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Issue Date: April 15, 2007, Posted On: 4/11/2007


Boston Globe outsourcing draws cries from union

BY CHRIS NELSON

BOSTON — The Boston Globe's largest labor union has launched an impassioned campaign against the newspaper's plan to offshore dozens of advertising and circulation jobs to India.

The Boston Newspaper Guild initiated a series of print and radio advertisements on March 12 with an open letter published in the Globe's cross-town rival newspaper, The Boston Herald, urging Globe readers and advertisers to call the newspaper and its parent company, The New York Times & Co., in protest. "The New York Times Co., owner of The Boston Globe, has made the egregious mistake of choosing to outsource the work of Globe advertising and circulation employees to India," the letter stated.

"By outsourcing our work, The Boston Globe and New York Times Co. are sending a message that they no longer care enough to retain the very best people to handle customer accounts and client relationships. Further, billing and account information will now be shipped overseas to Bangalore, India, putting customers' most vital information at risk."

The 1,200-member-strong union ended the letter by emphatically declaring, "It's the Boston Globe, NOT the Bangalore Globe!"

The Globe — the most widely circulated daily newspaper in Massachusetts — declined to run the ad because "it did not meet our standards," a newspaper spokesman said in a brief statement.

The spat began in January after the Times Co.'s New England Media Group launched a voluntary buyout program aimed at cutting 125 jobs at the Globe and the Worcester Telegram & Gazette. A cost-cutting move, it included 50 jobs in the Globe's advertising and circulation departments that would be shifted to Bangalore. That figure has since been reduced by approximately 20 positions, according to Al Larkin, Boston Globe senior vice president of human resources.

"This decision is necessary for the company's long-term health. The plan is to shift jobs where we believe processes can be done in another location more efficiently," Larkin said. "Right now, it looks as though 30 jobs primarily located in back office finance functions will be sent to India. These are jobs that the Globe has identified as suitable for this decision."

Larkin added the Pune, India-based IT-services giant Infosys Technologies Ltd. will handle the work for the Globe. He projected the transition will be complete later this spring.

The Boston Newspaper Guild maintains the reductions were ordered despite its members agreeing previously to a partial wage freeze and significant cuts in health-care benefits. Union president Dan Totten — a staffer in the Globe advertising department from 1980 until 2005, when he left to head up the union -- did not return repeated phone inquiries from the IndUS Business Journal seeking comment. However, the Massachusetts AFL-CIO recently published a statement on its Web site supporting the union in its fight against The New York Times & Co.

"The Boston Newspaper Guild is facing a struggle against The New York Times & Co., owner of the Boston Globe, as the out-of-state employer is reaching new lows for corporate America's race-to-the-bottom mentality. …" the union stated.

"Not only is the Boston Globe owned by a company with no stake in the city, in the state, or in the workers of Massachusetts, but they want to outsource jobs out of the country. If it were cheaper, they'd probably send these jobs off the planet."

The Boston Newspaper Guild has also drawn the support of the Boston City Council, which unanimously approved a resolution on Feb. 14 endorsing the union's efforts and criticizing the Times & Co.'s decision as "deplorable."

The Globe isn't the first American newspaper to ship work to Asia in an effort to cut costs. The Chicago Tribune replaced 40 customer service employees with the help of APAC Customer Services Inc. in the Philippines, as did the Los Angeles Times. And the Columbus Dispatch has contracted its entire 90-person graphic design department to the India-based firm Affinity Express Inc., according to the Poynter Institute, a school and resource for journalism in St. Petersburg, Fla.

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