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The Spokesman-Review Newspaper
Spokane, Washington  Est. May 19, 1883

Teamsters Turn Up Heat In Attempt To Resolve Dairy Strike Union Asks Pension Funds That Finance G&B; Projects To Press Company To Settle

Grayden Jones Staff writer

As a strike against Broadview Dairy enters its 52nd day, Teamsters Local 582 is applying pressure where it believes owners of the milk bottling plant could be hurt the most - the bank account.

The Teamsters have asked union pension funds that finance Goodale & Barbieri Cos. projects to press the hotel, real estate and dairy company to settle the strike or find another lender.

Dick Solberg, secretary-treasurer of Local 582, said the Teamsters have contacted several union pension funds that have financed such G&B projects in Spokane as the Crescent Court Annex and Cavanaugh’s Inn at the Park tower, and in Seattle, Cavanaugh’s Inn on Fifth Avenue.

The pension funds use Spokane-based Compass Group to locate developments to finance in exchange for building with union labor. G&B has been one of the best customers of Compass, which in recent years reported more than $140 million invested for the pension funds.

“I’m extremely upset with the way that things (the strike) are being handled,” said Jim Hawkins, chairman of the Washington-Northern Idaho Laborers Pension Fund. “I’ve asked Compass to pass that on to (G&B president) Don Barbieri.”

Compass President Rich Hardan, though, said none of the pension funds had expressed concerns to him about G&B’s dispute with Local 582. Teamsters do not use Compass, a subsidiary of U.S. Bancorp.

Tom Flynn, executive secretary of the Spokane District Council of Carpenters, said he doubts any new G&B projects would be considered by the pension funds during the strike.

“Financially, G&B projects are good for us,” he said, adding that financing for G&B projects already in the works will continue without disruption. “But because of the circumstances, I wouldn’t do it right now.”

G&B officials said they were concerned that the Teamsters might taint a long-term relationship that has provided jobs for several unions. G&B bought the bankrupt dairy four years ago, pouring millions into an historic renovation and saving 80 jobs.

“I’d be disappointed if anybody thinks poorly about our company for trying to preserve jobs,” said Art Coffey, chief operating officer at G&B. “It’d be a shame for someone to penalize us for that.”

Coffey said G&B has offered the 47 Teamsters workers a total employee benefits package of $19.60 per hour, with a profit-sharing bonus. The package includes an option for company contributions to employees’ 401(k) plan or the Teamsters’ pension fund.

About 20 Teamsters have accepted the deal and are back to work, Coffey said. But others continue to walk the picket line at Washington Street and Cataldo Avenue.

Coffey said the offer cuts employee benefits to the point that G&B believes it can operate Broadview profitably. Since acquiring the company in 1991, he said, Broadview on average has lost $100,000 a year.

, DataTimes