Inside this Issue:
September 5, 2006

Top Stories:
Senior House Member Urges Delay In Tax Debt Privatization Plan

Headlines: Kelley Rebuts Negative 'Wall Street Journal' Editorial on Federal Pay
Get Involved: NTEU Renews Call for a Higher 2007 Pay Raise
New on NTEU.org: September 'Bulletin' Shows NTEU in Action


Top Stories

NTEU Renews Call for a Higher 2007 Pay Raise

Congress returns this week from its August recess with the 2007 pay raise for federal employees still undecided.

Before the recess, a Senate appropriations committee approved a 2.7 percent pay increase for civilian employees in the 2007 Transportation-Treasury Appropriations bill, matching the figure approved by the full House. NTEU supports the higher raise for civilian and military employees.

Despite growing bipartisan support for the average 2.7 percent increase, the administration continues to insist on a lower pay raise. On Friday, President Bush let the deadline pass for submitting an alternative pay proposal to Congress. This means that, under the law, a 1.7 percent across-the-board increase—this does not include locality pay—would go into effect in January unless Congress steps in and votes for a higher figure.

To ask your senator to support a higher pay raise, click here or visit <http://
capwiz.com/nteu/issues/
alert/?alertid=8957331&
type=CO>.

Senior House Member Urges
Delay In Tax Debt Privatization Plan
A senior member of the House Appropriations Committee is adding his name to the growing list of lawmakers voicing strong opposition to the Internal Revenue Service (IRS) plan to privatize debt collection beginning this week.

"The IRS would clearly be disregarding the will of the House of Representatives by proceeding with this plan,” Rep. John Olver (D-Mass.) wrote in a letter to IRS Commissioner Mark Everson. The House voted in its version of the 2007 Transportation-Treasury Appropriations bill to prevent the IRS from using funds in that legislation on the tax privatization program.

While the Senate has yet to act on its version of the Treasury funding bill, “the IRS should at the very least delay the debt collection initiative, given this strong opposition from the House of Representatives," he wrote.

For the complete story, click here or visit <www.nteu.org/
PressKits/PressRelease/PressRelease.aspx?ID=953>.


NTEU Remembers the Sept. 11 Anniversary

NTEU commemorates Monday's fifth anniversary of the Sept. 11 attacks and honors the federal employees who provided assistance to those in need during and after the catastrophe. The response of these courageous men and women continues a long tradition of a federal workforce that responds to hardship and adversity by generously giving of their time, energy and talents.

To mark the occasion NTEU is sending each chapter a special Sept. 11 message, which you can download by
clicking here or visiting <www.nteu.org/documents/
sept11.pdf>.


NTEU Challenges Non-Bargaining Unit
Status of Over 2,500 IRS Analysts

NTEU is taking action to challenge management’s decision to exclude 2,560 IRS analysts from the bargaining unit. Last week NTEU filed a unit clarification petition with the Federal Labor Relations Authority (FLRA) and is working with chapters to gather information for its case. NTEU has also requested thousands of documents from management to assess the legality of its decision to exclude them.

NTEU has been concerned about the analyst status for some time. While perhaps this difference could have been resolved through settlement talks in the past, the adversarial role the IRS has recently assumed with NTEU leaves the union little option but to litigate. In recent discussions with the IRS, NTEU has pointed out that there is no apparent reason why these analysts are kept outside the bargaining unit. Only a few actually supervise others and even fewer make final policy decisions. The IRS has responded that these employees are part of the “management team,” but provided little else to justify barring them from becoming active NTEU members.

NTEU expects that it will take several months for its petition to be processed to a hearing or other resolution. NTEU remains determined to secure the benefits and protections of union representation to which IRS analysts are entitled. If you have questions about what this will mean to you, contact your local NTEU Chapter President.


NTEU Fights Illegal Roll Out Of New HHS Employee Evaluation System
NTEU has filed a grievance after the Department of Health and Human Services (HHS) unleashed its entire Performance Management Appraisal Program (PMAP) at several agencies despite an agreement that implementation would be staggered.

HHS initially agreed to roll out only part of its new employee evaluation system after negotiations for a consolidated contract covering all HHS agencies were completed, but no later than Nov. 2. Under an agreement with NTEU, HHS was only allowed to apply three components of the program – a four-tier structure, calendar system and a switch from a minimum appraisal period of 120 days to 90 days.

