One year and still awaiting an answer from Gary Allen re: "a handshake" with Dennis

From: John Curry

To: Gary Allen

Sent: Friday, January 14, 2005

Subject: Re: OEA Retiree Health Care - The Columbus Dispatch Letter-to-the-Editor

Gary, once again I thank you for response (timely) in regards to the OEA pension issue. You have clarified your (and the OEA's) position on this issue. I, like many others, will be watching this situation.

I do thank you for being prompt with your communication with your local presidents and other OEA members to inform them as to your views on this situation which won't go away soon.

You have assisted in "clarifying" this matter. Now I ask you why you and the OEA didn't do the some "clarifying" of the OEA's stance against Dennis Leone when Dennis brought to light the injustices imposed on Ohio's teacher retirees by the OEA dominated (at that time) STRS board. This lack of clarification has caused division between actives and retirees throughout the state. Some newspapers even suggested that you and the OEA were "out-of-step with STRS pension woes."

Gary, you can still make things right with Dennis and over 100,000 suffering STRS retirees by walking up (without prodding) to Dennis, shaking his hand, and admitting to him that his motives were sincere and his efforts were beneficial to the uncovering of the STRS mess. Gary, you can still make things right. Why haven't you? John

From: Gary Allen

To: John Curry

Sent: Thursday, January 13, 2005

Subject: FW: OEA Retiree Health Care - The Columbus Dispatch Letter-to-the-Editor

John, good morning. Below is a memorandum we sent out yesterday to our leaders explaining our course of action. This has nothing to do with eliminating health care, but rather a fairness issue to all of our retirees as well as to our current employees and members. I hope this helps you to understand what we did and why we did it.

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From: O'Donnell, Tina [OH]
Sent: Wednesday, January 12, 2005
To: Exec Committee; All Local Presidents; District Leaders
Subject: OEA Retiree Health Care – The Columbus Dispatch Letter-to-the-Editor

MEMORANDUM

January 12, 2005

To: OEA Executive Committee; Local Association Presidents; Local District Leaders

From: Gary L. Allen, President; Dennis M. Reardon, Executive Director

Subject: OEA Retiree Health Care – The Columbus Dispatch Letter-to-the-Editor

In November 2004, a group of retired OEA employees filed a lawsuit in federal court, challenging the OEA’s decision to terminate the additional health care coverage that some of them had been receiving. Certainly, federal court is the correct venue for challenging that action. That retiree group also initiated a public relations campaign in an effort to apply pressure on the OEA in the hope that we would retract that termination decision. Today, The Columbus Dispatch printed a letter-to-the-editor from a retired OEA employee, stating that the OEA “took its place among the thugs of corporate America by illegally terminating health and prescription-drug benefits after age 65 for its retired employees.”

We can assure you that, in spite of such claims, we believe the termination of that additional coverage did not eliminate, reduce or change any negotiated benefit for any OEA retiree or eligible dependent.

Approximately 18 months ago, the OEA conducted an audit of the OEA’s health care plans that covered its active and retired employees. We determined that, for some years, the OEA had been providing to some of its retired employees additional health care coverage above and beyond that level required by the contracts the OEA had negotiated with its staff unions.

As a result of that finding, and after consulting the appropriate legal counsel, the OEA sent letters to the affected OEA retired employees and dependents, informing them that the OEA intended to terminate the additional health care coverage on August 31, 2004. Concurrently, we put in place a hardship support system for those retirees and dependents whose annual income fell below a federally established income floor.

Certainly, we would have preferred not to deal with this matter. However, we also understand that as OEA leaders, we must operate as responsible stewards of our members’ dues; that we cannot place the interests of a select group ahead of future retirees; and that as the OEA’s fiduciary agents, we do not have the authority to selectively apply, interpret or ignore certain provisions of the Association’s benefit plans, labor contracts or budget. We must comply with all provisions, uniformly, and believe we have done so.

The OEA will continue to provide health care coverage to retirees as required by its contracts with its two staff unions. Our Association is committed to its core values that recognize our most valuable resources are the people who make it strong: its members, its leaders and its employees.