http://news.cnet.com/news/0-1007-201-4385393-0.html

Will high-tech chaos finally give birth to unions?
By Troy Wolverton

Staff Writer, CNET News.com
January 16, 2001, 4:00 a.m. PT

A decidedly Old Economy refrain is being heard with increasing frequency in
the high-tech industry: Workers, unite.
Although labor organizing efforts are nascent and active at only a handful
of workplaces, companies and employees across the industry are following at
least three test cases closely to measure prevailing attitudes throughout
the rank and file. The most recent efforts are under way at Amazon.com, IBM
and electronics retailer Etown.com.


By the numbers
Workers at these three companies are in various stages of trying to organize
a union.
Etown.com
* Headquarters: San Francisco
* Founded: 1995
* Employees: 100
* Organizer: Northern California Media Workers Guild (affiliated with the
Communications Workers of America)
* When effort began: Oct. 1999
* Departments targeted: Customer service dept.
* Number of workers affected: approx. 20
Amazon.com
* Headquarters: Seattle
* Founded: 1994
* Employees: 8,500 worldwide
* Organizers: Washington Alliance of Technology Workers (WashTech, a CWA
affiliate); United Food and Commercial Workers
* When effort began: 1998 (according to company); 2000 (according to
WashTech)
* Departments targeted: Seattle customer service center; distribution
centers in the United States
* Number of workers affected: approx. 400 (in Seattle distribution center);
less than 5,000 (in U.S. distribution centers)
IBM
* Headquarters: Armonk, N.Y.
* Founded: 1911
* Employees: 300,000 worldwide
* Organizer: Alliance@IBM (a CWA affiliate)
* When effort began: 1987 (according to company); 1999 (according to
Alliance movement)
* Departments targeted: Entire company in the United States
* Number of workers affected: approx. 140,000

While each organizing drive addresses issues specific to its company,
workers are generally pushing for better wages and benefits, job security,
and protection against seemingly arbitrary schedules and management
decisions--familiar themes behind U.S. labor movements of a century ago. The
reason they are occurring now, many believe, is the free-fall in stock
prices that has brought hard times on people who may have never seen a
recession in their adult lives.

"Etown, because it's the first, will set a certain tone for how organizing
is going to go in high-tech and dot-com companies," said Bill Wyland, an
organizer with the Northern California Media Workers Guild. "We're going to
learn from this campaign. That's going to translate into other campaigns,
win or lose."

History shows that efforts such as those at Etown are predictable whenever
an industry and its work force matures, creating distance and disparity
between staff and management. But high-tech businesses, especially
start-ups, largely thought themselves immune to unionization because they
offered stock options as incentives to work long hours and make other
sacrifices for the risk of hitting pay dirt.
This gold-rush mentality may persist even after the dot-com meltdown because
the technology work force differs in myriad ways from its assembly line
counterparts of previous generations. Workers in the digital economy are
relatively skilled, better educated, and often imbued with a Darwinian
philosophy that seems to contradict such bedrock union notions as equal pay
for all--which presents formidable challenges to labor recruiters.

Take Tim Colson, a software engineer from Milpitas, Calif., who says working
conditions in high-tech jobs are "generally excellent."
"About the only detriment I can think of are the long hours, but usually you
are compensated in some way for the effort," Colson said. "And because there
are so many job opportunities, if a particular environment isn't acceptable,
you can simply move on."

The three companies facing labor initiatives strongly oppose the efforts,
saying unions would inhibit flexibility, a necessary trait for a competitive
high-tech company. This is especially important to smaller companies
threatened by extinction in today's marketplace.
Etown is a particularly urgent case because, unlike Amazon and IBM, it has
relatively few resources or reserves to see it through difficult times.

Robert Heimblem, chief executive of the San Francisco company, blames the
union effort in part on naive, inexperienced employees who had unrealistic
expectations. Many thought they would make a quick buck working at a dot-com
and were not prepared for the economic crunch, he said. "They came to work
with stars in their eyes," he said.
But union organizers say Etown employees are not that much different from
any other employees, experienced or not. Among their complaints are erratic
schedules, pay raises that were promised but not given, and a constantly
changing business model.

The labor movement at Etown is the furthest along among the three companies,
having already won approval to hold a union vote sanctioned by the National
Labor Relations Board. Originally scheduled for Jan. 12, that vote was
delayed after union allegations that Etown management was illegally
interfering with workers' rights to organize.

"It's basic to workers that they want decent benefits and wages and a say in
how the business is run," Wyland said.

Etown workers may be further emboldened by the pro-labor climate of San
Francisco, which has one of the highest percentages of unionized employees
in the country. But many are looking northward to Seattle-based Amazon as a
more significant test, given its industry leadership and public profile.

Union movement brews at a bookseller

Union activity at Amazon dates back to 1998, when some of the company's
employees joined the Washington Alliance of Technology Workers, or WashTech,
a high-tech labor group in Washington state.
Gartner analyst Esteban Kolsky says the unionization of customer service
workers is nothing new, but Net companies should treat their employees in
such a way that unions do not offer an appealing alternative.
see commentary

But the current organizing drive did not begin in earnest until mid-November
last year, when some 50 employees from Amazon's customer service center in
Seattle met with officials from WashTech to discuss plans for organizing
their 400-person department. Chief among their complaints and worries: job
security, mandatory overtime shifts and erratic schedules.
Concurrently, the United Food and Commercial Workers launched a campaign to
unionize workers in Amazon's eight U.S.-based distribution centers. That
effort has been slow going, focusing on educating workers about unions and
what such organizations can do for workers. To date, the effort to have
workers sign union cards has not yet begun, though that would be the first
step toward holding an election for union representation.

