Legislature(1997 - 1998)
01/27/1997 03:10 PM House L&C
| Audio | Topic |
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* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
+ teleconferenced
= bill was previously heard/scheduled
HOUSE LABOR AND COMMERCE STANDING COMMITTEE
January 27, 1997
3:10 p.m.
MEMBERS PRESENT
Representative Norman Rokeberg, Chairman
Representative John Cowdery
Representative Bill Hudson
Representative Joe Ryan
Representative Gene Kubina
Representative Tom Brice
MEMBERS ABSENT
Representative Jerry Sanders
OTHER HOUSE MEMBERS PRESENT
Representative John Davies
COMMITTEE CALENDAR
*HOUSE BILL NO. 68
"An Act relating to the exemption from the requirement for payment
for overtime under a voluntary work hour plan; and providing for an
effective date."
- CSHB 68(L&C) HEARD AND HELD
(* First public hearing)
PREVIOUS ACTION
BILL: HB 68
SHORT TITLE: VOLUNTARY FLEXIBLE WORK PLAN: OVERTIME
SPONSOR(S): REPRESENTATIVE(S) THERRIAULT,Kelly,Vezey,James
JRN-DATE JRN-PG ACTION
01/15/97 67 (H) READ THE FIRST TIME - REFERRAL(S)
01/15/97 67 (H) LABOR & COMMERCE
01/27/97 (H) L&C AT 3:00 PM CAPITOL 17
WITNESS REGISTER
GENE THERRIAULT, Representative
Alaska State Legislature
Capitol Building, Room 421
Juneau, Alaska 99801
Telephone: (907) 465-4797
POSITION STATEMENT: Sponsor of HB 68.
STEVE LANG, General Manager
Fort Knox Mine
P.O. Box 73726
Fairbanks, Alaska 99707
Telephone: (907) 490-2201
POSITION STATEMENT: Supported CSHB 68.
TOM CASHEN, Commissioner
Department of Labor
P.O. Box 21149
Juneau, Alaska 99802
Telephone: (907) 465-2784
POSITION STATEMENT: Opposed CSHB 68.
DON ETHERIDGE, Representative
Alaska District Council of Laborers
8459 Kimberly Street
Juneau, Alaska 99081
Telephone: (907) 586-3707
POSITION STATEMENT: Opposed CSHB 68.
MANO FREY, Member
Alaska AFL-CIO
2501 Commercial Drive
Anchorage, Alaska 99501
Telephone: (907) 272-4571
POSITION STATEMENT: Testified on CSHB 68.
RAYMOND SMITH, President
Western Alaska Building Construction Trades Council
650 West International Airport Road
Anchorage, Alaska 99518
Telephone: (907) 562-8843
POSITION STATEMENT: Opposed CSHB 68.
TIM SHARP
Laborers Union Local 942
1284 Lois Lane
Fairbanks, Alaska 99712
Telephone: (907) 457-2749
POSITION STATEMENT: Opposed CSHB 68.
RICK BOYLES
Teamsters Union Local 959
751 Old Richardson Highway
Fairbanks, Alaska 99701
Telephone: (907) 452-2859
POSITION STATEMENT: Testified on CSHB 68.
ED KAREEN, Representative
International Union of Operating
Engineers Local 302
3800 East Huffman
Anchorage, Alaska 99516
Telephone: (907) 561-5288
POSITION STATEMENT: Opposed CSHB 68.
TOM ARMSTRONG, Construction Worker
International Union of Operating
Engineers Local 302
6430 East Ninth Avenue
Anchorage, Alaska 99504
Telephone: (907) 337-5981
POSITION STATEMENT: Opposed CSHB 68.
MIKE DESNOYERS, Electrician
Usibelli Coal Mine
P.O. Box 33
Healy, Alaska 99743
Telephone: (907) 683-1498
POSITION STATEMENT: Opposed CSHB 68.
TOM EVANS
Teamsters Union Local 959; and
President, Central Labor Council of Anchorage
4300 Boniface Highway
Anchorage, Alaska 99503
Telephone: (907) 289-4166
POSITION STATEMENT: Opposed CSHB 68.
LARRY GALLAGHER, Business Manager
Plumbers and Steamfitters Union Local 367
610 West 54th Avenue
Anchorage, Alaska 99518
Telephone: (907) 272-4571
POSITION STATEMENT: Opposed CSHB 68.
LOREN CHASE, Shovel Operator
Fort Knox Mine
4201 York Avenue
Fairbanks, Alaska 99709
Telephone: (907) 456-2030
POSITION STATEMENT: Opposed CSHB 68.
GENE ANDERSON, Maintenance Mechanic
Fort Knox Mine
3350 Thomas Avenue
Fairbanks, Alaska 99709
Telephone: (907) 479-6126
POSITION STATEMENT: Supported CSHB 68.
WES GRAF, Construction Worker
Laborers Union Local 942
631 Change Lane
Fairbanks, Alaska 99708
Telephone: (907) 479-5415
POSITION STATEMENT: Opposed CSHB 68.
BILL WILLIAMS, Construction Worker
305 Sixth Avenue, Apartment 1-A
Fairbanks, Alaska 99701
Telephone: (907) 458-7248
POSITION STATEMENT: Opposed CSHB 68.
SYLVIA SULLIVAN, President
Alaskans for a Just Society
P.O. Box 2296
Valdez, Alaska 99686
Telephone: (907) 835-3729
POSITION STATEMENT: Opposed CSHB 68.
LARRY SPORTSMAN
P.O. Box 2684
Valdez, Alaska 99686
Telephone: (907) 835-3691
POSITION STATEMENT: Opposed CSHB 68.
DAN CLASPILL, Electrician and Chief Steward
Usibelli Coal Mine
Healy, Alaska 99743
Telephone: (907) 683-2226
POSITION STATEMENT: Opposed CSHB 68.
MIKE FAIR
P.O. Box 128
Fairbanks, Alaska 99707
Telephone: Not provided
POSITION STATEMENT: Opposed CSHB 68.
JAY QUAKENBUSH
P.O. Box 82391
Fairbanks, Alaska 99708
Telephone: (907) 465-4248
POSITION STATEMENT: Opposed CSHB 68.
MARK ROSSAR
1228 Denali Way
Fairbanks, Alaska 99701
Telephone: (907) 456-6176
POSITION STATEMENT: Opposed CSHB 68.
MILT BEHR, District Representative
International Union of Operating
Engineers Local 302
P.O. Box 71938
Fairbanks, Alaska 99707
Telephone: (907) 452-8131
POSITION STATEMENT: Opposed CSHB 68.
CHRIS MORLEY
810 Smythe Street
Fairbanks, Alaska 99707
Telephone: (907) 452-6744
POSITION STATEMENT: Opposed CSHB 68.
MARTIN CARVOLO
P.O. Box 1749
Seward, Alaska 99664
Telephone: (907) 455-4993
POSITION STATEMENT: Opposed CSHB 68.
