RE: New England Teamsters Organizing Efforts

To Our Clients and Friends: 

I am very proud to write to you about our victory in July on behalf of Lepage Bakeries Inc. in an election campaign staged by Teamsters Local Union No. 633 based out of Manchester, New Hampshire. The Teamsters attempted to organize Lepage Bakeries’ route sales associates at seven branches located in New Hampshire plus an eighth branch in Leominster, Massachusetts. After a two and one half month campaign, Lepage Bakeries prevailed at the ballot box by a lopsided tally of 59 to 14, more than a four to one margin.

The Teamsters spent about one year on organizing activities before filing a petition with the National Labor Relations Board. At the time the union filed for the election, it had authorization cards signed by about seventy-five percent of the route sales associates. Beyond using traditional methods of organizing, the Teamsters relied on members working for unionized competitors to pressure Lepage Bakeries associates in the retail trade. In addition, they made heavy use of telephone calls to the associates’ homes and put pressure on their families. The union also threw parties at a local Hooters restaurant for those whose votes the union thought it had won in an apparent attempt to retain their allegiance. This campaign was more sophisticated than we have experienced in recent years. Rick Finberg, David Strock and I countered these tactics with hard hitting presentations to the route sales associates as well as with other communication strategies. The result speaks well for the Company in the face of escalating and more sophisticated organizing activity which has resulted in higher union win rates.

Although the Teamsters focused on the traditional topics of job security, compensation and benefits, the Teamsters also tried to take advantage of the Enron and WorldCom scandals. The Teamsters argued that employees now need a union to provide them with retirement security. Most employers are vulnerable to this argument. Given the recent stock market slide, you should review how your Company’s 401(k) or other retirement plan investment options are managed and whether the compensation and benefits package your Company offers its employees is competitive. For our non-union clients, if you have any concerns, an employment/union vulnerability audit makes a great deal of sense at this time.