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39 Infrastructure 1 (1999-2000)

handle is hein.journals/infrastr39 and id is 1 raw text is: AB SETO OFPBI TLTC M U IATO SA DTASOTTO A r-11- VOL. 39, NO. 1 FALL 1999 The Labor Law Implications of Utility Industry Deregulation By Robert A. Dufek Introduction Deregulation in the utility industry has ushered in a new era of price pressure and dynamic compctition. lTlcsc compctitlvc prcssurcs arc driving a radical restructur- ing of tile utility Industry, characterized by a staggering number of mergers and acquisitions, asset divestitures,and new regional transmission organizations. labor and employment laws play a critical and complictting role in these transactions; accordngly it Is important that utility companies devclop a long-term labor rcla. tions plan before embarking on any form of corporate reorganlation. The failure to do so can lead to costly litigation, debilitating inefficiencies, and devastating workforce disruptions. In creating a long-term labor relations plan, history serves as a useful guide. Deregulation in the utility Industry is likely to follow the course of deregulation in the airline, railroad, trucking, and telecommunications Industries. One of the most powerful catalysts for change will be tle entry of new, generally nonunion, conipa- nies Into the Industry. In order to remain competitive, established companies- (Coniultcd on page 14.) CHECK TOUT!L Committee Reports on the Section's Website: www.abanet.org/ pubutil/home.html U Eivironmental Consequences of Electric Utility Industry Restructuring *'U Hidden Tax Costs of Electric Deregulation Restructurings 0 NRCApproval Process for Transfer of NRC Licences * Leadership Profiles E People Watch