CLYDE LORENZ, Construction Worker
Laborers Union Local 942
P.O. Box 73114
Fairbanks, Alaska 99707
Telephone: (907) 457-7106
POSITION STATEMENT: Opposed CSHB 68.
DEAN NEUMEYER
Fairbanks Gold Mining, Incorporated
1280 Heath
Fairbanks, Alaska 99712
Telephone: (907) 456-6383
POSITION STATEMENT: Supported CSHB 68.
CHRYSTAL KOSIDOWSKI, Teamster
2761 Park Way
North Pole, Alaska 99705
Telephone: (907) 488-5796
POSITION STATEMENT: Opposed CSHB 68.
ROBERT MCGILL
3088 Larkspur Court
North Pole, Alaska 99705
Telephone: (907) 488-8948
POSITION STATEMENT: Opposed CSHB 68.
DON SWARNER, Carpenters' Business Representative
P.O. Box 70347
Fairbanks, Alaska 99707
Telephone: (907) 452-3862
POSITION STATEMENT: Opposed CSHB 68.
ZINN DECKER, Electrician
P.O. Box 10955
Fairbanks, Alaska 99710
Telephone: (907) 457-4315
POSITION STATEMENT: Testified on CSHB 68.
RICHARD GAUL, Construction Worker
Laborers Union Local 942
849 Bohnet Drive
Fairbanks, Alaska 99712
Telephone: (907) 488-6145
POSITION STATEMENT: Opposed CSHB 68.
CHARLES DERRICK, Construction Worker
Laborers Local 942
891 Seldom Seen Road
Fairbanks, Alaska 99712
Telephone: (907) 488-3093
POSITION STATEMENT: Opposed CSHB 68.
JOSH MOORE, Senior Mill Operator
Fort Knox Mine
1311 Dolphin Highway
Fairbanks, Alaska 99709
Telephone: (907) 479-3508
POSITION STATEMENT: Supported CSHB 68.
KARL HANNEMAN, Statewide President
Alaska Miners' Association
626 Second Street, Suite 201
Fairbanks, Alaska 99701
Telephone: (907) 452-8685
POSITION STATEMENT: Opposed CSHB 68.
SHAWN LOWERY, Shovel Operator
Fort Knox Mine
3350 Thomas Street
Fairbanks, Alaska 99701
Telephone: (907) 474-4024
POSITION STATEMENT: Supported CSHB 68.
KERMITT MELVIN, Surveyor
Fort Knox Mine
888 Gold Pan Road
Fairbanks, Alaska 99712
Telephone: (907) 456-5829
POSITION STATEMENT: Supported CSHB 68.
HARRY MCNEAL
Teamster 939
3262 Repp Road
North Pole, Alaska 99705
Telephone: (907) 488-6624
POSITION STATEMENT: Opposed CSHB 68.
ROGER LUCAS, Safety Supervisor
Fort Knox Mine
464 Shannon Drive
Fairbanks, Alaska 99701
Telephone: (907) 457-4522
POSITION STATEMENT: Supported CSHB 68.
TOMMY GARNER
2835 King Arthur Way
Fairbanks, Alaska 99709
Telephone: (907) 479-1537
POSITION STATEMENT: Opposed CSHB 68.
DAN SIMIEN
307 Wedgewood Drive
Fairbanks, Alaska 99708
Telephone: (907) 456-4929
POSITION STATEMENT: Opposed CSHB 68.
ALLEN SMITH, Mine Shift Supervisor
Fairbanks Gold
2136 Alston Road
Fairbanks, Alaska 99709
Telephone: (907) 451-0064
POSITION STATEMENT: Supported CSHB 68.
RANDY WETSON, Grader Operator
Fairbanks Gold
P.O. Box 84656
Fairbanks, Alaska 99708
Telephone: (907) 456-6166
POSITION STATEMENT: Supported CSHB 68.
DAVID GUTTENBERG
P.O. Box 80731
Fairbanks, Alaska 99708
Telephone: (907) 455-6394
POSITION STATEMENT: Opposed CSHB 68.
JERRY MARSHALL, Senior Mill Operator
Fort Knox Mine
Telephone: (907) 488-8756
POSITION STATEMENT: Supported CSHB 68.
KEITH UPTON, Construction Worker
International Brotherhood of Electrical Workers
P.O. Box 71961
Fairbanks, Alaska 99707
Telephone: (907) 479-6802
POSITION STATEMENT: Opposed CSHB 68.
KEVIN BROWN, Chief Mine Engineer
Fairbanks Gold
440 Shannon Drive
Fairbanks, Alaska 99701
Telephone: (907) 488-4653
POSITION STATEMENT: Supported CSHB 68.
ACTION NARRATIVE
TAPE 97-3, SIDE A
Number 001
CHAIRMAN NORMAN ROKEBERG called the House Labor and Commerce
Standing Committee to order at 3:10 p.m. Members present at the
call to order were Representatives Rokeberg, Cowdery, Hudson, Ryan,
Brice and Kubina.
HB 68 - VOLUNTARY FLEXIBLE WORK PLAN: OVERTIME
Number 023
CHAIRMAN ROKEBERG announced there would be a public hearing on HB
68, "An Act relating to the exemption from the requirement for
payment for overtime under a voluntary work hour plan; and
providing for an effective date." He asked Representative
Therriault to present his sponsor statement. He also indicated
there were witnesses to testify via teleconference from Fairbanks,
Anchorage, Valdez and Bethel.
Number 058
REPRESENTATIVE GENE THERRIAULT stated the Fort Knox mine began
operating, after many years of construction, this past fall. He
said the mine and most of the mine employees are located in his
district. The mine employees have expressed desire for a flexible
work schedule because they want to spend less time commuting to and
from work and more time with their families. The current statute
precludes the employees from this because it states anything over
8 hours per day or 40 hours per week have to be paid at time and a
half. He said for the Fort Knox project, that is not economically
feasible. Representative Therriault said shortly after he
introduced HB 68, he realized it affected other industries that he
had no intention of impacting. He said he has prepared a draft
committee substitute for HB 68 that would only apply to surface
mining operations. In the current statute, he believes there is an
exemption for small mining operations of 12 employees or less.
Representative Therriault said a number of people have contacted
him who work at the Mapco Refinery. They currently work 12-hour
shifts and were afraid the legislation would impact the overtime
that they're currently being paid. He said he tried to assure them
that isn't his intent and he would be taking steps to make sure
that was written into the law. The current committee substitute
does narrow that. He said there has been a lot of discussion as to
how the affects of the bill could be realized through some other
means. One of his staff members spoke to a person in Fairbanks and
the gist of the argument boiled down to if the employees want some
flexibility, they should unionize. Current statutes allow any
group of employees represented by a collective bargaining agreement
to voluntarily exercise the type of flexibility the proposed CSHB
68 is offering. The Fort Knox employees have chosen not to
unionize and passage of the legislation would not preclude
employees from unionizing in the future. Representative Therriault
said he didn't think that employees who would like a flexible work
schedule should have to unionize. If employees and employers are
agreeable they should be permitted to work out a flexible work
plan. The work plan would have to be voluntary, written between
employee and employer and submitted to the commissioner of the
Department of Labor for approval. Representative Therriault agreed
to introduce the legislation after reviewing the petition signed by
almost all the employees at Fort Knox. He stated that he
anonymously contacted employees to make sure there was no coercion
involved by management to evoke employee support of the flexible
work plan.
