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Global Industry Squeezes U.S.

Producing televisions sold under several brand names, depending on its customers, Five Rivers exemplifies the global nature of the industry dominated by corporations with worldwide operations.

Sanyo and Toshiba may not sound American but many of their products are made here, Johnson said. "The majority of TV manufacturing in the U.S. is multinational," Johnson said. "There are very few American companies."

Many brands made in the United States have plants in other countries so it is virtually impossible to tell by brand alone where a television was made. But American trade laws require foreign manufacturers to stamp the place of origin on boxes. The European Union already has anti-dumping tariffs in place against the Chinese and Malaysian manufacturers, making the U.S. market all the more importantand a more obvious targetto China and Malaysia.

The larger issue in this case, Johnson said, is the ripple effect on television parts suppliers. No single company produces all of the parts for its televisions, so glass suppliers employing more than 20,000 are partially dependent on domestic TV manufacturing operations.

Domestic Industry Hemorrhaging Jobs

The IBEW has approximately 3,000 members in the TV manufacturing industry currently working at Thomson and Toshiba plants in the United States. But in the past two years alone, 3,000 IBEW members have lost jobs in the industry due to increased competition. Calculate the "upstream" manufacturingrelated industries that the television industry depends on for parts and materialsand the number of IBEW jobs lost in the last two years reaches up to 7,000, Johnson said.

Sharps IBEW-represented plant has stopped making picture tubes entirely, and Thomson, Philips and Toshiba plants are scaling back in the affected large screen markets.

Sharp

The last television produced at the Memphis Sharp plant rolled off the lines in November 2002. Five hundred members of Local 474 lost their jobs as a result.

The good news for the remaining 400 members in Memphis was Sharps commitment to keeping the plant open, retrofitting the facility for emerging technologies like solar power. In April, a $3 million investment resulted in the new production of photovoltaic cells. Though the Memphis facility still produces microwave ovens, copiers and toner cartridges, the number of workers is still half as many as were employed when the plant churned out televisions.

Thomson

Thomson, a French company making TVs under the brand name RCA, employs nearly 2,500 IBEW members in two U.S. plants that produce glass and tubes for Mexican-assembled televisions. Thomsons Marion, Indiana, plant started producing picture tubes in 1949, the earliest days of television. Topping out at 4,000 workers in the late 1970s, it has weathered recessions, overseas competition and automation. But the plant may not survive competition from China and Malaysia.

Production was scaled back by a third in February and 500 members who formerly helped produce 25-inch, 27-inch, 32-inch and 36-inch television screens were laid off, Local 1160 Business Manager Steve Rowland said. The fact they qualified for a trade assistance program is small consolation to most of them. "Theres not much work to be had in this area," Rowland said. One hundred and fifty more workers were laid off last November when the plant halted production of 19-inch and 20-inch tubes. In mid-June, Thomson announced another 300 will be laid off.

Although the local has talked to the company about developing new television technologies like plasma and flat screens, Thomson has not been receptive to reinforcing production at what is still one of the two largest employers in Marion. "Most of the investments now seem to be in Mexico," Rowland said.

Thomsons other plant in Circleville, Ohio, makes glass for 25-inch, 27-inch and 32-inch picture tubes manufactured in Marion, Indiana. More than 700 members of Local 2331 work therefor the moment.

"Our profit margins are shrinking daily and they have stopped making investments in our plant," said Local 2331 Business Manager Tony Blankenship. "Were struggling. Im anticipating a layoff. We cant continue going down the road were going." He expected a 200-worker layoff, which would reduce the membership by more than a third, but two weeks later Thomson announced it would eliminate 300 jobs by August.

Imports from Japan, South Korea, Singapore and Canada threatened to put the plant out of business in the late 1970s. Back then, the targeted products were 19- and 20-inch televisions. Luckily, at the same time, larger televisions became popular, so Thomson in 1990 doubled the size of the factory and its work force to make glass for the 25- to 36-inch sets. But now, those larger units are flooding the market from China and Malaysia.

"We can no longer compete in those sizes," Blankenship said. "In the last 18 months, weve seen a severe downturn."

He predicted a devastating impact on the small community if 200 workers lose their jobs at the well-paying plant. The only new jobs available will be at the new Wal-Mart supercenter, where jobs offer no benefits and pay well under $10 an hour.

Philips

Philips shut down television tube production at its Ottawa, Ohio, facility last December. Eleven hundred members of Local 1654 were laid off, although 800 are still collecting paychecks until September, said Business Manager Ed Andrews. In recent years, the plant had been producing tubes for 25-, 27- and 32-inch televisions, but when it opened in 1948, the facility produced glass for black and white sets. Only four members are left, two operating forklifts and another two in physical plant operations, Andrews said.

Business has slowed so much on the Toshiba Display Services 36-inch picture tube line that 400 workers are enduring temporary furloughs this summer at the Horseheads, New York, plant, said Local 1632 Treasurer Jerry McIntire. Furloughs allow the members to retain their health insurance and other benefits while collecting unemployment between work assignments, he said.

"Hopefully we can get some orders in before layoffs develop," McIntire said. "Were trying to do everything we can to keep these jobs intact."

Six hundreds jobs were lost when the plants 19- and 20-inch productions lines were shut down two years ago to move to Mexico. But the news is not all bad. Orders for the 32-inch tubes are coming in faster than they can keep up with.

Toshibas Lebanon plant employs 800 television set makers making more than 60 different types of TVs on six production lines. Its top models include flat screens and combination television/ video recorder units. In January, Toshiba laid off 100 workers. Although things are slower than they were a year ago, said Nashville Local 429 Assistant Business Manager Sharon Pitkin, the local still has the same number of bargaining unit employees as it did a year ago.

"The dumping of color television sets in an attempt by foreign competitors to drive the final nail into the coffin of our domestic electronics manufacturing industry," President Hill said. "We need to act now to prevent losing the remaining jobs and capacity that we now have."