The Guild and Times Union began discussions of the buyout offer Thursday but did not yet reach any conclusion.

The company was open to waiving the deductible for those who take the buyout, and Publisher George Hearst said he’d be willing to allow people in departments other than editorial to apply. The company would still be able to choose which applications to accept, and Hearst said the focus would be on positions that would not be replaced.

(That could mean, in some cases, that a person gets moved into the vacated position and their job remains unfilled.) Hearst said jobs in advertising were unlikely to result in cost savings because those workers would be replaced.

The two sides discussed the idea of lifting the company’s proposed cap of 52 weeks and allowing those under 65 to be able to retire without an early retirement penalty. The Guild pointed out that 19 people in editorial would be affected by the cap.

The early retirement penalty is not as clear cut as it first appeared. Essentially, when someone retires before age 65, they have two options.

One is to get their full pension but with the calculation of years of service ending in 2006. For some who have more than 30 years’ experience, that would not make a difference. For others, it would.

The second option is to take early retirement but receive less for each year before 65. The percentages are outlined in this Guild Pension Plan document. See the chart on page 29.

The union is examining this information to see what it might propose to aid senior employees who might wish to take the buyout but worry about the consequences for their retirement income.

The union will also meet with the company at 2 p.m. Friday to hear about insurance rates for 2012. Keep watching the website for details, and don’t forget to complete your health-care survey. We need your input.

The Guild’s committee is meeting with the Times Union today over the proposal for buyouts in editorial.

The committee proposed several changes to the company’s offer of three weeks’ pay for each year of service, with a minimum of 15 weeks and a maximum of one year, and health insurance for the same period.

Rather than cap the buyout at one year, the union proposed no cap. Many employees have more than 17 years of experience and would be affected by the cap. Some have more than 26 years’ experience and would get more money if laid off than if they take a buyout. (The contract language, which remains in effect, says laid-off workers get two weeks’ pay for each year of service with a 62-week cap.)

The union also proposed eliminating the early retirement penalty. Workers who retire before age 65 lose 5 percent off their pension for every year. If you retire at 55, your pension is cut in half. Retire at 60, you lose 25 percent. That is a serious disincentive for a worker who might otherwise consider a buyout.

The Guild proposal also says that people taking the buyout would not have to pay the health care deductible in 2012. If someone declines health insurance, they could receive half of the annual premium.

The proposal also includes including differentials an employee would normally receive in calculating wages. The Guild will ask the company to consider extending the offer to other departments and, if so, for commissions to be included for advertising employees.

The committee representing the union includes President Tim O’Brien ,Chief Steward Brian Nearing, Third Vice President Jeff Boyer and Page Designer Gillian Scott.

In a conversation today, Publisher George Hearst said the company’s aim is to get six to nine people to accept a buyout. That number would include both Guild-covered employees in editorial and exempt employees companywide.

The exact number would vary depending on who takes the buyout, he said.

Hearst said there were no specific positions being targeted at this point.

The Guild’s committee on the buyouts is working to finalize its response to the company’s offer. The parties are tentatively slated to meet at noon Thursday.

Guild President Tim O’Brien and other members of the executive board gathered with a handful of members for a brief informational meeting on the company’s proposed editorial buyout initiative Monday.

Tim outlined the details of the company’s one-paragraph proposal, which include:

• three weeks pay per year of service with a minimum of 15 weeks and a maximum of 52 weeks’ pay.
• an equal number of weeks of health insurance coverage.

According to Tim, the company also plans to offer buyouts to exempt employees, but it is not clear whether the exempt offers will be limited to the editorial department, as the Guild buyouts would be, or will be company-wide.

First Vice President Lindsay LaFountain suggested that employees in other departments could be interested in buyouts and recommended raising that possibility with the company.

Those gathered at the cafeteria table quickly came up with a number of questions about the proposal and its implications for health insurance deductibles, early retirement penalties, and whether the buyout would, in fact, provide an incentive for the most senior employees.

Other details that remain unclear are whether specific job titles are being targeted and how many positions the company is seeking to trim. It also is unknown whether the offers would reflect the differential payments typically paid to employees who work nights and weekends.

A committee is being formed to explore these and other questions and to craft a counter proposal to present to the company. Members at this point are:
President Tim O’Brien, Chief Steward Brian Nearing, Artist and Executive Board Member Jeff Boyer and Page Designer Gillian Scott.

At least one more member may be added to the committee, which is expected to begin working immediately.

Tim stressed that the Guild leaders want to act quickly to clarify questions and reach agreement with the company on a proposal that can be presented to members for a vote.

Under our contract, a buyout offer must be approved by the membership.

We are starting to meet with the company over next year’s health insurance plan, and we need your input.

Please click here to take our HEALTH-INSURANCE SURVEY.