Number 597
REPRESENTATIVE JOHN COWDERY made a motion to adopt CSHB 68(L&C).
CHAIRMAN ROKEBERG asked if there was an objection. Hearing none,
CSHB 68 (L&C), LSO329\E, Cramer, 1/27/97, was adopted.
Number 610
REPRESENTATIVE COWDERY asked how many employees are involved and
the average distance employees have to drive to Fort Knox.
REPRESENTATIVE THERRIAULT replied approximately 250 employees and
from 25 to 40 miles one way to Fort Knox.
Number 660
REPRESENTATIVE COWDERY questioned if most of the Fort Knox
employees agree that they want the flexible work plan.
REPRESENTATIVE THERRIAULT replied that to be correct.
REPRESENTATIVE COWDERY noted there were public opinion messages
from union workers in opposition to CSHB 68 as well as letters of
support from Fort Knox employees.
Number 697
REPRESENTATIVE BILL HUDSON asked if the flexible work plan reduces
the pay of the employees or if it is an overall increase.
REPRESENTATIVE THERRIAULT stated under the current schedule,
employees work 160 hours at straight time pay and 8 hours at
overtime pay, totaling 168 hours in a four week period. Under the
proposed schedule, employees would work 152 hours at straight time
and 16 hours at overtime, therefore, there would be a slight pay
increase for that same four week period of time.
Number 800
STEVE LANG, General Manager, Fort Knox Mine, said he has held this
position since November 1, 1996. He said he sent petitions to all
243 Fort Knox employees, resulting in 241 employee signatures. He
said he thought it was his responsibility, as General Manager, to
bring the request to the committee. He explained he believes he
has a responsibility to ensure the long-term viability of the
operation in order to protect the shareholder's investments as well
as the employees jobs. Mr. Lang indicated the overruns in
construction and development costs have pushed the investment to
over $400 million. In addition, Amax Gold needs to recover the
$180 million spent in acquiring the property. An excess of $30
million is needed to sustain the capital and to keep the operation
moving. Mr. Lang remarked "Given the current gold prices, it is a
very a difficult situation."
Number 929
MR. LANG stated in order to run the 12-hour shifts without the
passage of CSHB 68, employees would have to be paid one hour of
overtime for every two hours of straight time pay, adding $1.5
million to the operating cost and $18 million to the life of the
project. The mine cannot afford to pay the additional $18 million.
Mr. Lang believes the economic interests of the mine would be
protected under CSHB 68. The benefits to the employees would be
additional time off from work. Mr. Lang stated that currently on
an 8-hour schedule, regardless of schedule rotation, to get 24-hour
coverage, employees have to work 21 out of every 28 days. On a 12-
hour schedule, the 21 days on the job is reduced to 14 days
doubling the number of days off totaling 91 additional days off a
year. This also results in a 2.3 percent increase in salary. Mr.
Lang indicated this is not a substitution for an employee pay
increase as the last pay increase was given on January 1, 1997.
The cost of the 2.3 percent increase is about one quarter of a
million dollars a year to the mine, but with increased productivity
the mine will be able to recover. Mr. Lang believes 12-hour shift
schedule benefits the employees with a 2.3 percent pay increase and
double the number of days off work.
Number 1053
MR. LANG stated there is nothing illegal about 12-hour shifts and
indicated that several mines run safe 12-hour shifts and do so
safely. He said all of the available data indicates that has been
no correlation between safety and the length of the shift. He
referred to the publication the "24-Hour Business," by Dr. Richard
Coleman, which summarizes the economic health and safety issues
relating to shift work in union and nonunion operations. Accident
analysis studies indicate there are no conclusive impacts inherent
on the length of the shift. Mr. Lang referred to his own
experience as general manager at the Twin Creeks Mine, that changed
from 10-hour shifts to 12-hour shifts. Under the 10-hour shift,
the loss time frequency was at 1.6, one loss time accident for
200,000 man hours. The U.S. national average of loss time is at
3.2. Under the 12-hour shift the loss time dropped to 0.18, less
than six percent of the U.S. average. In August of 1996, Twin
Creeks achieved working one billion consecutive man hours without
a loss time accident. Mr. Lang stated he was general manager at
the Lone Tree Mine, prior to working at the Twin Creeks Mine, at
which he experienced a .38 percent loss time under the 12-hour
shift schedule resulting in a million consecutive man hours without
a loss time accident. He also mentioned that Dupont has more than
20 years of experience with the 12-hour shifts and has an excellent
safety record. Amax Coal Mines, after switching to the 12-hour
shift, won the Sentinel of Safety Award as one of the safest
surface mines in the U.S. Mr. Lang does not believe that the
safety of mine operations depends on the length of the shift,
rather it is a result of a schedule that meets the needs and the
desires of the employees. He stated well rested employees are in
a better state of mind to work more productively and safely.
Number 1243
MR. LANG stated that the flexible work plan would not effect the
employment level at Fort Knox. The only change would be in the
number of days employees have to come to work. CSHB 68 does not
affect the local hire issue. "This is not an exemption that would
by any means not allow people to fly in fly out." He indicated
that out of the 243 Fort Knox employees 220 employees were hired
from within Alaska, 17 were transfers from Cypress-Amax and 6
employees were hired outside Alaska.
MR. LANG stated the amendment on the restriction to surface mining
was a result of the Commissioner of Labor's concern that HB 68 was
too broad. Committee Substitute HB 68 addresses the commissioner's
concerns and still accomplishes what the Fort Knox employees want.
He further stated, "This is identical in many formats to the
current 10-hour exemption. We at Fort Knox do have one portion of
the operation where people do work under the flex-time with the 10-
hour -- Fort Knox working flex-time on the 10-hour has presented no
problem that we are aware of to those operations."
MR. LANG addressed the issue of coercion and stated that the
Commissioner of Labor was invited to Fort Knox to talk with
employees to see if that has occurred. The commissioner would have
the oversight of approving any flexible work schedule.
MR. LANG said, "As I see it in summary, first off this legislation
would be a significant personal benefit to the employees at the
Fort Knox mine and their families, be a boost to preserving the
economic viability of the mine, be a neutral to positive impact on
the safety, in no way affect the employment level of the mine, have
no adverse impact on what I believe is an excellent local hire
record, allow a 24-hour operation the same flexibility and work
hours currently available on 10-hour schedules, only be applied at
operation with the consent of the employees, and maintain the
commissioner of Labor's oversight on it. Therefore, I would ask
that you support the committee substitute that has been introduced
before you."
