* Globe union files govt complaint to block pay cut
* Times says 23 pct pay cut will keep Globe from closing
(Adds union filing government complaint, Globe comments)
By Robert MacMillan
NEW YORK, June 9 The New York Times Co (NYT.N)
said on Tuesday that it does not plan to close The Boston
Globe, a day after its largest union rejected a $10 million
package of concessions aimed at cutting costs at the
But tensions are only deepening between the Globe and the
Boston Newspaper Guild. The Times has said it will cut more
than a fifth of union members' pay to get the savings that it
needs. The union on Tuesday responded by petitioning the U.S.
government to block that move.
The Times said it will cut the pay of members of the Boston
Newspaper Guild by 23 percent after they narrowly rejected the
concessions. The concessions that they rejected included an 8.4
percent pay cut, elimination of some benefits, and furloughs.
The union responded by filing a complaint about the pay cut
with the National Labor Relations Board (NLRB) on Tuesday.
"The Boston Newspaper Guild will take all necessary steps
to pursue and reach a fair and livable agreement," Guild
President Dan Totten said in a statement released on Tuesday
evening. "We will also oppose the company's drastic and extreme
move ... through any legal means necessary."
The NLRB is an independent U.S. federal government agency
in charge of investigating unfair labor practices. A hearing
will take place on June 16, the union said.
The Times Co has said that it could impose its pay cuts if
it had reached an impasse with the guild.
The $10 million that the Globe sought from the union is
part of a $20 million package of cost cuts that the Times
wrested from several unions at the paper.
The Times said the 23 percent pay cut would account for the
newspaper guild's cuts after the union rejected the package.
"Because we have achieved the $20 million in savings we
needed, we do not foresee closure at this time and are focused
on executing the Globe's turnaround plan."
The Times's statement removes fears among media experts and
Globe employees that the company could shut down the paper, but
does not resolve lingering resentment among the union members.
The union said on Monday evening that it still wants to sit
down with the Globe's management to hammer out a new deal.
In its statement on Tuesday, the union said it scheduled a
meeting with Times officials next Monday to begin work toward a
new agreement that its members could support.
The Globe offered a different interpretation of the
"The meeting scheduled for Monday is to discuss the
implementation of the 23 percent wage cut," said Globe
spokesman Robert Powers.
The Globe said it still considers talks at an impasse.
The Times has said that the Globe is on track to record an
$85 million operating loss this year and that it has to save
money to keep the paper viable.
(Reporting by Robert MacMillan; Editing Bernard Orr)