On Aug. 18 there will be a union-only session. The joint labor-management sessions start Aug. 19. The conference adjourns at noon on Aug. 22.

The deadline to register for the conference is Friday, Aug. 1. To register on-line and for more information on hotel reservations, flight arrangements and the conference fee, go to http://www.usw.org/.

Increased Energy Costs Force 106-year-old Mill to Close

Increased costs for natural gas and electricity to run machinery and excess industry capacity for 100% recycled paperboard prompted The Newark Group Inc. to decide to shut down the 106-year-old Haverhill Paperboard Corp. in Haverhill, Mass., Aug. 29.

Cost of raw materials, such as waste paper, have doubled for the mill because China continues to import greater amounts of paper for its new mills; the increased demand causes the cost to rise ever higher.

Plant officials are moving the Haverhill operation to a facility in South Carolina that powers machinery by burning coal, which is substantially cheaper.

The plant closing affects 174 full- and part-time employees. Plant managers have said that even if the employees worked for free they still could not keep the plant running.

Dennis Clifton, president of Local 4-204, which represents about 140 workers, told The Eagle Tribune the mill closing is a “bad situation all the way around. It’s not a good feeling, and like everyone else, I have house and car payments and the bills keep coming in. It’s a bad situation for our employees and for the city, which stands to lose a lot of tax money.”

Clifton said he understands the reasons for closing the plant. “I’ve heard it spends $35,000 a day on fuel. The union has programs that might help, unless the company has this closing etched in stone.”

Haverhill takes recycled paper and turns it into solid multilayer products, such as book covers and foldable cartons for the food and gift industries.

Different countries but it’s the same old Georgia Pacific

“In a global economy, we cannot have a local approach to bargaining,” International vice president Jon Geenen told members of the GP union council in Pittsburgh on April 28. As part of the USW’s continuing efforts to share information on the working conditions at GP locations in other countries, Craig Foster, an assistant operator and union rep in a de-ink plant in Manchester, England spoke with GP local union leaders.

“We have the same problems in the United Kingdom (UK) as you have,” said Foster, a member of Unite the Union. “GP has 1,260 employees at four manufacturing sites in the UK.” After shutting down a part of one plant, the company is bringing paper into the UK from a GP mill in Spain, he reported.

Working 12-hour shifts, Unite members at GP sites work 1,776 hours a year, meaning that they are off work one-half of the year. Earnings average £27,000 ($54,000) a year but the cost-of-living keeps raising. While a gallon of gas is nearing $4 in the U.S.,it is cost the equivalent of $2.18 a liter or $8 a gallon in the UK.

During recent wage talks Foster said, “The company offered a zero wage increase. We told them we would strike.

“Then the company offered two percent,” he said. “We explained how prices were going up but we took the offer to the membership for a vote. It was rejected by 77 percent.

“Finally, the company came back with a three percent offer and we are recommending acceptance to our members,” Foster said.

Unite’s members vote on the offer on May 7.

The USW and Unite the Union of the UK and Ireland are in discussions to merge. If the merger succeeds, it will create the largest industrial union in the world.

Geenen reports and looks to future

Meeting with GP local union representatives in Pittsburgh prior to the USW Paper Bargaining Conference, International Vice President Jon Geenen gave an overview of bargaining and peered into the future.

“What happens at one local affects what happens in another local – no matter what union.”Geenen said.

“After 25 years of bargaining concessions,” he said, “We’ve made progress in paper. “We can’t simply look at bargaining as setting a date 60 days before contract expiration and scheduling a meeting,” he said. “That’s not how bargaining occurs. It is an exercise of building power.

He gave major credit to locations that were out in front in bargaining, with their memberships fully engaged and standing in Solidarity. “Building Power from the ranks below with full commitment of resources from the top is what it takes to achieve victory,” he said.

“We were losing the right to bargain collectively over health care,” he said. “Now we do not sign contracts where we do not have that right.

“In 2004 we had less than 50 successorship contracts and now we have 500.

“Where we had 75/25 on health care, we got employees backup to 80/20.

“Attacks on our defined benefit pensions have stopped.

“The frameworks (broad parameters of allowable agreements) are not the end game,” Geenen said. “As we develop the GP Council, it calls for rank & file leadership.

“Our biggest victory is that we’ve influenced the process,” he said. “We’ve changed the way GP bargains.”