Number 1446
CHAIRMAN ROKEBERG asked if the flexible work plan would cost the
mine money or would result in a three-quarter of a million dollar
savings to the mine.
MR. LANG replied by going to the 12-hour schedule and by paying the
extra overtime, it would cost the mine additional money.
Number 1471
CHAIRMAN ROKEBERG questioned that if CSHB 68 were to pass, it would
save the mine money.
MR. LANG replied the payroll would increase on the 12-hour
schedule.
Number 1485
REPRESENTATIVE THERRIAULT indicated that under the proposed flex-
time schedules, 160 hours of straight time will drop to 152 hours,
8 hours of overtime will increase to 16. This will cause a slight
increase in cost to the mine, but they hope to make the cost up
because instead of having three shift changes where the amount
going through the mill might slow down while employees are shifting
from one shift to another, there would only be two. So they hope
to make up the difference.
REPRESENTATIVE HUDSON asked what would happen to the employees who
do not want to sign the flex-time petition and if they would be
required to have the 12-hour shift.
MR. LANG said he would propose to not put them on the 12-hour shift
as there are areas of the operation that would not go to 12-hour
shifts.
REPRESENTATIVE HUDSON stated that nobody would be fired or forced
to work the if they don't agree to sign off on the 12-hour shift.
MR. LANG replied, "That is correct."
Number 1575
REPRESENTATIVE BRICE indicated confusion. He questioned what the
impact would be if they were to work the proposed schedule, under
the current statute, with 10 hours a day possible.
MR. LANG said they looked at the cost of going to a 12-hour shift,
based on the current statute of paying overtime above eight hours
a day, the flexible work plan specifies a 10-hour shift and they
would be running a 12-hour shift. He said if they are paying
overtime after eight hours they would be paying an hour of overtime
for every two hours worked straight time. That cost to the company
would be about a $1.5 million a year.
REPRESENTATIVE BRICE replied, currently statute allows 10 hours
under flex-time with the application to the commissioner, with the
two hours paid overtime on the 12-hour shift. He said that is what
he was talking about under Section 14 of the statute. He asked
what kind of savings would they realize then. He also asked Mr.
Lang if they have thought about applying the current statute at 10
hours.
Number 1708
MR. LANG responded it would be more costly to go to the 12-hour
shift and try to apply the 10-hour exemption.
Number 1729
REPRESENTATIVE GENE KUBINA asked if the 12-hour shifts were to take
effect, could any employee wanting to stay on the 8-hour shift do
so for as long as they wanted to.
MR. LANG answered that to be correct.
Number 1755
CHAIRMAN ROKEBERG asked if Mr. Lang had received an approved
flexible schedule from the commissioner for the 10-hour plan.
MR. LANG answered that he would have to defer the question to the
superintendent of Human Resources at the mine.
ChAIRMAN ROKEBERG asked if the mine was paying overtime to the
employees on the 10-hour shifts.
MR. LANG replied he did not know, but noted they are working the
10-hours and are being paid for over 40 hours a week.
Number 1791
REPRESENTATIVE COWDERY asked if the two employees who did not sign
the petition were not in agreement with the 12-hour shift.
MR. LANG replied that all employees might be in agreement but they
just have not gotten to sign the petition.
REPRESENTATIVE COWDERY indicated he had received several letters
regarding the flexible work hours from employees, including some
letters from the children of employees, stating that they do not
see their mothers/fathers enough. He asked if the employees would
have the option to organize.
MR. LANG responded that the decision to organize is strictly a
decision the employees make.
REPRESENTATIVE COWDERY further asked if Mr. Lang anticipated an
increased number of employees and if Mr. Lang could explain the
difference between Fort Knox Mine and the Usibelli Mine.
MR. LANG responded he expected the number of employees employed to
stay about the same. The Usibelli Mine is organized and runs some
12-hour shifts as well as some shorter shifts.
REPRESENTATIVE COWDERY noted that it is not Fort Knox's intent to
impact any other operation.
MR. LANG replied, "That is correct."
Number 1977
REPRESENTATIVE JOE RYAN asked Mr. Lang if anyone has spoken to him
about making CSHB 68 more site specific to not impact the laws for
the entire state of Alaska.
MR. LANG stated he met with Commissioner Cashen and other labor
leaders and would be open to other options that would be more
acceptable to the labor leaders and still meet the employee needs.
Number 2012
TOM CASHEN, Commissioner, Department of Labor (DOL), stated he is
a mining supporter and helped form the Alliance for Juneau's
Future, a pro-mining group. He read a memorandum he wrote to
Governor Tony Knowles urging the Governor to sign HB 197, which was
introduced in the Nineteenth Alaska Legislature:
"I've been a wholehearted supporter of your position of HB 207
which has put the oil industry in the world on notice that we are
indeed open for business and are willing to do everything possible
to encourage exploration and development of our oil and gas
resources in Alaska. For the same reason I urge you to sign into
law HB 197, we need also to send the same message on behalf of the
mining industry. Mining does not produce the same revenue to the
state as oil, but is much more labor intensive and creates jobs
that are among the highest paying in the nation, see attached
Department of Labor wage information. Please let me know if the
Department of Labor can be of any assistance in providing you with
any information that would useful in helping you reach a decision
on HB 197."
Number 2116
COMMISSIONER CASHEN indicated that the Governor did sign HB 197,
Mineral Exploration Incentive Tax Credits. He stated he is a
mining supporter because it is the top paid industry in the state,
in 1994 the average weekly earnings were $1,205, average hourly
earnings were $24.30.
Number 2139
COMMISSIONER CASHEN stated he is here to testify against CSHB 68 as
he believes CSHB 68 does not comply with AS 23.05.10. He said,
"The mission of the DOL is to foster and promote the welfare of the
wage earners of the state, improve their working conditions and
advance their opportunities for profit of employment." He said he
feels Fort Knox is proposing special interest legislation, as they
are not willing to pay overtime paid by the rest of the industry.
He felt that it was unfortunate that the price of gold was not
higher, and that Fort Knox had a cost overrun on the project, but
it was not the fault of Alaskan Labor. Commissioner Cashen stated,
"In my opinion CSHB 68 is not good public policy and a bad
precedent to set." He said every time a company had financial
problems, it would go to the legislature to request a change in the
state's labor laws. He referred to the oil industry in the 1980s
when the price of oil was low and indicated the industry had never
tried to dismantle the state's labor laws. When the oil industry
worked their employees on 12-hour shifts, they paid four hours in
overtime.
