Posted:
July 9, 2015
By Paul Doell
National President
Midway through the first year of a new administration, American Maritime Officers is regaining the financial strength that had for years helped make our union an influential seagoing labor force.
One positive indicator is that AMO payroll savings through calendar year 2015 are on track to reach seven figures, a sum resulting from a combination of attrition and significant salary cuts for senior elected officials.
Two longtime AMO Great Lakes representatives retired and three highly paid administrative employees resigned in 2014, and these jobs will remain vacant. The AMO National Executive Board agreed to the reasonable reductions of top-tier pay in a unanimous vote early this year.
Additional savings will accrue through December 2015 from proportionate corresponding cuts in salary-based benefits.
On another financial front, operating expenses since January 2015 were trending much lower than what had been projected for the year, and monthly budget surpluses since January 2015 totaled in the high six figures by the July 4 break.
Moreover, this administration has not had to tap AMO investment accounts to meet payroll or to pay routine bills.
"As of April 30, 2015, AMO has operated completely in the black," AMO Controller Thomas Heaton said in a June 10 email to each member of the AMO National Executive Board. "We are far from operating in 'deficit spending,' and we are in the best financial condition in my four-year tenure as Controller."
Administrative confidence in sensible spending strategies was so high at the outset that, through a unanimous vote in January, the board was able to cancel the AMO membership dues increase that had gone into effect at the New Year. This particular initiative was the subject of much candid conversation within the board, given the AMO treasury's precarious position at the time. But we all agreed that rescinding the dues hike was the right thing to do.
The financial facts presented here - and the forecasts of continued economic stability - testify to the unified AMO National Executive Board's commitment to the sound, responsible management of the seagoing AMO membership's money. They also confirm the board's collective belief that a prosperous union eases pursuit of long-term job and benefit security for all AMO members and their families.
Our union reached this encouraging state in a short time without limiting or interfering with the effective, efficient representation of seagoing AMO members in the deep-sea, Great Lakes and inland waters fleets, and without undermining AMO's traditional distinction as the nation's largest and strongest union of licensed seafaring professionals. And these achievements were possible despite the sale over a two-year stretch of AMO-owned, rent generating residential properties in Dania Beach - properties that had been identified as a principal source of AMO operating revenue.
Having ended budget bloat and extravagance in our union, the AMO National Executive Board is considering additional ways to contain costs.
Meanwhile, the good faith expectation is that all seagoing AMO members will be inspired to support this ongoing recovery strategy by keeping current with dues, and that applicants for AMO membership will follow their shipmates' example not only by making timely dues payments, but by paying off their initiation fees on or ahead of schedule. If this administration and the seagoing men and women we are privileged to represent work together on this, the emerging financial trends outlined here will become lasting characteristics of an increasingly secure union.
Capt. Finnigan's timely advice
If you know Capt. Mike Finnigan, you know that he is equally enthused about his profession and his longtime AMO membership. You know that Mike is passionate about our industry's future and AMO's place in it.
"Any information about where we are headed would be great to write about," Capt. Finnigan said in a June 26 email suggesting potential topics for this column. "A few things that jump right out are the advancements in LNG-powered vessels, the amount of 'Dynamic Positioning' vessels, the regulations we now face and the importance of getting STAR Center to stay in compliance with the training regs."
Capt. Finnigan said he had enrolled in STAR Center's LNG PIC course, and he encouraged other AMO members to do the same. "In this industry, you have to be ready for the next opportunities that come along."
Wise, timely advice from a veteran AMO good will ambassador, and I am pleased to pass it on.
As always, AMO members are encouraged to call me anytime with questions or comments on any union matter. I can be reached on the headquarters office line at 954-921-2221, or on my cell at 954-881-5651.
Six months in: strategy renews AMO's financial strength
By Paul Doell
National President
Midway through the first year of a new administration, American Maritime Officers is regaining the financial strength that had for years helped make our union an influential seagoing labor force.
One positive indicator is that AMO payroll savings through calendar year 2015 are on track to reach seven figures, a sum resulting from a combination of attrition and significant salary cuts for senior elected officials.
Two longtime AMO Great Lakes representatives retired and three highly paid administrative employees resigned in 2014, and these jobs will remain vacant. The AMO National Executive Board agreed to the reasonable reductions of top-tier pay in a unanimous vote early this year.
Additional savings will accrue through December 2015 from proportionate corresponding cuts in salary-based benefits.
On another financial front, operating expenses since January 2015 were trending much lower than what had been projected for the year, and monthly budget surpluses since January 2015 totaled in the high six figures by the July 4 break.
Moreover, this administration has not had to tap AMO investment accounts to meet payroll or to pay routine bills.
"As of April 30, 2015, AMO has operated completely in the black," AMO Controller Thomas Heaton said in a June 10 email to each member of the AMO National Executive Board. "We are far from operating in 'deficit spending,' and we are in the best financial condition in my four-year tenure as Controller."
Administrative confidence in sensible spending strategies was so high at the outset that, through a unanimous vote in January, the board was able to cancel the AMO membership dues increase that had gone into effect at the New Year. This particular initiative was the subject of much candid conversation within the board, given the AMO treasury's precarious position at the time. But we all agreed that rescinding the dues hike was the right thing to do.
The financial facts presented here - and the forecasts of continued economic stability - testify to the unified AMO National Executive Board's commitment to the sound, responsible management of the seagoing AMO membership's money. They also confirm the board's collective belief that a prosperous union eases pursuit of long-term job and benefit security for all AMO members and their families.
Our union reached this encouraging state in a short time without limiting or interfering with the effective, efficient representation of seagoing AMO members in the deep-sea, Great Lakes and inland waters fleets, and without undermining AMO's traditional distinction as the nation's largest and strongest union of licensed seafaring professionals. And these achievements were possible despite the sale over a two-year stretch of AMO-owned, rent generating residential properties in Dania Beach - properties that had been identified as a principal source of AMO operating revenue.
Having ended budget bloat and extravagance in our union, the AMO National Executive Board is considering additional ways to contain costs.
Meanwhile, the good faith expectation is that all seagoing AMO members will be inspired to support this ongoing recovery strategy by keeping current with dues, and that applicants for AMO membership will follow their shipmates' example not only by making timely dues payments, but by paying off their initiation fees on or ahead of schedule. If this administration and the seagoing men and women we are privileged to represent work together on this, the emerging financial trends outlined here will become lasting characteristics of an increasingly secure union.
Capt. Finnigan's timely advice
If you know Capt. Mike Finnigan, you know that he is equally enthused about his profession and his longtime AMO membership. You know that Mike is passionate about our industry's future and AMO's place in it.
"Any information about where we are headed would be great to write about," Capt. Finnigan said in a June 26 email suggesting potential topics for this column. "A few things that jump right out are the advancements in LNG-powered vessels, the amount of 'Dynamic Positioning' vessels, the regulations we now face and the importance of getting STAR Center to stay in compliance with the training regs."
Capt. Finnigan said he had enrolled in STAR Center's LNG PIC course, and he encouraged other AMO members to do the same. "In this industry, you have to be ready for the next opportunities that come along."
Wise, timely advice from a veteran AMO good will ambassador, and I am pleased to pass it on.
As always, AMO members are encouraged to call me anytime with questions or comments on any union matter. I can be reached on the headquarters office line at 954-921-2221, or on my cell at 954-881-5651.