Why MayDay Matters: GE Versus Hard-Working Employees
Mary McBroom told us her story at a closed Starbucks restaurant in Detroit. It's one we've heard too many times before: For 18 years she worked hard for her employer, GE before discovering GE cared less about her than she did about the company. Mary was not an unskilled worker: she wired circuit boards, most recently for Chevy Volt charging stations. Hired in 1991, she was a college graduate who had worked her way up in the company from entry level wages to $23 per hour in 2009.
Along the way, she raised two daughters and sent them to college, bought a house, saved for retirement, and did all the things "responsible people" do. Mary is a college graduate with a passion for giving her job her all. Even as she told her story, it was evident that more than feeling angry, she was hurt.
In 2009 GE laid Mary off due to the economic downturn with the promise that there was always a possibility she could be called back. On May 13, 2011 she was called back to the same job she had before the layoff. GE trumpeted the recall as a Big Move, publishing a "Welcome Back" to the eleven employees.
Yet, on her first day back she was told that she was classified as a "competitive wage" employee, and would be paid $13 per hour to do the same work she had been paid $23 per hour to do. She was expected to work alongside co-workers making the higher wage who had managed to get their 20 years of service so they could be considered "legacy employees." Worse, some of the coworkers receiving the higher rate had been hired one week before Mary. Whether they escaped the layoff or there was another reason, the inescapable fact was that employees were working side-by-side doing the same work, but one employee was paid $13 per hour and the other was being paid $23.67 per hour, and everybody knew it.
Mary's shock quickly turned to action, and she wrote to Human Resources in June, 2011 asking them to reconsider her classification and asking about the status of her pension, which was based on years of service and compensation levels. She also wrote a letter to Jeffrey Immelt expressing her concern that she was being recalled to a job she had done well for 18 years, only to suffer a 40 percent pay cut.
GE's response was to send out an investigator to assess the situation without interviewing any of the "competitive wage" employees causing supervisors and coworkers to be hostile to those who complained. In a second letter to Jeffrey Immelt on September 30, 2011, Mary and her fellow "competitive wage" coworkers asked Immelt to intervene and restore her pay to its former level.