Looking to the future, Geenen reiterated, “We will rebuild this council, coming out stronger. There’s enough leadership roles to go around for many rank & file members to get involved.”

GP Union Conference delegates discuss regional meetings, building local union strength

Union delegates from Georgia Pacific-owned facilities spent the first morning of the conference in Pittsburgh April 28-29 talking about issues raised at the regional GP meetings earlier in the year around the country to get a clearer understanding of issues facing hourly workers.

Reports back from these regional meetings talked about the most serious problems now facing workers at GP. Union workers also came up with a united plan to begin address these issues as a group. With assistance from USW Strategic Campaigns staff, breakout groups discussed various ways we are building stronger communications networks so no one is left in the dark about union-company relations at any facility.

Additional ways of building power were discussed. More details will be discussed in future issues of this publication.

GP/Dixie Workers in Easton Accept 4-year Deal with Retro Pay

GP/Dixie Local 412 in Easton, Pa., ratified a 4-year contract by a 282 to 37 vote after walking a labor agreement that expired Aug. 2, 2007. The settlement improves wages and benefits while limiting employees’ cost for health care and dental benefits to 25% of the premiums.

Workers are receiving a 2% wage increase retroactive back to Aug. 1, 2007 and three more 2% general wage increases each Aug. 1, through 2010.

Employee life insurance is increased to $29,000 with the entire cost paid by the company. Additional supplemental employee life insurance up to $50,000 (in increments of $10,000) may be purchased by employees. Dependent term life insurance is also available for spouses and
dependent children with costs paid by employees and premiums subject to change on an annual basis. This may be an important benefit for those unable to qualify for life insurance under general underwriting guidelines.

Weekly S&A benefits are increased to 60% of the employee’s regular straight time rate times 40 hours.

Pensions are increased to $25 per month per year of service, and increase $1 a year until the multiplier reaches $28 in the final year. The company also agreed to add 10% to the employer’s cost of maintaining present pension levels that would have otherwise faced reductions.

The safety shoe allowance is increased from $75 to $85 per calendar year, and smoking in the workplace ends Jan. 1, 2011.

GP Fires Shift Worker for Safety Violation

A worker in Dubuque, Iowa, was fired a few weeks ago for his second violation of the lock out/tag out procedure over the previous 12 months.

He was a second shift worker who worked a lot of 12 hour shifts during his tenure.

According to company work rules in Dubuque, a one-year time frame is important because, “discipline steps become inactive after one year…”

GP employees who are written up for safety violations must be especially cautious to follow the rules, especially during the 12 months following the infraction.

While it may seem like a cloud hanging over your head, representatives of Local 1861-5 warn that discharge may result and these cases can be difficult to overturn. In this case, the worker left without asking any help from the union in regaining his job.

As all of our sites continue or go through “rapid transformation,” we need to be aware that working long hours can subject us to being disciplined for committing unintentional safety violations.

Shutdowns Upset Workers, Spotlights Need For Job Security

Union workers are increasingly concerned about the wave of shutdowns announced by GP, and responding for now by fighting for the best deal possible for workers affected by the loss of jobs.

More news has arrived about GP’s plan to shut down the plant in Franklin, Mass. On Tuesday, Feb. 19, a union delegation visited state officials to nail down additional shutdown benefits, retraining and rehiring assistance for the 30 GP workers who have already been laid off and the remaining 60 workers who will be laid off in April. The Union negotiated severance pay and family health insurance until at least June and more.

At GP’s Suffolk, Va., saw mill, the temporary shutdown is to be made permanent, leaving approximately 15 workers laid off. The USW is bargaining with the company over this action and what it will mean for workers there.

A closing was also announced at the GP box plant in Batavia, Ohio. Union negotiations over effects bargaining are completed. The plant is scheduled to be shut down April 7, 2008

Union workers are seeking a way to discourage this corporate sell off of assets. It’s suspicious how the timing of these box plant closings coincides with hints that GP is buying Temple Inland,
which has 2 box plants not far from Batavia (Middletown and Marion, Ohio) and two box plants within 200 miles of the closing GP box plant in Franklin (Spotswood, N.J. and Scotia, N.Y.)

In the meantime, the USW and the GP Union Conference have made it a priority to assist those adversely affected to help them land on their feet. While the company goes through these business transformations, union workers want to have a seat at the table when decisions like this are being made. And while protecting workers rights in regards to seniority and other job security issues, we want to persuade the company into reinvesting in GP facilities for long-term viability.

