Dues Increase

May 12, 2006

Brothers and Sisters,

Today, at our Executive Board meeting, a motion (in accordance with section 6(a) of the TCRC MWED By-Laws), was brought forth and carried to increase the monthly dues by $3.50 to a maximum of $62.00 per month.

This is the first dues increase that we have had in well over two years and we held it off as long as we felt was prudent. Though we are not in any financial touble, we have always been working 'close to the bone' insuring that the representation that you deserve was available. However, we do not want to ever wind up with an over extended line of credit or to be consistently operating in the "red", as has happened in the past. And we will never allow the service and representation to slide back to the old levels.

We feel that it is best to be proactive instead of reactive and to stay safely ahead of any problems which could arise, especially with this round of bargaining coming up and the fact that comments made by some company officers are indicating that it may very well be a hard round.

I've listed a few of the immediate concerns below that are above and beyond the everyday rise in costs and the expenditures necessary for day-to-day operations.

As of January 1st, 2006, our Division's per capita was increased to 16.5% of dues recieved, on top of the $1.50 per month that we pay to Teamsters Canada.

As of January 1st, 2006, the Division increased the remittance to the local lodges to $5.00 per member per month.

As of January 1st, 2006, the Division is also paying a monthly per capita as members of the Joint Councils, which varies from council to council but averages out at approx. $1.50 per member per month.

We have also disbanded the 'System Lodge' (where hundreds of members were placed rather than assigned to local lodges). And we are placing all those members into local lodges, which will now recieve the remittance that formerly stayed in the general fund.

It is also a bargaining year, which we will face with rank and file members on the negotiating team whose wages and expenses must be paid by the Division, on top of the costs of actuaries, lawyers and/or other professional services we may require.

After a lot serious thought and discussion, we have decided that this is the best course of action at the present time to insure that we can maintain operations and still have a "comfort zone" established to deal with unforeseen circumstances.

I've always disliked dues increases and that is one of the reasons that we did not consider an automatically 'triggered' increase within the By-laws (ie. a dues increase occuring with every wage increase). We felt, as did the By-laws committee, that a dues increase should only be considered when needed, and that a lot of thought had to go into making the decison of when that was. And so, we honestly did keep from implementing an increase for as long as we could.

But I have also always accepted that eventually an increase may be necessary. You have my word that I, and the Executive Board, truly believe this one is necessary for the proper and continued operation of the Division.

Fraternally yours,

Bill Brehl
President
TCRC MWED