Hopefully this one will not be strike three!

[Guest ooota]

Union A merges with Union B. Union A ceases to exist and all Union A members are now Union B members. Union A has a pension fund. Union B has an annuity fund. Under the existing reciprocal agreements, if a former Union A member is working in Union B territory, Union B reciprocates to the former Union A member's pension fund and vice versa. In that the union employees are all members of the same union (i.e., Union B), the question has arisen as to whether or not the reciprocal agreements should be honored? It has been suggested that if the Union B members are working in the collectively bargained geographic location of former Union A's pension fund, then the Union A employers should contribute to pension fund instead of reciprocating to the annuity fund. And if former Union A members are working in the collectively bargained geographic location of Union B, then the Union B employers should contribute to the annuity fund on behalf of the former Union A members instead of reciprocating to the Union A members' pension fund.

Any thoughts?

[GBurns]

My first thought is that 2 Plans should remain in force for the 2 separate groups.

The members of Union A are not participants in the Union B annuity fund and therefore have no other vehicle to which contributions can be made on their behalf except the old Union A pension plan.

There is also the fact of the CBAs which would have to be rebargained in order to make the change. Unless the CBAs are no longer valid because of no sucessor clause etc.

To me it seems simplest to have Union B adopt the old Union A plan and continue the existing arrangement assuming that the CBAs and reciprocal ageements have survived the closing of Union A.