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About Northwest labor press. (Portland , Ore.) 1987-current | View Entire Issue (July 21, 2006)
Qwest to close Portland call center, 160 CWA jobs will vanish Qwest Communications Interna- tional has announced it will close its Portland customer service call center Oct. 13 and lay off 175 employees, in- cluding 160 members of Communica- tions Workers of America Local 7901. The work will be shifted to Qwest call centers in Sioux City, Iowa; Sioux Falls, South Dakota, and Logan, Utah. The announcement comes two years after another Qwest closure threat, in re- sponse to which state and local officials offered taxpayer-funded incentives to get Qwest to keep the center open. In 2004, the State of Oregon offered to partner with the City of Portland and pay up to $3,000 per employee for training, and the Portland Development Commission (PDC) made up to $750,000 available to pay for new equipment and improvements to Qwest’s downtown Portland facility. Qwest kept the call center, but de- cided not to take the subsidies, because they came with strings attached, like a requirement that the jobs pay a certain level and stay put a certain length of time. If the company took the PDC sub- sidy and later closed the center, it would have to repay it, with interest. The union, also, made concessions two years ago. To compete with low- wage non-union call center contractors, CWA agreed to a two-tier wage system. New hires would start at $8.50 an hour, bump to $10 after a probationary pe- riod, and make up to $12 depending on sales. The most senior employees would continue to make $20 an hour. The hope was that lower wages would bring back work that had been subcontracted. The reality, says Local 7901 President Madelyn Elder, is that in places like Portland it wasn’t possible to find good workers at that wage. Qwest said workers will have an op- portunity to transfer to the other centers. “If you want a $10-an-hour job in Housing costs rise in Oregon as wages stagnant By MICHAEL WILSON While housing costs have risen rap- idly in recent years, wages have risen much more slowly. In 2005, the average wage per pri- vate-sector job in Oregon was $36,214 — about 11 percent higher than in 2000. As the table to the right shows, house 0HGLDQ+RXVH6HOOLQJ3ULFH9HUVXV$QQXDO3ULYDWH:DJHV &XUU\&RXQW\ -DFNVRQ&RXQW\ 'HVFKXWHV&RXQW\ 3RUWODQG06$ 8QLWHG6WDWHV 5DWLRRI +RXVHV3ULFH WR:DJH 3ULYDWH 6HFWRU:DJH 0HGLDQ +RXVH3ULFH 1RWH7KH86ZDJHLVSUHOLPLQDU\DQGLVDYDLODEOHRQO\IRUWKHILUVW WKUHHTXDUWHUVRI 1RWH7KH86PHGLDQKRXVHSULFHLVIRUH[LVWLQJKRPHVRQO\ 6RXUFHV&XUU\&RXQW\$VVHVVRU5HJLRQDO0XOWLSOH/LVWLQJ6HUYLFH5R\ :ULJKW$SSUDLVDO6HUYLFH&HQWUDO2UHJRQ$VVRFLDWLRQRI5HDOWRUVDQG 1DWLRQDO$VVRFLDWLRQRI5HDOWRUV prices rose 56 percent over that period. While many Oregon counties have higher median home prices than the United States, few have higher wages. In 2004, only two of Oregon’s 36 counties — Multnomah and Washington — had higher average wages per job than the nation. The table to the left shows the 2005 median house selling price and av- erage annual wage per job for the United States and four areas in Oregon. The table includes the ratio of the median house price to the average annual wage per job in the private sector. This gives a rough idea of how affordable the median house is for the average worker. Curry County has the second-highest median home price out of the five areas listed, and the lowest average wage. Curry County residents making the average wage would need to pay more than 11 times their annual income to pur- chase the median-valued home. In the United States, that number is a little more than five times the nation’s annual income. (Editor’s Note: This is an excerpt of an arti- cle in Oregon Labor Trends, written by Michael Wilson, a work- force analyst for the Ore- gon Employment De- partment.) Sioux City, you can follow your job,” Elder said. There may be some cases in which Qwest’s Portland workers would actu- ally consider doing that, Elder said, like if they’re two years away from retire- ment and need the intact employment history to get full benefits. Elder said the union hopes to per- suade Qwest management to recon- sider. It also planned to demonstrate its anger at the closure at a noon rally July 21 outside the call center, at 421 SW Oak St. in Portland. 3HUFHQW&KDQJHLQ+RXVH6DOH3ULFHVLQ 2UHJRQDQGLWV06$V3HULRGV(QGLQJ)RXUWK 4XDUWHU %HQG 0HGIRUG (XJHQH 3RUWODQG 2UHJRQ 6DOHP &RUYDOOLV <HDU&KDQJH <HDU&KDQJH 6RXUFH2IILFHRI)HGHUDO+RXVLQJ(QWHUSULVH 2YHUVLJKW BENNETT HARTMAN MORRIS & KAPLAN, LLP Attorneys at Law THE UNION PLUS ® MORTGAGE PROGRAM Provided Exclusively by Chase Home Finance Representing Unions and Workers Since 1960 S ERIOUS I NJURY AND D EATH C ASES • C ONSTRUCTION I NJURIES • A UTOMOBILE A CCIDENTS When it comes to mortgages, we’re taking a stand for Union members. 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Eligibility for mortgage assistance begins one year after closing on a Union Plus Mortgage through Chase Home Finance. This offer may not be combined with any other promotional offer or rebate, is not transferable, and is available to bona fide members of participating unions. For down payments of less than 20%, mortgage insurance (MI) is required and MI charges apply. All loans are subject to credit and property approval. Program terms and conditions are subject to change without notice. Not all products are available in all states or for all loan amounts. Other restrictions and limitations apply. ©2005 JPMorgan Chase & Co. All Rights Reserved. P-UP 104 2A-7604 10/05 JULY 21, 2006 NORTHWEST LABOR PRESS (Our Legal Staff are Proud Members of UFCW Local 555) PAGE 9
