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WEDNESDAY, AUGUST 14, 2013 • OREGON STATE UNIVERSITY CORVALLIS, OREGON 97331
DAILYBAROMETER.COM
VOLUME CXVII, NUMBER 1
Contract negotiations enter mediation n
Classified staff are considering a strike after negotiating with Oregon University System By Megan Campbell The SUMMER Barometer
In a little-noticed move earlier this month, unionized employees at Oregon State University wrote a chalk message in front of the Memorial Union main entrance. “Sorry Students, Fall Term Might Be Delayed,” the message read. “The University May Force Staff To Walk Out On Strike To Get A Fair Contract.” The seven public state universities, represented under the Oregon University System (OUS), and university staff, represented through Service Employees International Union (SEIU), have been in contract negotiations since Feb. 1. The parties have not reached an agreement and have entered mediation. Staff are starting to consider a strike. If OSU staff walk out on strike, so do University of Oregon staff, Portland State University staff, Western Oregon University staff, Eastern Oregon University staff, Southern Oregon University staff and Oregon Institute of Technology staff. This is because all seven universities are under the OUS umbrella and all classified staff are represented through SEIU. According to the Public Employee Collective Bargaining Act, the State Conciliation Service is responsible for providing an official mediator to help both sides come to an agreement. “With the negotiations they have on the table and the way they’ve drawn it out, I don’t feel like we have any choice but to strike,” said Gloria O’Brien, OSU union president and OSU alumna who majored in horticulture. O’Brien said she and others felt
like OUS was not respecting their employees during the six months of negotiations. “For the workers, it’s very, very serious,” she said. But the university has a different opinion on what would happen if staff voted to strike. “The university will, without a doubt, hold classes on schedule, as planned,” said David Blake, system vice president for human resources. Negotiations are currently stuck on the pay. “It’s a contentious argument,” he said. Another issue with bargaining on the universities’ side is that one contract between OUS represents all seven universities, while each have diverse financial situations. “The problem is each of our schools are not necessarily on the same equal footing,” said Blake. “It does make it difficult.” If staff do go on strike, the university has a contingency plan, which primarily consists of management stepping in and doing the work some 1,300 classified employees perform on a day-to-day basis. After 150 days of bargaining, the parties can request to enter mediation if an agreement has not been reached. The PECBA requires both parties remain in mediation for a minimum of 15 days. If neither side can come to an agreement, they can declare an impasse. Within a week of declaring an impasse, each party is to submit final offers to the mediator. Employees must give a 10-day notice before striking. There are three categories of employees at Oregon State University: tenure-track faculty, professional faculty, who are not on a tenure track but are under 12-month contracts, and classified employees, who are represented by the union.
Courtesy of Kurt Wilcox
| contributed photo
Oregon State University classified staff gathered outside the Memorial Union on Aug. 1. To promote awareness to students, staff wrote a chalk message in the quad in front of the MU steps. The boundaries defining classified staff are blurred. They are non-instructional staff who keep the campus clean, prepare meals, register students for classes, help students find what they need, navigate new technologies and student loans. The aspects of the contract which are the most quarrelsome include step freezes, furloughs, healthcare benefits, contracting outside to private businesses and cost of living adjustments. Step freezes would eliminate step pay increases, which might be awarded to an employee after he or she has worked for a certain period of time. These would be replaced with a “bonus.” O’Brien said the step freezes and cost of living proposals from OUS are “the most cynical proposals” they have offered.
“It’s just kind of insulting,” she said. Furloughs, forced days off without pay, were introduced into the contracts as a response to the national recession. Only classified staff were forced to take furloughs. The health insurance benefits being offered by OUS would increase what classified staff pay by 5 percent per year, while also adding a premium increase cap for the employer. The employee would pay anything above this cap. That 5 percent increase per year would ultimately come from staff paychecks. Contracting out to private businesses is another concern of SEIU. OUS counters that outside companies “can sometimes provide a university with significant cost-saving, primarily because they are experts
in a certain area and can provide the service more efficiently than the university,” according to OUS reports. “I’m just upset they want to try to balance their budget on our shoulders,” said Jim Dollar, MU custodial staff. The current contract that expired in June has been extended on a monthby-month basis as negotiations progress. It requires the university to provide a study to document how contracting out university work saves money. There are about 4,000 represented workers in OUS. U of O and OSU make up 60 to 65 percent of those workers, according to Blake. OSU’s classified staff represent 12 percent of the university’s total headcount, according See SEIU | page 2
Beaver store opens in new home Current status of student loans, debt n
Beaver Store opens at new location at 663 SW 26th Street across from Reser Stadium By Emily Mowry
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The SUMMER Barometer
Shiny floors, shopping baskets and 22 checkout stands await customers of the new OSU Beaver Store, which opened its doors Aug. 13. The OSU Beaver Store offers fans a much larger selection of products than did the previous location. Laura Gordon is a junior studying human development and family sciences at Oregon State. Gordon loves the new brands and variety available at the store. “I love the new selection,” said Gordon. “I love that they carry Under Armour — it’s my favorite brand.” The new store also offers products from Russel, Nike, Columbia, Adidas and even Marvel. The OSU Beaver Store first opened its doors in 1914 in what was then called the Oregon Agricultural College co-op. It was located in what is now the location of the Women’s Center, according to an article written in 2012 by the Corvallis Gazette-Times. In 1960 it relocated to the Memorial Union, where it remained until Aug. 8 of this year. Robyn Jones is the assistant director for the MU retail food services. She See BEAVER STORE | page 8
Increasing student loan debt generates discussions at national, state levels By Kaitlyn Kohlenberg The Summer Barometer
Jackie Seus
| THE SUMMER BAROMETER
Customers from all over town came to experience the OSU Beaver Store.
It’s official. Student loan debt topped the $1 trillion mark earlier this summer, just in time for Congress’s deadline for determining the fate of the interest rates of federally-funded student loans. When Congress failed to come to an agreement on how interest rates should be managed, rates for the subsidized Stafford student loans were automatically doubled, reaching 6.8 percent interest. The one thing Congress did agree on was the fact that sticking with the 6.8 percent interest rate would be detrimental for the millions of higher education students nationwide, already struggling with the $1 trillion debt. It took an entire month for Congress to come to a decision, finally deciding to tie the interest rates of student loans to those of national market rates. This means that the interest rates set in stone for each school year will be based upon America’s economic state. For students taking out federally
funded loans in the 2013-2014 school year, the subsidized Stafford loan interest rates will sit at 3.9 percent for undergraduate students, 5.4 percent for graduate students and 6.4 percent for parent loans. The decision to tie student loan rates to market rates has been praised by many as a way to remove politics from the topic of student financing. Brett Deedon, ASOSU president, feels otherwise, citing the move as “lazy politics.” “Short term, cool, it keeps us at the same rate,” Deedon explained. “Long term, though, it can get up to eight percent ... and the ironic thing is, is all that interest money — it’s just going back to the government.” Deedon’s sentiments bring to light a potential pitfall of the plan laid out by Congress. With student rates tied to market rates, as the economy grows, so does the cost of borrowing money. Even with caps on how high student interest rates can go, undergraduate students could see rates of up to 8.25 percent if the economy improves as anticipated. Under these conditions, graduate student rates could reach 9.5 percent and parent See loans | page 2