Daily News Union Sues Alden Global Capital Over Unfair Health-Care Negotiations

TL/DR –

Unionized employees of the Daily News have taken legal action against the newspaper’s owner, Alden Global Capital, accusing it of bad faith bargaining. The hedge fund reportedly circumvented the union to negotiate a healthcare plan, which is allegedly a violation of labor law as any changes to working conditions must be bargained. The new plan would save Alden and the Daily News 24.8% but increase the monthly costs for union members, prompting the NewsGuild of New York to file an unfair labor practice charge on behalf of the Daily News Union.

Unionized Employees of the Daily News Take Legal Action Against Alden Global Capital

New York’s Hometown Newspaper, the Daily News, has seen its unionized employees file a legal suit against the paper’s owner, Alden Global Capital (known as the destroyer of newspapers). The hedge fund allegedly bypassed the union to negotiate a healthcare plan with an insurance fund, aiming to keep the considerable savings from the deal.

The NewsGuild of New York Files Unfair Labor Practice Charge

The NewsGuild of New York, representing the Daily News Union, accused Alden Global Capital and the Daily News of foul play, lodging an unfair labor practice charge earlier this month. They claim that the entities violated labor law by not bargaining any changes to working conditions, including a new healthcare plan.

The Controversial Plan Sees No Savings for Union Members

Documents from the management show that the proposed plan with UFW would save Alden and The Daily News 24.8%. However, the union members would not benefit from these savings. Instead, they would experience slightly increased monthly costs. The Daily News Union, certified as a union in 2021, has been advocating for a fair contract, including living wages and affordable healthcare. In August, members testified at a bargaining session about the consequences of stagnant wages and soaring healthcare costs.

Union Accuses Alden of Deceptive Practices

“Alden acquired the quote for health insurance under false pretenses. They did not disclose this information to us while declining to respond to our healthcare proposal submitted in March,” said Ellen Moynihan, Unit Chair of the Daily News Union. She added, “Now, they are pushing us into a plan that will only save them money.” For more information on this case, read more here or sign the petition supporting the union.

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