This week, two of our chapter leaders rendered versions of their vision of the state of the NTEU at the OCC.  We totally encourage you (our readers) to provide feedback on these visions, or even just views on what you feel the union has done or not done for you.  It is all too easy to sit back and pontificate on where we think we are.  Let us know if we are right…or not.  Please take the time to either say ‘kudos,’ or “wait a minute….”, or whatever comes to mind.  We will publish any point of view or perspective.

1.      State of the Union

While NTEU begins 2010 with serious concern about our employee/management relationship, we remain optimistic that positive changes will continue to occur.  Our efforts to encourage more engagement that is pre-decisional have increased the tension between management and the union.  The recent significant change in practice relative to OIG referrals of possible ethics violations by employees is but one example where management unilaterally implemented change   without any briefing or consultation with the union representatives.  Management’s refusal, notably Administrative Internal Law (AIL), to provide the results of an external compensation review (focused upon potential discriminatory practices) is another.  Even when NTEU requested this information under the Freedom of Information Act (FOIA), management failed to provide a full or meaningful report; instead, virtually invoking attorney/client privilege.    

As a result, the number of NTEU filings of unfair labor practices has increased from zero to seven in just six months.  In addition, as NTEU presses to increase management accountability to their employees, management continues to push back.  Traditionally, management preference has been to conduct OCC business under the radar and in a non-transparent manner, taking a “trust us” attitude toward any employee inquiry.   However, through labor rights, Freedom of Information Act requests, and legislative assistance, we are seeking to make the agency’s internal operations much more transparent, especially to OCC employees.  Any change in culture takes patience and time and often occurs only after there is a significant change in organizational leadership. 

On March 22, 2005, NTEU provided then Comptroller Nominee John Dugan an “expectations” document in which we outlined our hopes for the incoming Comptroller.  The following is the text from that letter:

NTEU leaders in the OCC look forward to your confirmation as the new Comptroller.  We wish to outline several pillars of a productive, collaborative relationship with you, and with the managers tasked with carrying out your agenda for the national banking system.

Valuing Employees: OCC’s foremost asset is its employees.  While this has been recognized in recent Congressional testimony, your reaffirmation of this important principle would be welcomed.  But more importantly, we will look to actions.  Addressing employee concerns about OCC compensation and benefits is one aspect of valuing employees. In this regard, increasing the transparency and fairness of the merit pay system is a priority.  In addition, employees are seeking reasonable increases in the OCC contributions to health insurance premiums and in the OCC contributions to employees’ 401(k) accounts, comparable to those provided by some other financial regulatory agencies.  However, valuing employees goes well beyond monetary issues.  Superior managers will be those who accept the union’s inclusion in what some refer to as the OCC “family.”

Employee Engagement: The Comptroller, senior executives, and advisors are expected to lead the way in promoting positive, collaborative engagement with the OCC employee representatives of NTEU.  Employee input should be sought out and considered before decisions are made.  This should go beyond the strict legal or other contractual requirements concerning bargaining obligations.  Employees possess a wealth of knowledge about the work they do and the industry they regulate and are an invaluable resource that should be tapped by the agency when considering how the OCC can best meet its mission.  In addition, numerous studies have shown that employees who feel engaged in the decisions about how their work is performed are the most productive.  We, therefore, hope and expect that OCC management will engage in a constructive dialogue with employees through their representatives and display a willingness to address employee concerns identified by NTEU representatives.  Such actions are necessary to engender trust in the workplace.  Superior managers will work with us, formally and informally, to find common ground and positive outcomes.

Privacy: The personal and financial information of each OCC employee should be protected to the utmost extent, and intrusions into employees’ personal lives must be limited and well justified.  The care, sensitivity, and wisdom of the OCC in the employee privacy area may affect public perceptions of our role as the supervisor of national banks, which face serious reputational and legal risks associated with computer security and employee and contractor malfeasance.

Contract: The preamble to the Collective Bargaining Agreement states that the parties intend to deal with each other in good faith, honesty, and mutual respect.  The detailed 39-article Agreement will inevitably involve some disputes, but we expect both the letter and spirit of the Agreement to be honored, so that disputes will be infrequent.  Timely responses to information requests are necessary. As in the privacy context, OCC’s fulfillment of its contractual and statutory obligations may affect public perceptions of our role with regard to national banks.

In the four years Comptroller Dugan has been with the OCC, portions of these expectations have been fulfilled; not so much monumentally, as incrementally.  As the document notes, “Superior Managers will work with us, formally and informally, to find common ground and positive outcomes.”   It is certainly clear that various OCC organizational groups have embraced change influenced by union presence more so than others.  Administrative Internal Law continues to prefer dealing with employees on legal obligation basis, rather than on the collaborative and collegial manner that most OCC units and employees would prefer. 

We look forward to 2010 becoming a year where fulfillment of these expectations continues to improve.  We trust management will embrace the transparency expectations encouraged by the White House.

