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GIVE IT UP
Narragansett Electric boosts its collection effort
BY BRIAN C. JONES

The Narragansett Electric Company is beefing up its bill collecting efforts, hiring Contract Callers, a Georgia-based company, to supplement collection work by its own staff. The move has prompted a grievance by the union representing current workers, and an expression of alarm by an anti-poverty group.

David Graves, a spokesman for Narragansett’s parent, National Grid, says Contract Callers will employ about 15 workers, who will operate in Rhode Island and Massachusetts. No regular utility employees will be laid off.

The Utility Workers Union of America (UWUA) says such subcontracting could be a step toward reduced customer service, and questions whether the outside workers will have the skills for the work. Meanwhile, the George Wiley Center of Pawtucket, the anti-poverty group, says it is worried the move could put still more pressure on families already unable to pay their bills. As put by Julie Silvia, a Wiley Center community organizer, "Why else would they hire an outside contractor, when they have the staff that does that?"

But Graves, the National Grid spokesman, says the subcontracting doesn’t represent a change in the company’s collection policies, which require power shutoffs, he says, only as a last resort. Graves calls the use of contract workers simply another effort to reduce non-payments, which last year cost Narragansett $107 million — money that has to be made up by the company’s 460,000 paying customers.

Typically, he says, the company has only a limited period to collect back bills, since state law largely restricts shutoffs during a winter "moratorium" between November 1 and April 15. "Our policy remains the same," Graves says. "Because we opt to bring in for a short period some additional manpower, I don’t think [it] signifies a change in our policy of trying to convince customers to pay what they owe."

George "Bing" Fogarty, UWUA national business agent, says that rather than hiring outside workers, the company should use its own employees, who have developed a "rapport" with customers and who have the technical proficiency to disconnect service when necessary. Adds Phil Bowe, president of UWUA Local 310, in a written statement, "The public should be outraged that individuals unfamiliar with this region, this company and its customers are being given a blank check to go out and enforce collections."

But Graves says National Grid expects the contract workers to meet the same standards as those for regular Narragansett employees. He said he believes the Georgia-based firm will hire local workers.

For the past several years, state government, utility companies, and consumer advocates have tried unsuccessfully to come up with a plan to subsidize households who can’t afford their utility and heat bills. The hang-up has been how to pay for the subsidies.

Last year, according to the state Division of Public Utilities and Carriers, more than 10,300 electric customers had their service turned off. About 8500 eventually had power restored.

 


Issue Date: August 19 - 25, 2005
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