NTEU learned recently that the PMAP had been illegally applied to several NTEU-represented HHS agencies including the Office of the Secretary. In its grievance, NTEU argues that HHS's actions represent a failure to bargain in good faith because the parties are currently negotiating the performance management and awards articles, which are closely tied to the PMAP. NTEU is seeking a stop to full implementation of the PMAP, a return to status quo and the removal of employee evaluation files completed under the illegally applied program.

For the latest on NTEU's efforts at the bargaining table, click here or visit <www.nteu.org/Members/HHS.aspx>.


NTEU Grievance Enforces OMHA Employee's Flexiplace Rights
NTEU's efforts to secure more flexible work schedules for employees do not stop at the bargaining table. This was recently demonstrated by a grievance NTEU filed to enforce an employee's right to work the full number of flexiplace days agreed upon in the contract. The case involves an attorney with the Office of Medicare Hearings and Appeals (OMHA) in Cleveland who applied to work two days of flexiplace per week. Management approved only one day of flexiplace per week, the position taken by OMHA throughout all its offices. NTEU's contract with HHS/OS includes a presumption that two days of flexiplace per week would be allowed.

In his decision, the arbitrator rejected management's defense that the "newness" of the agency had not allowed it to measure how flexiplace impacts its operations, noting that this defense was undercut by the fact that the attorney had successfully worked flexiplace one day a week for over three months prior to the arbitration and there was absolutely no evidence that her work or that of OMHA was negatively impacted.



Headlines


Kelley Rebuts Negative 'Wall Street Journal' Editorial on Federal Pay
President Kelley continues to set the story straight on an inaccurate and negative study on federal pay that was recently the subject of numerous news articles and editorials.

The Wall Street Journal on Friday published Kelley's
letter to the editor responding to an Aug. 15 editorial arguing that federal employees are vastly overpaid when compared with public-sector workers. The editorial relied on a Cato Institute study that, according to Kelley, simply does not utilize accurate statistics on federal compensation. In addition, Kelley criticized the editorial for using a caricature of a federal worker that is "untrue and offensive" in the author's effort to make the argument that federal workers cannot be dismissed for cause.

NTEU is committed to responding to false charges wherever they are published and has sent letters to the handful of papers that ran stories on the Cato study.


IRS Sends Collection Agencies Calling For Back Taxes
USA Today, September 4, 2006
Beginning this week, thousands of Americans who owe taxes to the federal government will start getting phone calls to pay up — from private collection agencies, not the IRS.

Despite congressional opposition and criticism from a federal employee union and a taxpayer advisory panel, the IRS is giving three collection agencies information on 12,500 taxpayers who owe less than $25,000 and have not disputed the debt.

Critics argue that privatizing any part of the IRS' traditional collection role would increase the agency's costs and raise privacy issues, as well as create potential for fraud.

"We're continuing to do all we can to shine a light on this program," says Colleen Kelley, president of the National Treasury Employees Union, which represents IRS employees. "When taxpayers hear about what the government is doing, they are outraged."

For the complete story, click here or visit <www.usatoday.com/money/perfi/taxes/2006-09-04-irs-usat_x.htm>.

President Kelley has additional interviews on tax debt privatization with major media outlets lined up for tomorrow and Thursday. She will appear tomorrow on CNBC at 11:20 a.m., EDT, and on CNN's Paula Zahn NOW from 8 to 9 p.m. On Thursday, President Kelley will appear on American Public Media's Marketplace radio show in the morning. Marketplace often airs on local public radio stations at 10 minutes before the hour.


New on NTEU.org


September 'Bulletin' Shows NTEU in Action

The September edition of the NTEU Bulletin highlights several issues that have kept NTEU very busy this summer. At the IRS, NTEU is rebuffing management's attempt to diminish union and employee rights as bargaining begins over ground rules for negotiating a new contract. On other fronts, NTEU is fighting against planned cuts of IRS Estate and Gift Tax Attorneys and the outsourcing of tax debt collection work.

Meanwhile, at the Food and Drug Administration (FDA), NTEU lent its support to an employee survey highlighting serious concerns among scientists about political pressure when making decisions about public health and safety. In addition, the Bulletin includes news about key arbitration cases at the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) and the Federal Deposit Insurance Corporation (FDIC).

To read this month's Bulletin online,
click here or visit <www.nteu.org/UnionOffice/
NTEUBulletin/>.



NTEU's Mission: To organize federal employees to work together to ensure that every federal employee is treated with dignity and respect.

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