Renewed negotiations have produced a new deal with the Boston Globe’s largest union, whose members had rejected a previous package of cuts. This time the union leadership is urging a “yes” vote, although not with great enthusiasm.
The total value of the new package is the same as the one previously rejected by members of the Boston Newspaper Guild, $10 million per year, but the mix is different. Instead of a pay cut of more than 10%, members of the Guild will agree to have their pay reduced by 5.9%. But they will give up more in benefits.
After the previous pact was rejected, the New York Times Company, which owns the Globe, unilaterally instituted a 23% pay cut to achieve the necessary savings to keep the newspaper operating. That pay cut will remain in effect until the new agreement is ratified. A vote by union members is set for July 20.
Meanwhile, the Times Co. is believed to be talking to potential buyers for the Globe, which it bought for $1.1 billion in 1993. The agreement reached with the newspaper’s largest union is seen as making the Globe more attractive to potential buyers.