COMMISSIONER CASHEN felt that the employee choice of flexible hours
was a result of their "killer schedule." He indicated he had
received the sincere letters of support from the Fort Knox
employees and he feels the company has convinced the employees that
it is the DOL's or the legislature's fault that they are working
this horrible work schedule. Commissioner Cashen indicated that a
company can assign any work schedule they want to and asked the
committee to keep this in mind upon hearing the testimony from the
Fort Knox employees. He also stated another reason he is not in
favor of extending the 10-hour exemption to 12 hours is because of
abuse to the exemptions as voluntary plan can become a condition of
employment with some employers. He felt that although Fort Knox
would not fire any existing employees that do not support the 12-
hour shift schedule, they will not hire people who are not willing
to submit to the 12-hour shift. He stated that Alaska is pro-
industry and would like industry to come to Alaska but not at any
cost. For instance the state of South Carolina would do anything
to lure an industry from another state.
Number 2476
COMMISSIONER CASHEN stated he would like to see CSHB 68 die in
committee, keeping the state of Alaska's labor laws intact for
future generations.
TAPE 97-3, SIDE B
Number 015
CHAIRMAN ROKEBERG indicated there are over 60 people who would like
to testify via teleconference on CSHB 68. He referred to a flex-
plan contract the DOL would have to approve between an employee and
an employer and asked of there would be a prohibition of any
outside employment by that employee.
COMMISSIONER CASHEN responded that he didn't know, but would look
into it.
CHAIRMAN ROKEBERG asked Commissioner Cashen to look at the proposed
work schedule plans and run some numbers to see what the various
differentials are and perhaps see if we could coordinate that to
verify with Mr. Lang in making sure they are appropriate numbers.
He said he'd like to see the different scenarios. He thought that
the DOL would be able to give the committee some suggestions on
shift organizations.
Number 076
REPRESENTATIVE KUBINA stated the House Labor and Commerce Committee
was the only committee of referral for CSHB 68. He said he wanted
to make sure the committee was not being rushed on legislation.
CHAIRMAN ROKEBERG agreed and stated "We want to do a thorough job
of examining this bill."
REPRESENTATIVE KUBINA asked Commissioner Cashen to provide the
committee with information on other mine's work schedules in the
state of Alaska. He stated he would be frustrated if he had to
participate in the current Fort Knox work schedule, and could see
why employees would want a schedule change. He inquired that if
the goal is to change to labor laws why is it only for one mine and
not good for everybody.
Number 150
REPRESENTATIVE HUDSON asked Commissioner Cashen if he supported
last year's legislation relating to going from eight hours to ten
hours.
COMMISSIONER CASHEN stated he supported a version of the
legislation. Organized labor opposed it entirely and Commissioner
Cashen supported the 10-hour concept but wanted the DOL to have an
oversight on it. The reason for his support was because he hoped
Greens Creek would hire Southeast Alaska residents as they
proposed. He stated that this has not occurred, there are 14
residents from Southeast Alaska, other than Juneau, currently
working at Greens Creek.
Number 197
REPRESENTATIVE HUDSON asked if Commissioners Cashen's opposition to
CSHB 68 is because of Fort Knox's failure to pay overtime or
because of the added hours.
COMMISSIONER CASHEN replied that overtime is to discourage working
more than eight hours. In some industries there is no way around
working extended hours and Congress wanted to make sure working
overtime was imperative by providing a penalty of overtime pay for
employers.
REPRESENTATIVE COWDERY asked Commissioner Cashen if the employers
that abuse the exemption were in the mining industry.
COMMISSIONER CASHEN replied the abuse was in the construction
industry.
REPRESENTATIVE COWDERY asked, "What has the state done,
particularly in the DOL, to attract the $580 million investment on
this project?"
COMMISSIONER CASHEN replied the state has provided the backing of
the Alaska Industrial Development Authority to provide financing
which would save them several millions of dollars.
Number 299
REPRESENTATIVE COWDERY asked if CSHB 68 would cost the state of
Alaska anything.
COMMISSIONER CASHEN replied, "No, it isn't going to cost the state
of Alaska anything. We are just fearful that it will spill over
into other industries and become a statewide problem."
Number 365
REPRESENTATIVE BRICE asked Commissioner Cashen to let him know, at
the next committee meeting on the measure, the number of other
surface mines CSHB 68 would be applicable to.
Number 398
CHAIRMAN ROKEBERG noted that Representative John Davies had been in
the room for the past 45 minutes.
Number 408
REPRESENTATIVE THERRIAULT asked if similar language was proposed in
the hours at the face of the mine bill last year as a possible
compromise from the administration.
COMMISSIONER CASHEN replied no, the overtime was never an issue at
Greens Creek, there was a previous law that prohibited employees
from working more than eight hours at the face of the mine. The
employees wanted to be able to work ten hours at the face and
overtime was never an issue because Greens Creek Mine was willing
to pay the overtime.
Number 468
REPRESENTATIVE THERRIAULT stated that Alaska is different from
Commissioner Cashen's South Carolina reference in that CSHB 68 is
site specific, for example, if another gold mine wanted the
overtime exemption and the DOL looked at the economics of the
operation, and the price of gold was up to $600 an ounce, the DOL
would be able to make the decision that economics did not warrant
the exemption and the application could be turned down. Similarly,
if the price of gold were to go up, and the employees of Fort Knox
did not feel they were getting their fair share they would have the
power to collectively bargain and to unionize. Representative
Therriault stated that CSHB 68 is not wide open as it does not
extend outside the surface mining industry and the DOL is there as
a safeguard.
COMMISSIONER CASHEN replied that the state of Alaska is not down on
the state of South Carolina. He further stated that because of the
voluntary nature of the plan, the DOL really would not have much
latitude regarding approval and disapproval.
Number 575
REPRESENTATIVE HUDSON stated that he had been told CSHB 68 would
cover surface coal mining, surface gold mining and surface gravel
exploration. He said he would like to know exactly what the
implications are under CSHB 68.
CHAIRMAN ROKEBERG stated for the record, "Our staff has been
researching it and there is no real differential in the Alaska
statute." He stated that staff would be looking into this issue
further.
Number 616
REPRESENTATIVE RYAN said, "Section 6(i) of the statehood compact
reserves the subsurface of mineral state to the state of Alaska.
So there is an argument that the whole subsurface of Alaska is a
mineral state which would be subject to mining."
Number 670
DON ETHERIDGE, Representative, Alaska District Council of Laborers,
came before the committee to give his testimony. He stated "We are
coming out opposing this bill also. We do support the mining
industry. We love to see it growing. Our concerns are, as stated
earlier, the gravel pits. Right now, the way everything stands
we're told it'll affect our construction right now as the fact that
all construction on roads and so forth have a lot of pits, gravel
pits, rock pits, whatever they need and we can already see that
starting to affect them." He further stated he felt that the Fort
Knox employees are being coerced by their current work schedule.
