Contract negotiations between Hawaii Gas and unionized employees on strike have resumed, but the two sides don’t appear any closer to reaching an agreement.
The utility said it met with Hawaii Teamsters and Allied Workers, Local 996, “all day” Friday and through early Saturday and that another meeting is in the works.
“Unfortunately, no agreement was reached. We continue to make ourselves available to meet with the Teamsters, and the earliest they can meet is June 19th,” Hawaii Gas said in a statement. “We have contacted the Teamsters to meet earlier than June 19th, as any unreasonable delay in reaching an agreement can only result in the continued inconvenience to and disruption of the ability of our customers to operate their businesses and their households, not to mention the impact on our employees.”
About 200 union employees for Hawaii Gas went on strike June 1 after about five weeks of unsuccessful contract negotiations that included disputes over increases in wages and medical premiums.
The union said there were few actual meetings during that time, and members voted to strike after Hawaii Gas offered a “last, best and final offer.”
Since the beginning of the strike both sides have met at least twice. On Saturday, after the most recent meeting, Hawaii Teamsters in a statement said, “It comes with a heavy heart to inform you that the current negotiations have resulted in the employer wanting to continue the current strike.”
The union said it had initially requested a 30% increase in wages and a marginal increase in medical premiums at the start of contract negotiations. Now it’s proposing a 22% increase to wages.
Hawaii Gas initially offered wage increases of 10%, Hawaii Teamsters said, and its current offer is actually lower, at 8.6%. Additionally, the union said that Hawaii Gas’ proposed medical cost increases are still too high.
Hawaii Teamsters said that its members have had virtually no pay increases over the past six years, which spans two contracts, in order to maintain its medical premiums.
In its statement the union said it “made significant moves to bring the strike to an end” through lower wage increases and higher medical premiums, but said that Hawaii Gas has “failed to bargain in good faith to help put an end to the strike.”
Since the beginning of the strike, Hawaii Gas has turned to about 140 nonunion employees, most of whom are managers, to maintain the utility’s operations. The state’s only utility gas provider, Hawaii Gas produces synthetic natural gas and purchases propane for some 70,000 customers. It delivers gas directly via underground pipes, but also uses trucks to deliver gas.
Unionized members include drivers, maintenance workers and clerical employees.
Despite Hawaii Gas deploying nonunion members and “temporary outside staffing” to ensure that gas service isn’t interrupted, the strike already has led to the temporary closure of several businesses after the utility failed to make regularly scheduled gas deliveries to fill up propane tanks.
On Maui and Hawaii island, some restaurants, which use the utility’s propane to cook food, had to close in the middle of the day Thursday after their on-site tanks became empty.
KaiLoki’s Restaurant and Bar in Ocean View became one of the latest victims of the strike. In a Saturday post on its Facebook page it said, “We have no stoves, no ovens, no hot water. We regret having to close for today.”
The gas shortage is also reportedly affecting residents, and stores are running out of propane to sell to customers. As of Saturday the Kaimuki City Mill had a sign on its door saying, “Due to circumstances out of our control, we do not have propane refills at this time.”
At the beginning of the strike, Hawaii Gas said that basic gas service would not be disrupted and that only ancillary services, like equipment repairs and installations, would possibly be affected.
It’s now asking for the public’s patience while its operations are compromised.
“We have made the necessary arrangements to continue operating and servicing our customers albeit at a reduced capacity. Be assured that the company is executing on its contingency plans to ensure that our customers are taken care of as soon as we are able to,” Hawaii Gas said. “We know how much our customers rely on us to be there for them, and it disheartens us all to be in this position.”
The utility has suggested that at least some of its delays were caused by striking members posted at Hawaii Gas locations across the state.
The company, in a statement, said Thursday’s “delay of gas deliveries to Big Island businesses were due to the Teamsters blocking Hawaii Gas trucks from leaving the Hilo base yard. Our trucks were forced to wait for over an hour to exit the facility due to the blockades, and it continues (Friday) … We respect the union’s right to picket, but we implore the union to STOP this tactic of blocking the trucks and allow our customers to receive their gas deliveries.”
Ed Akau, one of Hawaii Teamsters’ negotiators, said that the Hilo base yard has another exit where trucks can leave and that the incident was a photo opportunity for the utility.
“They have two gates, but the manager there has been wanting to make it hard … so she chooses to use that gate just to cause trouble,” Akau said.
Addressing the public, the union statement said the utility’s moves were an attempt to “use the public to turn on our striking members by allowing your tanks to go empty and frustrate you all.”
Hawaii Teamsters described the move as one in a list of moves that illustrate the ongoing bad blood between both sides.
In its statement it also suggested that Hawaii Gas staff have taunted striking members by bragging to them about the increased pay of temporary employees and the hiring of catering trucks to provide free food for nonunion staff.
