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May 6, 2024

Pratt & Whitney parent RTX and Electric Boat to lawmakers: striking workers assistance ‘would further erode’ biz climate

PHOTO | CONTRIBUTED Workers at East Hartford jet-engine maker Pratt & Whitney inspect an engine.
By Skyler Frazer

Just a few days after the state House of Representatives passed a measure that would provide up to $3 million in financial assistance to striking workers, Pratt & Whitney parent company RTX Corp. said it opposes the proposal it claims would have significant ramifications for Connecticut’s business community.

The state’s proposal to give benefits to striking workers would only “increase the frequency and duration of work stoppages in Connecticut,” RTX Corp. said in a statement in opposition Monday, and state legislators should consider these “serious implications” before moving forward.

House Bill 5164, approved by the Labor and Public Employees Committee earlier this year, hasn’t gotten a vote yet, but House Democrats on Friday approved a measure in House Bill 5431 that would shift unexpended funds held by the state comptroller’s office to a new account that would be for “assisting low-income workers,” according to CTMirror.

RTX joins Electric Boat, which sent a letter in opposition of the bill to House leadership Friday, in large Connecticut employers that take issue with the idea.

“Such a significant skewing of the negotiating parties’ leverages could yield unsustainable labor contracts for Connecticut manufacturers. The proposed legislation would further erode Connecticut’s business climate, rendering other states more viable options for future work. It is no wonder, therefore, that only two states – New York and New Jersey – allow economic strikers to receive unemployment benefits, while California Governor Newsom recently vetoed similar legislation,” RTX said.

In Electric Boat’s letter, which the Connecticut Business & Industry Association posted online, the Groton-based submarine manufacturer criticized the bill for the “adverse impact it would have on businesses at a time when it is essential to stimulate job creation.”

“The economic loss, in some instances, is already mitigated by union-provided strike funds (some of these funds have several hundred million dollar balances). Even when such funds are not available, this bill alters the balance by eliminating much of the wage loss for strikers which creates an incentive for protracted labor disputes. Unions will feel less pressure to compromise aggressive bargaining positions because the financial impact to members has been greatly reduced,” Electric Boat said in its letter.

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