Friday, May 9, 2008

SMWIA Answers Our Questions

For the second time, we submitted questions to both the Sheet Metal and UTU leadership, and for the second time in a row, we recieved a response from President Sullivan at the Sheet Metal Workers. Once again, we have gotten no response from anyone in Cleveland.

Below is the email response we recieved from Sullivan, completely unedited and copied and pasted from our email account. One thing that stands out is Sullivan's response to a question about the UTUIA. Sullivan states that the UTUIA's independence was agreed to very early on in negotiations, and it was purposely left out of the merger in order to ensure it remain separate and intact. His response shows that the screams and hollers from the plaintiffs and their supporters about the impending sale of the UTUIA was nothing more than opportunistic rumormongering and lies.

All we have to say is keep the questions coming because it seems like we at least have some sort of a dialogue going with one of the major actors behind the SMART merger.

Click here for Mike Sullivan's previous responses.


Again I would like to thank you and your readers for taking the time to ask questions on our SMART Merger.

I have submitted answers to your questions of April 22, 2008, in the space below your questions and have highlighted them in Blue for clarity.

Michael J. Sullivan



what i really want to know is whether the merger included selling the utuia. is that true because the plaintiffs and their supporters are screaming it to the mountains without any sources.

In our merger negotiations it appeared early on the UTUIA may have been subsidizing the UTU through the payment of salaries of some of the officers. In our opinion this was not a sound business practice for either organization and both organizations needed to operate independently. To assure this independence, we took the position very early on that the UTUIA would not be a part of the merger and a separation would be maintained.

The UTUIA should be an independent organization who provides service and pricing to its members based on its cost alone. The exclusion of the UTUIA from the Merger Document should make it obvious there was no intent by the SMWIA to sell off the UTUIA, nor to control it.


When Vice President Futhey met with attorney Fox was Futhey being paid by the UTU? When Vice President Futhey called the anti merger boys did the UTU pay for the call? When Vice President Futhey turned over documentation to Fox, was he on UTU time or his own time? Did he use a UTU computer or a UTU fax or a stamp paid for by UTU? Is Vice President Futhey guilty of misusing union funds? I voted for the merger and he is using my dues money to cancel my vote.

It would appear through his own affidavit President Futhey met with Attorney Fox and others concerning the suit that was filed. As the membership of the UTU had supported the merger as did then General President Thompson and by their vote the UTU Executive Board, unless then Vice-President Futhey had spoken to General President Thompson or presented his concerns to the Executive Board for support, which it appears he did not, he was acting without authority as an officer of the UTU when he met Attorney Fox and others.

What kind of deal did futhey strike with these guys when he met with them back in october?

I have no knowledge of this.

This is a question. I stumbled on a web page titled utucandidate.com. There was a three or four page statement on that site concerning the UTU's finances. At the end of the statement reference was made to the UTUIA subsidizing UTU officer salaries and that process was supposed to end on January 1, 2008. Has that subsidizing by UTUIA stopped? Also in view of the level of the general fund and other funds is there a sizeable dues increase facing UTU members?

Early in our discussions on a possible merger it was clear the then current structure of the UTU was in our opinion top heavy and was not economically sustainable. UTU General President Thompson agreed with this assessment and was in the process of making changes that would bring the UTU into a position of economic stability. As these initial meetings lead to merger talks, the SMWIA made it clear we were not in agreement with continuation of the subsidy of UTU officer salaries by the UTUIA and wanted a complete separation of the UTUIA and the UTU in their operational structures. Whether this has as yet happened I have no specific knowledge.
As you are aware a dues increase did occur in January and was deemed by General President Thompson as necessary to stabilize the finances of the UTU. Even with the dues increase it was the opinion of General President Thompson such an increase would not allow for an increase in the number of staff, but would only serve to stabilize the current cash flow within the UTU.

Is it true that President Mike Futhey has been charged and the Chairman of the UTU Executive Board tabled the charges?

I have no knowledge of this.


Is it true that Vice President Mike Futhey 2007, provided information to anti UTU attorney Fox in November of 2007 to support the anti-merger movement?

It would appear by President Futhey’s affidavit that he met with attorney Fox in November of 2007. The substance of that meeting is known only to President Futhey and Attorney Fox.

Is it true that Vice President Futhey was acting without the authority of the UTU President in 2007 when he provided documentation to anti-union Fox?

If in fact then Vice-President Futhey provided UTU documents to Attorney Fox , it would appear this was done without the authorization or authority to do so.

I just heard some bad news about the UTU’s DIP program from a UTU insurance representative who is blaming former President Thompson for DIP’s problems. Could this website fill us in on the truth about DIP?

The current financial condition of the DIPP Program is a question for President Futhey.

As to my knowledge of the program, there was discussion by General President Thompson regarding the underfunded position of the program. He stated he believed for the program to survive there would have to be a combination of plan changes and contribution increases. It was my understanding General President Thompson made the changes prior to his leaving on January 1, 2008.

It is also my understanding that President Futhey has undone some of those changes, what effect those changes would have on the fund is unclear. Time will only tell if the fund will survive in its current position.

1 Comments:

Anonymous Anonymous said...

I read the recent article in UTU news from Futhey. I guess he is still confused. The only autonomy he is worried about is his own.
1. he will not be able to appoint his favorite FELA lawyers.
2. no more political pay backs
3. no more free spending of membership funds
4. Dave Murphy will have to pay his own H&W premiums

July 1, 2008 10:40 PM  

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