Volume CVII, No. 5May, 2007

As Allegro goes to press, a tentative agreement has been reached with the League for a new three-year Broadway contract. In a message to Broadway musicians, President Landolfi stated in part the following:

I am pleased to report that on Thursday, March 29, 2007, Local 802 reached a tentative agreement with the League of American Theatres and Producers, Inc. The “handshake” deal will not be final until we resolve several additional details and both sides have had the opportunity to review and ratify a final draft.

The new collective bargaining agreement calls for a significant influx of money to our ailing health benefits plan — enough money to create a new tier of benefits that restores cuts that were made in January, dramatically improves benefits, expands coverage and stabilizes the funding in order to achieve sustainability for years to come. The agreement also calls for a significant raise in the second year.

Considering the recent draconian cuts in our health benefits, the $50,000 cap in medical benefits, the increase in the number of shows required to qualify, and the exclusion of subs from hospitalization coverage, the negotiating committee felt our health benefits plan was in dire need of improvement. However, it was also a top priority to address these concerns without touching any of our pension benefits under the Turkus Award.

We succeeded in this objective; along with a 3.5 percent raise in the second year of the contract, the following improvements will be implemented Oct. 1, 2007 for all those who qualify for the new level of benefits:

  • The annual cap in medical benefits will be raised to $250,000.
  • The drug benefits available prior to Jan 1, 2007 will be restored.
  • The $50 monthly co-pay for individual coverage will be eliminated.
  • Hospitalization coverage will be provided to all who qualify, including subs.
  • The number of shows required to qualify for benefits will be reduced to an average of 5.7 (weekly).
  • The reimbursement for out-of-network coverage will be increased from 50 percent to 70 percent.

Additionally, since employer contributions are increasing significantly, far more subs will qualify for the original Plan A, which will not be affected by the new Broadway agreement.

Finally, we expect certain procedural issues involving Special Situations language to be outlined in a side letter to the agreement. This codification, though only procedural, should enhance our ability to present our arguments at Special Situation hearings.

— Mary Landolfi