1. Four Year Contract 2007-2010 Tentative Agreement Subject to Ratification Members have a right to approve or reject a Contract by vote. Ask yourself: Is this contract in the best economic interest of you & your family? Ask yourself : Did the CWA National act in your best interest or for other motivation?

2. 1.5% base salary pay toward Health Benefits.5 % of base salary into pension system. Ask yourself: Is this turning back the economic clock?

3. Across the Board Increases 07/01/07 Year 1 : Increase on $ alary 07/01/08 Year 2 : Increase on $ alary 07/01/09 Year 3 : Increase on $ alary 07/01/10 Year 4: Increase on $ alary 3 % 3.5 %

4. Administrative/Clerical Equalization The salary tables of the A Bargaining Unit will be adjusted to reflect the P,R, & S Units. The equalization provision adds $50 to $125 to the annual salary to workers in the A bargaining unit.

5. Employees making less than $37K receive their % raise plus a cash bonus. The bonus is calculated per the following formula:

6. Base$ minus $37K x.03% = Bonus $25,000 minus $37,000 = ($12,000 x.03 %) = $360 Example 1. Jane makes $25,000 and will get a 3% raise:.03 x $25,000 = $750 plus $25,000 = new salary of $25,750. Now calculate the bonus…..

7. Base$ minus ($37K x.03%) = Bonus $30,000 minus $37,000 = ($7,000 x.03 %) = $210 Example 2. Joe makes $30,000 and will get a 3% raise:.03 x $30,000 = $900 plus $30,000 = new salary of $30,900. Now calculate the bonus…..

8. July 1, 2007 Clothing Allowance = $650 July 1, 2008 Clothing Allowance = $650 July 1, 2009 Clothing Allowance = $675 July 1, 2010 Clothing Allowance = $700

9. Health Benefit Concession Effective July 1, 2007 1.5% of your salary will be deducted for the cost of health care. Base $alary X.015 = Health Care Cost $25,750 X.015= $ 386.25 More than half of the increase eaten away by the health care give-back! Scenario #1 Jane makes $25,000 and receives her July 07 raise. Her new base salary is now $25,750. The cost of her health share cost is calculated by the following formula : Recall that Jane also received a $360 bonus but that was eaten away by the increase in gasoline and heating oil

10. Health Benefit Concession Scenario #2 Joe makes $30,000 and receives his July 07 raise. His new base salary is now $30,900. The cost of the health share cost is calculated by the following formula: Base $alary X.015 = Health Care Cost $30,900 X.015= $ 463.50 More than 1/2 of the increase eaten away by the health care give-back ! Recall thatJoe also received a $210 bonus but that was eaten away by the increase in prescription drugs & co- pays.

11. Health Benefit Concession Example #3 Jill makes $50,000 and receives her July 07 raise. Her new base salary is now $51,500. The cost of the health share cost is calculated by the following formula: Base $alary X.015 = Health Care Cost $51,500 X.015 = $ 772.50 More than 1/2 of the increase eaten away by the health care give-back ! Jill received no bonus but faced the same increases in gasoline, heating oil and prescription drugs & co-pays as Jane and Joe.

12. Increased Medical Co-pays Effective 07/01/07: Doctor visit co-pays increase from $10 to $15 or 50%. Effective 07/01/07: Emergency room visit co-pays increase from $25 to $50 or 100%. Remember Jane making $25,750 now with her new base salary. She is a single Mom with a two-year old and a seven year-old. Last year the family had six visits to the doctor and two emergency room visits (Don’t ask). Last year that amounted to $115. Next year it will cost $190 or 60 % more. Maybe the kids won’t get sick. Maybe they won’t get hurt. Good Luck Jane.

13. Prescription Drug Co-Pays Effective 07/01/07 30- Day Non- Mail Order: $3 Generic Drugs $10 Brand Names (where there is no generic equivalent or the patient is unable to use the generic.) $25 Brand Names (where there is a generic & patient does not have doctor certification for exclusion.)

14. Prescription Drug Co-Pays Effective 07/01/07 90-Day Mail Order: $5 Generic Drugs $15 Brand Names (where there is no generic equivalent or the patient is unable to use the generic.) $40 Brand Names (where there is a generic & patient does not have doctor certification for exclusion.)

15. Pension Deduction Increase All Bargaining Unit Employees shall increase their Pension contribution from 5.0 % to 5.5% Jane makes $25,000 07/01/07 her salary increases to $25,750 and will contribute $1287.50 per year (5.5% x 25750) – (5.0% x 25750) = Differential $1416.25 -1287.50 =$128.75 more

16. New Preferred Provider Organization (PPO) Health Plan Effective January 1, 2008 Features no gate-keeper to approve referral to a specialist. Features a broad national network, Traditional Plan and NJPlus no longer available for active employees. Will Retirees retain Traditional Plan and NJPLus? or Enroll in New PPO

17. An employee hired after 07/01/07 making more than the S.S. Max ($97,200) will participate in the D.B. Plan for salary up to that amount. The salary in excess of SS Max will be subject to a D.C. Plan with the employer contributing 3% and the employee contributing 5.5%.

18. All B.U. Employees shall increase their Pension contribution from 5.0 % to 5.5% Take Jane the single mom making $25,000: 07/01/07 her salary increases to $25,750 and will contribute $1416.25 to her pension. That amounts to $128.75 more at the 5.5% rate.

19. Take Joe who is making $30,900 30,900 x 5.5% = $1699.50 - $1545 @5% = $154.50 More Take Jill who is now making $51,500 51,500 x 5.5% = $2832.50 - $2575 @5% = $257.50 More

20. Two-Tier Provisions Employees hired after 07/01/07 must reach sixty (60) for full retirement without penalty. Early retirees between 55 and 60 will incur a 1% per year penalty.

21. JANEJOEJill ‘06 Salary = $25,000‘06 Salary = $30,000‘06 Salary = $50,000 ‘07 Salary = $25,750‘07 Salary = $30,900‘07 Salary = $51,500 $750 Increase$900 Increase$1500 increase Health -$376Health - $463Health - $772 Before taxes : $374 Before taxes : $437 Before taxes : $728 Pension - $129Pension -$154Pension -$257 Before taxes $245 Before taxes $283 Before taxes $471 $9.42 / pay before tax$10.88 / pay before tax $18.11 / pay before tax Bonus = $360Bonus = $210Bonus = Zero $ Total $605Total $493Total $471 No Clothing Allowance Clothing = $650 No Clothing Allowance A Unit EQ = $33

22. The Worm in the Apple There never was a juicy Red Apple to be negotiated because that apple was eaten away before it was placed on the table by:

23. 1.Turns Back the Economic Clock 2.Provisions are Inequitable to Jill, Joe & Jane. 3.The Health & Pensions Concessions are contrary to motions made by the members. 4.Other Unions were given better benefits. 5.Ideologically it sets the labor movement back 50 years. 6.The increases do not keep up with the rate of inflation. 7.The National played political football at our expense.