Tuesday, August 21, 2007

Questionable doings not just a management thing at PAT

Pittsburgh PA - The Pittsburgh Tribune-Review unearthed a highly questionable act by the Port Authority of Allegheny County (PAT) transit union. The highly questionable act was the formation of a special retirement package by former ATU Division 85 Union President Joseph Hutzler for himself which was kept quiet, even from his union.

The special pension deal revolved around allowing Hutzler to collect pension payments in a special account while he was retired and still union president. While Hutzler retired from PAT in 2001, he kept the retirement a secret from the union. This has upset the current union local leaders as Hutzler was leading the union in contract talks with PAT at the time which ultimately stripped the union of many protective work rules.

The pension arrangement was crafted when Hutzler was president of the PAT union and sat on a four-member pension board. The current union leadership called the Hutzler's self-crafted retirement deal an abuse of power. Current ATU Division 85 Union President, Pat McMahon, said ""I think he abused his position on that board to his own benefit."

Here I must credit the current PAT union president, Pat McMahon. When the Hutzler deal was discovered, McMahon and the current union leadership brought the questionable deal to the attention of PAT's management as they should do. PAT's corrupt management however swept the affair under the rug as they were too busy double-dipping into the management pension fund for their own benefit. Hutzler's arrangement was very similar to the controversial DROP program which key management people participated in during the same period.

The news came to me without much shock. I was aware there there were some shady deals occurring within PAT's union during the Skoutelas years at PAT. What did shock me however was Pat McMahon's response to the controversy. Instead of defending the former union leader, he said what was needed to be said which was that the deal was wrong and self-serving.

While I often disagree with Pat McMahon on transit matters, I must award him a Laurel for not trying to bury an embarrassing union incident under the rug and showing that the current union leadership is not acting as their predecessors. He's earned a lot of my respect today.

1 comment:

RDC said...

Ol' Joe "Softball" Grata of the Pittsburgh Post-Gazette was a couple of days behind in getting out the news that the Pittsburgh Tribune-Review broke.

It provides a tiny bit more information so here's the link to it:
Questions raised about union official's pension