By Jane M. Von Bergen
– Sitting in an office at the Pepsi Cola bottling plant in Northeast Philadelphia, union leader Daniel Grace, 57, pulled out his cheat sheet, statistics scribbled on the back of a pink telephone message pad.
To him, the numbers are enough to oppose Mayor Kenney’s proposed sugary beverage tax of 3 cents an ounce.
A case of Pepsi – twenty-four 12-ounce cans – taxed at 3 cents an ounce. “That’s $8.64 in taxes,” Grace said, pointing to the numbers. Less than three miles away, the Walmart on Roosevelt Boulevard sold that same case for $6.98 on sale – less than the tax.
How much the tax will impact consumers is unknown, because sugary beverages will be taxed at the distributor level, leaving it up to wholesalers and retailers to decide how much to pass on to their customers.
No matter where the tax is applied, it will hurt sales, which will, in turn, cause job loss for members of the International Brotherhood of Teamsters Local 830, Grace said.
“Loss of sales equals loss of employment,” said Grace, secretary-treasurer of the local, the top position.
Two-thirds of the local’s 3,000 members work in bottling plants or drive trucks delivering soda, water, and other beverages to area retailers, he said.
You’ve battled this tax before, and it was defeated.
This mayor is using this term Big Soda. He can say that all he wants, but no business in their right mind would be able to absorb that hit. They’re going to pass it on to the consumer. He’s talking about Big Soda. Well, I’m talking about the little people that work here and are in the community. That’s who I’m looking out for. The same ones that voted him mayor of Philadelphia.
Did Kenney talk about a soda tax when you backed him for mayor last fall?
No. In general, there’s solidarity among unions. We all supported Mayor Kenney.
Do you feel betrayed?
No. It’s politics. I have no animosity toward Jim.
Why do you think he chose a soda tax?
He’d seen it before, [but] he voted against it and was one of our strongest supporters.
Why did he switch?
I would like to ask him that question, if he ever returns a phone call.
Didn’t he meet with labor leaders on this?
The only one he has met with is the electricians’ [leader, John Dougherty]. Mayor Kenney is going to do what he thinks is best for the city. Listen, I’m all for that. I have no objections to what he wants to do. It just can’t be on the backs of one industry.
Maybe your members could retrain for jobs at the prekindergarten centers the mayor proposes to fund with soda tax revenues. They earn about $10 an hour, or $20,000 a year, full time. What do Teamsters earn in soda?
Sales people and truck drivers get base pay and commissions, $45,000 to $65,000. In the plant, $40,000 to $60,000 with overtime. These are good family-sustaining jobs.
Often it’s unions versus management, but for this, they are cooperating, right?
Correct, because their livelihoods are also at stake.
Speaking of politics, who is Local 830 endorsing for president and U.S. Senate?
We’re not getting involved in the primary. My focus this minute is in defeating the soda tax.
You negotiate a lot of contracts. Any advice?
Just to be honest with your members and be honest with the company about what you’re seeking. The other thing is not to be unreasonable.
How do negotiations go with your wife?
My wife runs the household, so it’s all about cooperation.
You don’t try to negotiate?
Nope.
Coke or Pepsi?
Diet, because of my health. When I worked here it was Pepsi. I [drink Coke] now, because I represent them. I have to be an equal opportunity.
You’re wearing one of those Fitbit bracelets.
In two years, I’ve lost 65 pounds – watching what I’m eating, drinking a lot of water, and walking, mostly walking. When you want to clear your head, you can go for a walk.
Interview questions and answers have been edited for space.
Source – http://www.philly.com/philly/business/leadership/20160327_Daniel_Grace.html
