The half-dozen unions that represent The Honolulu Advertiser and The Honolulu Star-Bulletin employees have filed a grievance in response to the possibility of having to wait months to receive severance pay after almost 400 lose their jobs as a result of the dailies' upcoming merger.
In the event of layoffs, the contracts provide for a week's pay for each year employed, with no less than five and no more than 40 weeks' pay. About half the Advertiser's 580 employees and a third of the Star-Bulletin's 300 employees are expected to lose their jobs.
Former Advertiser owner Gannett and new owner Oahu Publications "refused to even comment about severance pay, wouldn't answer anybody's questions, wouldn't answer any inquiries about when it was going to be paid, how much was going to be paid or anything," Hawaii Newspaper Guild Administrative Officer Wayne Cahill told Hearst Honolulu television station, KITV4, which reported the situation Friday morning.
The Guild estimates severance payments will range from $12 million to $14 million, while Oahu Publications puts the figure between $5 million and $8 million for union and non-union employees, according to the station.
Said Cahill: "We're left with the idea that maybe they don't plan to pay it at all, and that's why we've taken the legal route."
Star-Bulletin Publisher Dennis Francis told KITV4 that "until there's a resolution to this grievance, the severance won't be paid."
Francis, who becomes publisher of the merged Star-Advertiser next month, said negotiations with the union are to begin in June.
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