Offer Includes Five-Year Term, Wage Increases,
Pension, Medical, Prescription Drug Benefits
RICHMOND, Va. -- Dominion (NYSE:
D) late Friday made a settlement proposal to its electrical workers union that
includes a five-year term, guaranteed annual wage increases and pension and
medical benefits.
"This offer brings the overall benefits package for our electric
union work force more in line with that of the other 13,000 employees of Dominion,"
said Edgar M. Roach Jr., president and chief executive officer of Dominion Virginia
Power. "We believe this offer will allow us to continue our teamwork in
providing safe and reliable electricity to our customers."
The settlement proposal includes:
A five-year contract that will provide a total
compounded wage increase of 16.5 percent. The contract would expire March
31, 2007.
Improved health care benefits. The plan includes
a doubling of the lifetime maximum to $2 million, enhanced prescription drug
program and preventive care coverage, the addition of chiropractic coverage
for the first time and improved vision and dental benefits, including a 50
percent increase in lifetime orthodontia benefits.
A comprehensive retirement program that maintains the
company's commitment to defined benefit pensions and provides significant
benefits to retirees. In addition, the company also will continue the
401K savings plan and contribute to the fund that pays the retiree's contribution
for post-retirement medical benefits.
IBEW Local 50 represents workers at Dominion Virginia Power,
which delivers electricity to more than 2 million customers, and Dominion Energy's
power stations in Virginia and Mt. Storm, W.Va. The workers represented include
meter readers, linemen and power station operators.
Dominion and the union have been negotiating since late January
to replace a contract that was ratified in 1995 for three years and extended
twice, each time for two years. The contract has been further extended during
negotiations. The union is expected to respond to the settlement proposal early
next week.
Dominion is one of the nation's largest producers of
energy, with a production capability of more than 3 trillion British thermal
unit of energy per day. Dominion also serves 3.9 million franchise natural gas
and electric customers in five states. For more information about Dominion,
visit the company's Web site at www.dom.com.
