Three unions representing workers at the Denver Newspaper Agency — the advertising and circulation arm of The Denver Post and the Rocky Mountain News — reached a tentative agreement for wage and benefit cuts.
The concessions announced Wednesday amount to an 11.7 percent reduction in employee costs for the three union locals of the Communications Workers of America, a representative of the groups said.
It’s unclear whether the unratified agreements reach the $18 million in concessions the DNA has said it requires to weather current financial difficulties.
The agreements do not affect union employees of The Denver Post, which continued talks with owner ap Wednesday. The company has said it wants $2 million in concessions from that union.
Tony Mulligan, administrator of the Denver Newspaper Guild, said the agreement was the best the unions could do to meet the financial issues facing the DNA.
“We’re pleased to have reached a tentative agreement with three of our unions and look forward to successful conversation with the remaining unions,” DNA spokesman Jim Nolan said.
Ratification of the deals won’t occur until after E.W. Scripps announces its intent for the Rocky Mountain News, which it put up for sale in December. The company has not said whether a legitimate buyer has emerged or whether it will close the newspaper.
Wage cuts average about 7 percent but vary depending on salary level. Other cuts include furloughs, unpaid vacation, suspension of company matches to 401(k) plans, mileage reimbursement and the number of sick days. The unions also agreed to pay more in health-insurance premiums.
Management has agreed to the same cuts as the unions, as well as a salary cap on payroll.
The unions, which represent more than 900 employees, would regain concessions as profits increase.
In all, six unions are in talks with The Denver Post and the Denver Newspaper Agency. The others include the guild unit at The Post, the Teamsters at DNA and a unit representing platemakers.
David Migoya: 303-954-1506 or dmigoya@denverpost.com