Amazon has launched a vigorous campaign of its own, holding mandatory
meetings with employees to address union questions, instructing managers on
how to respond to organizing efforts, and posting a list of frequently asked
questions for employees about unions that organizers saw as one-sided.

"We just don't think it's going to be in the best interest of our company or
our employees," Amazon spokeswoman Patty Smith said.
In the face of Amazon's campaign, organizers have pushed back their schedule
indefinitely, instead focusing on educating their co-workers.
"There's a growing sense among workers that they need some kind of
representation on the job," said Marcus Courtney, WashTech's co-founder.
"They don't understand that the only way they are going to get
representation is through a union."

Timing may also be working against labor movements at Amazon and elsewhere.
Workers throughout the industry have all heard reports of layoffs and other
drastic budget-cutting moves at high-tech companies.
"The dot-com industry is in a very precarious position right now," said John
Challenger, president of Chicago-based outplacement firm Challenger, Gray &
Christmas. "Unionization may knock those companies off."
But labor issues are not confined to the dot-coms. In response to a dispute
over pension plan changes in 1999, IBM workers formed Alliance@IBM, an
informal organization affiliated with the Communications

Workers of America.
Alliance has not organized any particular units of Armonk, N.Y.-based IBM
and does not have the power to collectively bargain for workers. But the
organization says it did successfully pressure IBM to make changes in the
pension plan that affected some 65,000 workers.

Since then, interest in Alliance has faded. IBM spokeswoman Jana Weatherby
said the organization has made little headway beyond the pension issue "by
their own admission."

The association is still active in signing up new members and hearing
employee concerns, countered Lee Conrad, national organizer for Alliance.
For all the talk about all the jobs available for computer programmers, many
high-tech employees--such as those who work in semiconductor manufacturing
plants--do not have the same kind of mobility as their white-collar
colleagues, he said.

"I think people are looking for some sense of stability and some sense of
protection," Conrad said. "Some things just haven't changed that much."
Uniting on a whole new front

Organized labor leaders view the high-tech work force as an opportunity to
revitalize union representation as a whole, which has declined steadily in
the United States as its advantages in white-collar businesses have remained
unclear.

The result, if successful, could be an entirely different kind of labor
union for the 21st century, one that is more appropriate for office workers
seeking child care rather than coal miners fighting black-lung disease.

"This is a sunrise industry," said Katie Quan, labor policy specialist at
the Center for Labor Research and Education at the University of California
at Berkeley. "It's quite important for the labor movement to get a foothold
and grow with it."

To be sure, organized labor is not entirely absent in technology companies.
Telecommunications companies such as Verizon Communications and aerospace
companies such as Lockheed Martin have unions. In addition, e-tailers often
employ the services of unionized delivery and warehouse workers.

But the computing industry and its software and Internet offshoots have
largely avoided unionization. Unlike more traditional laborers, such as
autoworkers, who tend to stay at one job for a long time, high-tech workers
change jobs more often. Any widespread labor movement would also need to
address the high share of temporary, conditional or seasonal workers that
populate the ranks of high technology far more than traditional industries.

"I think unionization would ruin the free spirit and innovation in the
high-tech industry," said Alvin Bost, a freelance Web site designer in
Greensboro, N.C., who formerly worked in a unionized workplace that was
marked by bitter dissension between employees and management. "It would be
terrible for people like me."

Others say that while most technology workers are well compensated, unions
are needed to check the growing power of corporations in the American
economy. David Moffat, who develops instructional software for the
University of North Carolina at Chapel Hill, said high-tech workers are not
immune from the trends that spurred labor movements in other industries,
such as decreases in benefits and exportation of work overseas.

"Assemblers, information workers and many other segments of the 'Information
Economy' are in a position similar to that of industrial workers at the turn
of the last century," Moffat said. "Corporations have the upper hand in
determining when, where and for how much employees will work."

Courtney and others suggest that in the near future, high-tech unions will
probably look like Alliance or WashTech: open to all workers, including
temporary ones, loose-knit, and able to represent workers even without
having collective bargaining power.

At the same time, he added, such unions may be the one constant thing in a
high-tech worker's life. Although they may switch companies and change
positions, they will always be a part of the union. Instead of getting
benefits from companies, which would change with each company an employee
joined, the union would provide constant job training and benefits for
workers.

But the road to unionization will continue to be a tough one. Forming a
union is difficult even under the best of circumstances, experts say. Union
votes are only successful in about half of all cases, and only a fraction of
organizing drives make it to a vote.

Many of the issues that have spurred unionization in the past are now
regulated by the government, said Victor Schachter, an employment law
attorney with Palo Alto, Calif.-based Fenwick & West. And no matter how
strong the union, it won't be able to stop mass layoffs if they become
necessary to a company's survival.

"I think employees are going to be very reluctant (to organize) when they
see the obligation of dues and the possibility of strikes and the realities
of what collective bargaining is," Schachter said. "I believe in the end,
very few, if any, of these companies will find that they have
union-represented employees."

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