2.      State of Union

NTEU begins 2010 encouraged by 2009 accomplishments in advancing and protecting federal employee rights and our ability to continue to look out for you through this turbulent period of Regulatory Reform. 

On a national level, NTEU pushed and helped secure House passage of the Paid Parental Leave, Compensation for Sick Leave for retirees under FERS and the elimination of the penalties for part-time employment.  NTEU President Colleen Kelly and countless rank-and-file members spent long hours educating House and Senate members to ensure protection of your benefits and rights.  NTEU recognized that Federal workers are under attack, especially banking regulators.  NTEU President Colleen Kelly created opportunities to promote and defend the service we perform in safeguarding the national banking system. 

Against a backdrop of double-digit unemployment, the public viewed high federal bailouts in the same light as high federal salaries.  Unfortunately, this created a ‘virtual photo’ opportunity for management to lower employee merit and bonuses, for the public perception, without a corresponding decrease on management side of the equation. 

However, before we talk about the challenges facing us in 2010, let us recount the achievements of 2009.  At the OCC, your NTEU representatives vigorously defended your conditions of employment.  NTEU stewards safeguarded the quality of those conditions by intervening in attempts by new supervisors to:

• Change work schedules by eliminating flex and 4/10 schedules without well-supported business rationales;   

• Ignore medical accommodation requests: the agency can no longer ignore, unduly delay, or capriciously deny medical accommodation requests;        

• Secured career ladder increases;        

• Championed pay increases;        

• Negotiated technical skill elements changes; and        

• Brought attention to compensation disparities.

Additionally, your union championed improvements to the Examiner Specialty Skills Assessment Program.  We did not shy away from engaging management on issues impacting you, even on those issues where there is no clear right to bargain.  The Examiner Specialty Skills Assessment Program clearly falls into this category.  Management implemented this program at its own discretion.  Since implementation, you helpfully identified critical flaws and suggestions for improvement, and we dutifully pressed those forward to senior management.  In fact, it would be fair to characterize NTEU as an insistent, vocal, and nagging ‘conscience’ regarding this program.  No one will be able to say, “We had no idea.” 

While we are pleased with our 2009 achievements, we recognize the challenges for 2010.  Tensions between senior management and the union are at an all time high.  Simply put, management thinks the union is vulnerable; so they push.  We push back.  One does not need to be a hunter to see that bank regulatory management is in the Congressional crosshairs.  NTEU members should take heart in President Colleen Kelly’s ability to redirect the line of fire from front line employees to the source of most ills, lack of management support or simply no (or bad) management decisions.  You have also assisted. 

For the past two years, your representatives and our fellow NTEU colleagues worked tirelessly at educating Congress about the demoralizing impact of Pay for Performance systems.  President Obama heard Colleen Kelly.  Congress heard President Obama and the membership.  Congress finally recognized that a management team that cannot be fired is rarely motivated to listen.  President Obama and Congress provided NTEU with a little toolkit for 2010.

In our toolkit are two key tools, President Obama’s Executive Order on Labor- Management Collaboration (EO) and the recently passed House of Representatives’ Wall Street Reform and Consumer Protection Act (HR 4173).  The EO requires the Agency to engage us in discussions at the pre-decisional phase.  This means before they develop a policy.  We expect the EO to be a challenge for OCC management.  As a general matter, management notifies the union generally just prior to the agency announcement.  In response to unacceptable provisions, NTEU must file a ‘do not proceed without bargaining notice’.  In addition, the EO strongly encourages management to engage unions in discussion on policy not subject to clear bargaining rights; for example, the policy of large bank assignments and relocations goes on the table. 

HR 4173 governs the formation of the new Consumer Protection Agency and the folding of the OTS into OCC.  NTEU will protect the rights of affected employees.  Equally importantly, compensation rights are protected.  It is important to remember our word of caution regarding bank regulatory management in the crosshairs: the Senate version abolishes all regulatory agencies in their current form.  We are confident that, whatever Agency remains standing, NTEU will represent the employees.  Future Chapter Chatters will focus more on these events.  Never will you experience an opportunity to really see the fruits of active participation in the political process.  A key to ensuring optimal outcomes is optimal participation. 

Our focus for 2010 will be membership and legislative participation.  Changes in organizational culture take time and patience and a commitment by those affected to create harmony.  You can help by joining NTEU.  Management reads our column.  They know we reflect the majority view.  However, management hides behind membership numbers as an excuse not to do more.  Let your voice be heard! 

No more mucking about, you want transparency in the compensation process, HR 4173 gets us halfway to this transparency.  However, increased union member numbers gets us there faster.  Your NTEU leadership team has met with members of the Senate Banking Committee.  Numbers are important.  Join and get involved in writing your congressional leaders.  Let us celebrate NTEU’s seven-year anniversary at the OCC with big numbers.  Big numbers equals a big voice. 

As always we want to hear your feedback, good, bad or indifferent. Write us at this website.

A seat at the table, professionalism and fair and equitable treatment of employees…union values that you can count on (through out the year)!!!