MR. ETHERIDGE felt that there are a lot of employers who would
abuse this system in the construction industry. He stated that the
fishing, logging and construction industries depend on overtime to
get them through the winter. He felt this would result in more
people on welfare. He stated the Usibelli Mine would renegotiate
its contract upon the passage of CSHB 68 to not have to pay
overtime. He said he does not think Alaska should change a statute
that would affect 241 people. He said, "We made some suggestions
earlier to Mr. Lang about cutting their wages. Well, they've got
a lot of reason why they don't want to do that. I think that could
be a very distinct possibility to where they can work them the 12
hours, pay them the overtime."
Number 828
CHAIRMAN ROKEBERG asked Mr. Etheridge who represents the Usibelli
Mine.
MR. ETHERIDGE indicated it is the Teamsters.
Number 842
MANO FREY, Member, Alaska AFL-CIO, testified via teleconference
from Anchorage. He said he wanted to make it clear that CSHB 68
was not a union issue versus a nonunion issue. The AFL-CIO has an
interest in every worker in this state whether they are a union
worker or a nonunion worker. He stated that the issue is, "Is it
right to change the law to affect 243 people?" He proposed the
solution to lower the employees wages by 80 cents an hour, making
it revenue neutral, this way the law would not have to be changed
and overtime would be earned.
REPRESENTATIVE KUBINA indicated he would do the math on Mr. Frey's
wage cut proposal.
Number 1119
RAYMOND SMITH, President, Western Alaska Building Construction
Trades Council, testified via teleconference from Anchorage,
against CSHB 68. He felt the law should not be changed for one
group of people.
Number 1247
TIM SHARP, Laborers Union Local 942, testified via teleconference
from Fairbanks, against CSHB 68. He noted he does support
employees being able to chose a work shift that suits them. He
stated it is not the employees' fault the mine went into overruns
and was concerned with what would happen if the Fort Knox employees
did not like the 12-hour work shift.
RICK BOYLES, Teamster Union Local 959, testified via teleconference
from Fairbanks, to waive his time to Mr. Mike Desnoyers of Usibelli
Coal Mines, who is making twice the wage rate of Fort Knox for
similar hours worked.
CHAIRMAN ROKEBERG stated that next the committee would hear
testimony via teleconference from Anchorage.
Number 1509
ED KAREEN, Representative, International Union of Operating
Engineers Local 302, testified via teleconference from Anchorage,
against CSHB 68. He stated CSHB 68 exploits workers, is unsafe and
will affect all labor industries.
Number 1611
TOM ARMSTRONG, Construction Worker, International Union of
Operating Engineers Local 302, testified via teleconference from
Anchorage, against CSHB 68. He indicated it would affect his
overtime.
Number 1694
MIKE DESNOYERS, Electrician, Usibelli Coal Mine, testified via
teleconference from Fairbanks. He said he is against the passage
of CSHB 68 and he agrees with Commissioner Cashen.
Number 1703
TOM EVANS, Teamsters Union Local 959; and President Central Labor
Council of Anchorage, testified via teleconference from Fairbanks.
He stated he is representing 30 members who "adamantly oppose CSHB
68." He stated it is an anti-Alaska work bill and it will
facilitate out-of-state workers to obtain labor jobs.
Number 1855
LARRY GALLAGHER, Business Manager, Plumbers and Steamfitters Union
Local 367, testified via teleconference from Anchorage, said they
are in strong opposition to CSHB 68. He said believed CSHB 68
would result in less family time with the 12-hour shifts.
Number 1950
LOREN CHASE, Shovel Operator, Fort Knox Mine, came before the
committee to address the legislation. He stated that the employees
presented the 12-hour work schedule to Mr. Lang. He also noted he
would also like to spend time with his family.
CHAIRMAN ROKEBERG asked what Mr. Chase's salary is and how long he
has been working at the mine.
LOREN CHASE responded he makes $21.50 an hour and has been working
at Fort Knox for over a year.
Number 2090
REPRESENTATIVE THERRIAULT asked that Mr. Loren talk about how the
employees were presented with the petition and what the response
was from his work shift.
MR. LOREN stated that the shifts are absolutely horrible and all
employees want a change from this shift. He again stated the
employees went to Mr. Lang to push the change in shift schedules.
Number 2179
REPRESENTATIVE KUBINA felt he did not know how the Fort Knox
employees were able to cope with only two days off between the
change from night to day shifts. He suggested that it was very
unhealthy. He asked if the employees had looked at other options
other than changing the law. He felt the Fort Knox employees goal
was to earn the same salary but with a shift schedule that is "much
more user-friendly." He asked if the Fort Knox employees thought
about the suggestion of an 80 cent wage cut with overtime.
MR. LOREN responded that an 80 cent wage decrease would cut into
his benefits and would be a loss to the employees when overtime was
not being worked.
REPRESENTATIVE KUBINA responded maybe there were ways to address
the schedule change without changing the law.
MR. LOREN responded that employer cannot push CSHB 68 on the
employees, since it has to be obtained only through petition.
REPRESENTATIVE KUBINA suggested that an unfair work schedule was
pushed on the Fort Knox employees by the employer.
MR. LOREN replied that employees applied for the job knowing what
the schedule was.
REPRESENTATIVE KUBINA indicated that he would like to talk to the
Fort Knox employees some more to find a solution for them.
TAPE 97-4, SIDE A
Number 052
GENE ANDERSON, Maintenance Mechanic, Fort Knox Mine, stated he
currently works the day shift but started out on the rotating
schedule. He sees every operator at Fort Knox and stated the
petition is coming from every employee at Fort Knox. He stated
CSHB 68 is in the best interest of the employees because the 12-
hour shifts would give employees an extra 90 days off.
Number 200
CHAIRMAN ROKEBERG asked Mr. Anderson how much he earns. He asked
if the committee did not adopt CSHB 68, would he quit.
Representative Rokeberg also asked if he had good employers.
MR. ANDERSON replied that he makes $19.55 an hour and that he would
not quit. He stated that it was the best job he has ever had and
that Fort Knox is an excellent employer.
Number 248
REPRESENTATIVE THERRIAULT asked Mr. Anderson to talk about the
commute.
MR. ANDERSON explained that it is about 25 miles or longer, and
employees are commuting four to seven days a week. He stated that
not only does the commute add time, but costs money in fuel and car
maintenance.
Number 409
REPRESENTATIVE KUBINA stated that he would take some time to find
other options, and he asked if he had thought about a revenue
neutral salary.
MR. ANDERSON believed that CSHB 68 was the best option. He stated
he worked a lot of overtime and would not want a drop in salary.
Number 534
WES GRAF, Construction Worker 942, testified via teleconference
from Fairbanks, stated that he worked on construction of the Fort
Knox Mine and he supports the mining industry. He thinks the
company initiated the present work schedule as leverage for not
paying overtime therefore he opposes CSHB 68.