Naheola and Brunswick Reach Agreements

In light of the recent, unprecedented USW/GP framework agreement reached in large part to the ongoing solidarity at Naheola and Brunswick, the contracts at those two locations were recently settled. Here are some details -

USW Locals 950, 952 &966
NAHEOLA, ALABAMA
• Four year agreement
• Wages: two $1,000 payments for mill and converter, plus 2% and 2%
• Increases for mill job classifications
• Increase protective clothing and shoe allowance
• More retirement benefits, including full retirement at 60 years of age
• Funeral leave, add “step child” and great grandparents.
• Medical and dental plans converted to company plan 1/1/09, with employee contributions 25% of the premiums

USW Local 400
BRUNSWICK, GEORGIA
• Four year agreement
• 1st year, 2%, 2nd year $1,000, 3rd Naheola and Brunswick Reach Agreements year 2%, 4th year $1,000
• Wage adjustments up to $1.50/hour
• Family health care and dental insurance converting to company plan
• Pension improvements for both plans, up to $50 per month per year of service
• Red circled jobs continue at increased wage rates (USW maintenance workers put back in production during reduction in workforce at previous rates of pay)

February 8, 2008
SOLIDARITY!

GP Conference Adopts Groundbreaking Bargaining Framework

When Naheola, Brunswick and Cleveland entered negotiations, the Company’s bargaining pattern consisted of four year contract offers that included two small lump sums along with two-2% wage increases during the contract’s proposed four year term. The company was also advocating a corporate wide initiative to alter health care coverage to include ONLY consumer driven health care plans with very high deductibles that would only serve to limit our access to medical services. Widespread objections to the company’s proposal led to months of hard work by local unions at the bargaining table, coordinating bargaining and high level meetings that have now set the stage for a better deal at GP’s USW locations. As a result of your support and solidarity, we’ve achieved a new opportunity to establish improved contract standards.

On January 9, the GP Union Bargaining Conference agreed overwhelmingly to new bargaining standards that address concerns about box plants wages that have been suppressed for too long, but also address the need for improvement in the mill pattern as well. Most importantly, the new standards recognize the need for affordable health care, better pensions and assurances that what we bargain now will remain for the life of the contract and in place if a location is sold. Contracts failing to meet these goals will not be subject to ratification. The following basic standards will apply to contracts at mills and box plants for Agreements expiring in 2007, 2008, 2009, and 2010.

Wages
Mills
** Mills in mid bargaining cycle (meaning that they have not bargained since beginning of cycle that included lump sums)—Year 1 - 2 %; Year 2 - $1000 lump sum; Year 3 - 2%; Year 4 - $1000 lump sum
** Mills, starting new bargaining cycle, 2%-1%-2%-1% at anniversary/18 mos/30 mos/40 mos.

Box Plants
**Effective immediately Box Plants 2%-2%-2%-2% on each anniversary date.
** Mills and Box Plants will receive retroactivity for timely ratification of agreements.

Health Care
**The company must not rate locations individually. Premiums to be based on claims experience of all GP employees enrolled in the same company-wide plan. For example, the current PPO will be evaluated using the experience of the same PPO plan. The GPABH plan will be based on experience of all participants enrolled in the same GP-ABH plan.
** Process for evaluating the comparability of network issues that arise from the change in plan administration and network, by exploring alternatives, including, but not limited to:
* Improving the current networks
* Securing other and/or additional network providers
* Addressing unreasonable disparities by treating out of network providers as “out of area” or
“in-network”.
** Transitioning for people who are pregnant or being treated for a serious health problem(s) to assure continuing coverage.
** Premium cost sharing - Mills at 75/25. Box Plants at 80/20.
** GP and the USW agree to explore additional incentives including a reduction of premium co-pays.
**GP and the USW agree to meet annually to review premium changes & discuss method to calculate.
**Retirees will continue to be eligible to purchase health care through the retiree medical health care plan at their own expense.

Pensions
Mills
** $50 benefit per month per year of all past and future services.
** PIUMPF (Naheola, as proposed; Halsey and Cedar Springs, to be handled comparably to Naheola).

Box Plants
**Improve by $1 per year in each year of the contract.

Non-waiver – Company must negotiate over changes to healthcare during the term of the agreement.

Successorship – Current nationwide contract language applies to all facilities, including Brewton.

January 11, 2008