A union for gas and electrical workers agreed to provide Northern Indiana Public Service Co. a mandatory amount of manpower to respond to major storms affecting the utility's electrical systems.
Starting next month, United Steelworkers Local 12775 will make about 200 employees available to the utility to help restore power in times of major storms or mass electrical outages. Despite the issue creating contention in years past, the union and the company reached an agreement April 6, and union members ratified the pact May 6.
The local represents 1,525 members working in gas and electric operations and at NIPSCO's four power plants. The current agreement, set to expire at the end of the month, will be replaced with a five-year contract from June 1 to May 31, 2014.
NIPSCO spokesman Nick Meyer said the provision isn't new, but this version recasts language that appeared in the current contract.
"The intent of this change is to make sure we're maximizing the productivity of our workforce during the daylight hours as opposed to night (hours) when conditions are less optimal," Meyer said. Meyer said another reason the provision was modified was to reduce the company's reliance on hiring contractors during storms. Meyer said there isn't an exact definition of what a major storm is, but said it's determined by the storm's severity and the number of outages and repairs to be made.
Local 12775 President Jim Blythe said previously both sides could have challenged whether employees should be made available. Blythe said in the provision was balanced and provides overtime pay, even though employees may work 16 hours a day during a storm. He said there's also hardship considerations for employees.
"When it comes down to it, our linemen and field employees love what they do for a living," Meyer said. "They love the challenge that a storm brings. There's a real sense of teamwork."
USW Local 13796, which represents about 450 office and technical workers, also ratified a five-year pact with NIPSCO.
"We are very pleased with the outcome of the new contract, and we are confident that it represents a fair and competitive solution for the company and its union employees," said Eileen O'Neill Odum, CEO of NISource, in a statement. "Our employees are the company's most important asset, and the outcome was a direct result of the open and collaborative nature of our relationship with one another."
On a J.D. Power and Associates customer satisfaction survey of electric utility businesses released earlier this year, NIPSCO received a score of 587 out of a possible 1,000 points. The rank was below 17 other companies in the Midwest and the average score was a 610. The highest scorer -- the Omaha (Neb.) Public Power District -- received a score of 701.
Blythe said the measure could help the company on the electrical portion of the business, but there are other reasons why it didn't score well.
Meyer said the company's goal is to continue improving customer satisfaction, and the new provision is a way to use the best practices available.