Number 590
BILL WILLIAMS, Construction Worker, testified via teleconference
from Fairbanks, against CSHB 68. He noted he has been an Alaskan
resident for 30 years. He said he believes that changing the law
to benefit 240 people and hurt 60,000 to 80,000 people was not
right nor good for the state of Alaska. He felt this would take
work out of Alaska.
SYLVIA SULLIVAN, President, Alaskans for a Just Society, testified
via teleconference from Valdez, against CSHB 68. She said she
works in the tourist industry and stated the industry needs the
protection of the labor laws.
Number 749
LARRY SPORTSMAN, testified via teleconference from Valdez, stating
he would not be affected by CSHB 68 but he is opposed to it.
Number 800
DAN CLASPILL, Electrician and Chief Steward, Usibelli Coal Mine,
testified via teleconference from Fairbanks. He stated that all
surface mines would be effected and all employees at Usibelli would
be against giving up any overtime. He stated that he had worked
the same rotating shift in Wyoming and had to leave his job because
of it.
Number 957
REPRESENTATIVE THERRIAULT asked Mr. Claspill if the employees at
Usibelli Coal Mine have looked at the wording of CSHB 68 where it
states that the shift change has to be voluntary. He stated he
understands the concerns the employees at Usibelli Coal Mine have,
but he did not feel the unionized work force would voluntarily
sign a change to be imposed against the employees will.
MR. CLASPILL replied that there are ways that employers have means
to intimidate and encourage employees to do what they want. He
felt that the Fort Knox employees should calculate the amount of
money they would be losing without the overtime.
Number 1033
REPRESENTATIVE THERRIAULT stated that the current law already has
an exemption for those employees that are unionized. Unionized
employees are under their collective bargaining agreement. He also
indicated that CSHB 68 exempts any mining operation that employs
fewer than 12 people. He further stated that Usibelli Coal Mine is
currently exempt from the statutory protection.
MR. CLASPILL responded that it might not always remain that way
because there are forces that work to get the union out. He felt
CSHB 68 is seeking greater profit for the employers at the
employees expense.
Number 1113
CHAIRMAN ROKEBERG asked what Mr. Claspill salary is.
MR. CLASPILL replied he makes $30 an hour.
Number 1156
MIKE FAIR, testified via teleconference from Fairbanks. He said he
feels CSHB 68 is an anti-family bill. He had a similar 12-hour
shift at Greens Creek Mine and the time of adjustment between
shifts took up most of the time off. He stated that CSHB 68 will
result in coercion of employees, reduce real wages, increase safety
hazards, (indisc.) family and social destructions, in addition to
the continuing decline of the American standard of living.
Number 1339
JAY QUAKENBUSH, testified via teleconference from Fairbanks, on the
behalf of 5,000 Alaskan workers. He stated their emphatic
opposition to CSHB 68. He agreed that there is a problem with the
Fort Knox's current work schedule but they should accommodate a
shift change within the confines of current Alaskan Law. He
believes nothing would stop Fort Knox from adopting the 12-hour
schedule, including paying overtime. He felt CSHB 68 would erode
the labor protections that have been built into law.
Number 1433
MARK ROSSAR, testified via teleconference from Fairbanks. He
stated he was against the passage of CSHB 68.
Number 1463
MILT BEHR, District Representative, International Union of
Operating Engineers Local 302, testified via teleconference from
Fairbanks, against CSHB 68. He felt that the 12-hour day needs to
be tried to see if it works, and inquired what would happen if the
employees wanted to go back to the 8-hour shift. He stated that
there were other solutions. Mr. Behr was concerned with why Fort
Knox could not afford overtime and thought their figures needed to
be checked.
Number 1630
CHRIS MORLEY, testified via teleconference from Fairbanks, against
CSHB 68. He felt that overtime pay is a penalty that employers
paid because of keeping their employees away from their families.
Number 1679
MARTIN CARVOLO, testified via teleconference from Fairbanks,
against CSHB 68. He stated that the impact of CSHB 68 across the
state of Alaska needs to be examined. He said that other
industries will want to get into this "good deal" of an overtime
exemption.
Number 1753
CLYDE LORENZ, Construction Worker, Laborers Union Local 942,
testified via teleconference from Fairbanks, adamantly opposing
CSHB 68. He said he feels CSHB 68 would eliminate safety in the
workplace and he did not feel the employees of Fort Knox realized
the object of the employer.
Number 1820
DEAN NEUMEYER, Maintenance, Fairbanks Gold Mining Incorporated,
came before the committee to testify. He said he is in favor of
CSHB 68. He stated, "When we came down here today we didn't know
all there is to know, we are beginning to find out that there are
some other avenues and I am sure that we are going to pursue them."
He felt that Mr. Lang would work with the mine employees.
Number 1868
CHAIRMAN ROKEBERG stated that he wanted Mr. Neumeyer to tell all
the Fort Knox employees the petition is going to be looked at by
the members of the Labor and Commerce Committee and that it will
become an official part of the record of CSHB 68.
Number 1890
REPRESENTATIVE COWDERY stated he wanted to clarify that management
was the one responsible for coming forward with the idea for CSHB
68.
MR. NEUMEYER answered that it was not management and that everyone
in the mill came forward with the idea and that all Mr. Lang is
doing is supporting CSHB 68.
CHAIRMAN ROKEBERG asked if Mr. Neumeyer would accept a rollback in
wages.
MR. NEUMEYER responded yes, for himself, if the rollback could be
shown on a neutral, no loss basis.
Number 1970
CHRYSTAL KOSIDOWSKI, Teamster, testified via teleconference from
Fairbanks, against CSHB 68. She stated that the Fort Knox Mine
wants to take money away from employees to give it to a non-Alaskan
company.
Number 2003
ROBERT MCGILL, testified via teleconference from Fairbanks, against
CSHB 68. He stated a non-Alaskan company should be not given more
money at the employees expense.
Number 2025
DON SWARNER, Carpenters' Business Representative, testified via
teleconference from Fairbanks, against CSHB 68. He stated that
CSHB 68 is bad public policy and felt CSHB 68 should just refer to
a single mine site rather than the entire state of Alaska.
Number 2082
CHAIRMAN ROKEBERG stated that the Constitution of the State of
Alaska, Article 2, Section 19, "prohibits local or special acts,"
therefore, the legislation could not be specialized just to the
Fort Knox Mine.
Number 2103
ZINN DECKER, Electrician, testified via teleconference from
Fairbanks. He ask Mr. Neumeyer if the Fort Knox employees signed
the petition before their raise in January.
Number 2140
MR. NEUMEYER replied that it had been signed way before the raise.
MR. DECKER stated that he had spoken to an employee who had signed
the petition, about the negative aspects of CSHB 68, who as a
result would not sign the petition now. He further stated that
$1.5 million is a small price to pay for a company that expects to
make millions off of gold mining.
Number 2192
RICHARD GAUL, Construction Worker, Laborers Union Local 942,
testified via teleconference from Fairbanks, opposing CSHB 68. He
stated that he did not feel the legislation should be dealing with
this issue it is a Fort Knox Mine management issue.
