Globe union rejects contract that tied raises to revenue

The Boston Newspaper Guild , which represents The Boston Globe newsroom and other workers, yesterday said its members rejected by a 307-223 vote a four-year contract that would have tied raises to revenue increases at the newspaper.

The proposed contract would have excluded revenues of Boston.com from that calculation, according to the guild. Boston.com runs Globe content on its site, and the two organizations have been developing a closer operating relationship recently. Both are owned by The New York Times Co.

The vote comes amid difficult financial times for the Globe and its parent company, as well as for the newspaper industry. The Globe, like many major metropolitan dailies, has been struggling with the migration of readers and advertising to the Internet and the consolidation of department store advertisers. Overall ad revenue for the Globe has declined in recent quarters and fallen more sharply than at many other papers.

The guild represents nearly 1,000 workers. In addition to reporters, editors, and other newsroom employees, guild members include employees in advertising, circulation, finance, and other white-collar departments. Aside from excluding Boston.com revenue, where potential growth is expected to be faster than at the Globe, the rejected contract was expected to result in higher worker costs for healthcare benefits, the guild said.

"This contract illogically excluded revenue from Boston.com and that exclusion from the wage pattern, coupled with employees' taking another exorbitant increase in their healthcare payments, was enough for a majority of our members to voice their opposition to yet another New York assault on the very employees who produce the excellent product The Boston Globe remains," said Daniel Totten , guild president.

Gregory L. Thornton, the Globe's senior vice president of employee relations , expressed disappointment over the vote's outcome.

"This proposed agreement contained the exact same economic package as had been negotiated and ratified by several of our other major unions earlier this year," Thornton said. "Economic conditions are at least as challenging now for the industry and the Globe as have existed for the last year."