June 9, 2009

Union at Boston Globe turns down contract

The New York Times Co. said it would cut salaries 23 percent for Newspaper Guild members at the Boston Globe who voted down an 8.4 percent cut in pay.

Guild members, on a 277 to 265 vote, narrowly defeated the contract proposal, that included pay reductions, a one-week unpaid furlough and cessation of company contributions to retirement plans, The New York Times reported Tuesday.

In a statement, the Times said the Globe would cut salaries 23 percent effective next week.

Newspaper Guild President Daniel Totten said members "¦ have said that the New York Times Co. must do better.

Previously, union officials said they would continue negotiating if the vote failed. They also said the union would take up any unilateral pay cuts with the National Labor Relations Board.

This is not the time to go to war. This is the time for management and labor to sit down and work out an agreement, said reporter Scott Allen.

The Globe is one of many U.S. newspapers struggling during the recession and a flight of advertisers to the Internet.

In early April, the Times said it would close the Globe if it labor costs were not reduced by $20 million a year.