Number 2256
CHARLES DERRICK, Construction Worker, Laborers Union Local 942, via
teleconference from Fairbanks, against CSHB 68. He commented that
the Fort Knox employers set a difficult work schedule to coerce
employees into accepting CSHB 68. He further stated that although
the Fort Knox employees are not willing to take a wage cut, they
are willing to enforce one for the rest of the labor workers in
Alaska.
Number 2303
JOSH MOORE, Senior Mill Operator, Fort Knox Mine, testified via
teleconference from Fairbanks, in support of CSHB 68. He stated
that the mine is not going to make any money and that management is
participating in CSHB 68 to make the employees happy. He stated
that working the existing schedule is comparable to having jet lag
all the time. He is making $18.25 per hour. Previously, while
working at the Nevada goal field, he worked 12-hour shifts at
$15.50 an hour.
Number 2370
CHAIRMAN ROKEBERG asked Mr. Moore if he was paid overtime at his
previous jobs while working 12-hour shifts.
MR. MOORE replied that he was after 8-hour days and over 40 hour
weeks.
Number 2396
REPRESENTATIVE RYAN asked if he knew of a way a compromise could be
made without making changes in the state's labor law.
Number 2412
MR. MOORE replied that he would be interested in seeing the numbers
from the wage standards receiving overtime without a net change in
the annual salary.
Number 2431
KARL HANNEMAN, Statewide President, Alaska Miners' Association
(AMA), testified via teleconference from Fairbanks, against CSHB
68. He added that AMA does want a solution for the Fort Knox
workers.
TAPE 97-4, SIDE B
Number 005
SHAWN LOWERY, Shovel Operator, Fort Knox Mine, testified via
teleconference from Fairbanks, in support of CSHB 68. He stated he
has been involved with the mine since September, 1995. He had
worked during the construction phase of Fort Knox Mine on 12-hour
shifts earning overtime and felt his physical well being and peace
of mind was much better than it is now under the current shift
schedule. A two-shift rotation would eliminate a third person on
the equipment. He stated that he would be happy with the wage he
would be making on the 12-hour shift without overtime. He
indicated he wanted his letter to be read by the committee.
Number 123
KERMITT MELVIN, Surveyor, Fort Knox Mine, testified via
teleconference in Fairbanks, in support CSHB 68. He feels this has
become an union versus nonunion issue and stated that union workers
would be exempt from CSHB 68. He felt that he is making good money
and that is not the issue, the issue is a different schedule with
more time off. He agreed that seasonal workers would need the
overtime but Fort Knox is a year round mine. He stated that
without CSHB 68 passing the employees would not quit working at the
mine. Mr. Melvin stated that the employees did not want to
unionize and that the 12-hour shift was the employees idea.
Number 227
HARRY MCNEAL, Teamsters Local 939, testified via teleconference
from Fairbanks. He said he is against CSHB 68 primarily due to the
effect it will have on other industries and on new hires. He felt
there are other rotating shift schedules that could be implemented.
Number 318
ROGER LUCAS, Safety Supervisor, Fort Knox Mine, testified via
teleconference from Fairbanks, in support of CSHB 68. He stated
that moral is very important in regards to safety and 12-hour
shifts would increase employee moral. He stated working three to
four 12-hour shifts are less tiring then working seven days on an
8-hour shift. He stated that the mine is currently working 400,000
hours without a loss time accident.
Number 478
TOMMY GARNER, testified via teleconference from Fairbanks, opposing
CSHB 68. He stated that he has worked 12-hour shifts in an
assemble line and felt that it jeopardizes safety.
Number 538
DAN SIMIEN, testified via teleconference from Fairbanks, opposing
CSHB 68. He sympathizes with the Fort Knox employees. He stated
the employees and the employers need to come together to work out
a different solution that would not affect other industries and
change the current work schedule.
Number 660
ALLEN SMITH, Mine Shift Supervisor, Fairbanks Gold, testified via
teleconference from Fairbanks, in support of CSHB 68. He stated he
has been mining for ten years, and has worked all shifts and the
12-hour rotating schedule that gives employees 14 days off every 28
days is the best schedule to work.
Number 710
CHAIRMAN ROKEBERG asked if Mr. Smith received overtime on the 12-
hour shift.
Number 721
MR. SMITH responded that he did not. He worked the same schedule
in Colorado that Amax would like to implement.
Number 730
RANDY WETSON, Grader Operator, Fairbanks Gold, testified via
teleconference from Fairbanks, in support of CSHB 68. He stated
employees were not forced to sign CSHB 68.
Number 748
DAVID GUTTENBERG, testified via teleconference from Fairbanks, in
opposition to CSHB 68. He stated it was not a union/nonunion issue
and felt there could be other options, such as a revenue neutral
wage cut, unionizing or to pay employees overtime.
Number 806
JERRY MARSHALL, Senior Mill Operator, Fort Knox Mine, testified via
teleconference from Fairbanks, in support of CSHB 68. He stated he
has worked all different shifts and the 12-hour shift is the one
that worked best for him. He stated the first time the 12-hour
shift change was brought up was at a meeting with Mr. Lang. Mr.
Lang asked if the employees had something that they wanted to
discuss. A employee asked when they could begin to work 12-hour
shifts. Mr. Marshall added that he felt he missed out on his kid's
life because of ten years working 8-hour shifts. He stated that no
one at Fort Knox ever approached any of the employees to rally in
favor of CSHB 68.
Number 958
CHAIRMAN ROKEBERG asked if he received overtime while working the
12-hour shifts.
Number 967
MR. MARSHALL indicated he doesn't always receive overtime.
Number 1003
KEITH UPTON, Construction Worker; and Member, International
Brotherhood of Electrical Workers, testified via teleconference
from Fairbanks. He stated he lived in Alaska since 1958, and that
most people in Fairbanks are against this bill. He felt that the
legislature is not a bargaining agent for special interest groups.
This law will affect thousands of people not just the 241 employees
of the Fort Knox Mine. "The laws are made for the majority of
Alaskan residents to better their standard of living." He further
stated Fort Knox is in need of a bargaining agent to solve some of
their problems, but the Alaskan legislature is not that bargaining
agent.
Number 1138
KEVIN BROWN, Chief Mine Engineer, Fairbanks Gold, testified via
teleconference from Fairbanks, in support of CSHB 68. He stated
that the Fort Knox employees understand what they are accepting
with the 12-hour work schedule.
Number 1233
CHAIRMAN ROKEBERG stated that he will hold further open public
testimony on CSHB 68 during the next meeting, or to hear any
progress on further solutions. He wants to make sure the committee
has full public input.
ADJOURNMENT
Number 1311
CHAIRMAN ROKEBERG adjourned the House Labor and Commerce Committee
at 6:02 p.m.
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