BIU & KFC Heading To Arbitration

December 22, 2011

BIU President Chris Furbert said that the Union and Kentucky Fried Chicken will be heading to arbitration, as both parties have not reached an agreement.

Speaking at a press conference this afternoon, Mr Furbert said the copy of the memo received by the BIU last week Friday was “incomplete,” and speaking with KFC yesterday afternoon they were concerned about statements Mr Furbert made about vacation time.

Mr Furbert, “I would apologize to them now, as we have a full copy of the document [PDF here], which does say ‘There will be no impact on existing vacation arrangements or earned entitlements.’

On Tuesday [Dec.20], Mr Furbert said KFC cancelled the collective bargaining agreement, and about 36 employees were affected. “It is over my dead body as the current President of the BIU to allow any employer to take away the current benefits of our members,” said Mr Furbert. “It’s not going to happen.”

In a statement issued this morning, KFC said the bargaining agreement with the BIU came into effect in April 2008, with the agreement that it must remain for at least least three years, and any time after 14th January, 2011, three months notice of termination or modification may be given by either party.

KFC said they notified the BIU in writing in February 2011 of their intention to modify the terms of the existing agreement. After negotiations failed, KFC gave the BIU three months written notice of its intention to terminate the agreement in in September 2011, and terminated it just over three months later.

Citing “declining sales and increased operating costs leading to net losses,” KFC said the agreement modifications are needed to ensure KFC is “economically sustainable” and “remains a viable enterprise.”

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Comments (10)

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  1. Greasy says:

    I hope you Bies at the BIU dont upset Mr L and the shareholders, as I dont want my chicken meal deal going up in price by another 55%, due to labour costs, hold on a minute KFC here is already 80+% more expensive than it is away, so where all the cash going?

    the company already got delisted from the BSX we dont want it to close up its shutters altogether due to labour unrest where we gonna get wings after caseys on a thursdee night? answer me that Bro Furbert………….is the Union entreprenuerial enough to open a piggly wiggly 2 with a food counter?

    • OMG says:

      They tried that before and it went bust!!!!
      Sounds like Bro Furbert “locked and loaded” his gun before he had all the information.

      80 days sick and can carry forward???? WTF and how can a business operate with such employee benefits and make money. This means you have to over employee to factor in for the sick days.

      No wonder a new agreement cannot be agreed!!

  2. Hudson says:

    OK, so having read the attached memo, it is my personal opinion that Mr. Furbert is on another planet and is looking like a fool here. NOTHING in this memo would violate any employee’s rights. Nothing in this memo suggests that employees will be worse off. Did he actually read this?? Did the staff actually read this?

    Further, I’m interested to learn more about the contractual obligations under the Collective Agreement to remit pension contributions on behalf of unionised staff members to the Restaurant Pension Fund. KFC says in this memo that the Fund was not registered with the Pension Commision and there are “inconsistencies between teh Fund’s Declaration of Frust and the actual operation of the Fund”. Really? I smell a rat, and it has the BIU’s name written all over it. Yet somehow staff think they are getting the short end of the straw when they are being moved to a BFM registered plan with complete transparency? WOW. Bermuda IS another world!!!

  3. Curious George says:

    This situation now reads as if the staff at KFC, despite loosing outrageous and highly likely abused benefits (such benefits I’ve never heard of before in my life and never knew existed in reality to be honest i.e. 7 weeks vacation and up to 90 days sick leave per year) were being returned to the real world and actually better off based on the fishy business going on with the Restaurant Pension Fund. There are rats, fish, cockroaches and furbies being exposed everywhere.

    I always wondered why a few people I got to know at KFC over the years, were there for YEARS, and are still there! Not high school kids like you’d see overseas but grown and able Bermudians putting my chicken and cole slaw in my box. Well I gotta say, now that I know of the above benefits.. sheesh! My Employee Act of 2000 standards are trash in comparison. But I digress.

    Life is good. And I really don’t care who serves me dirty bird. Filipino, Canadian, Bermudian, 40 year old, 50 year old, 18 year old, 25 year old. Long live the dirty bird, long live KFC coke slaw.

  4. Common Sense says:

    It’s a great relief to read that this dispute is going to arbitration. The LAST thing that KFC and the BIU need at this point is a strike which will not in any way change the financial position of KFC except to devastate the company, and that would certainly lead to job losses and the likely demise of the company. I would like to think that Mr. Furbert is smart enough to realize the seriousness of Bermuda’s economic plight and will seek to do what is best for the long term interest of his members.

  5. 80's Role Model says:

    KFC is the last thing we got..Lemmi get a Zinger Combo!

  6. What do we do says:

    “It is over my dead body as the current President of the BIU to allow any employer to take away the current benefits of our members,” Hmmm. I wonder why the negotiations didn’t go well.

  7. Watching! says:

    The BIU and it’s Leaders look like fools. KFC appear to be straight forward and open to their staff. Besides, if it was that bad the employees would have striked by now.

  8. sandgrownan says:

    Furbert has the intellect of a piece of fried chicken. Jesus, what a jackass.

  9. kiskadee says:

    If these people go on strike over such ridiculous demands then they will soon too be out of work for good. Furbert is such an idiot. He and the PLP have led Bermuda to disaster