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1994.10.12 :  Labor-Management Partnership Agreement

Contact:  HHS Press Office     (202) 690-6343
Wednesday, Oct. 12, 1994

              SHALALA ANNOUNCES HHS LABOR-MANAGEMENT
                    PARTNERSHIP AGREEMENT


     HHS Secretary Donna E. Shalala, Deputy Secretary Walter
Broadnax and other HHS officials today signed an agreement with HHS
employee union presidents to establish an HHS Labor-Management
Partnership, designed to improve the quality and productivity of HHS
services to the American public.
     Growing out of the Clinton administration's reinvention of
government initiative, today's agreement was developed in response
to an executive order issued by the president last October which
called for creation of cooperative labor-management partnerships in
departments and agencies across the federal government.  
     "We are establishing this partnership to better engage our
employees and their union representatives toward improving the
quality and productivity of services to our customers, the American
public.  To accomplish this, it is critical that we empower our
employees and work closer together with them and their
representatives," Secretary Shalala said.
     The agreement establishes an HHS Partnership Council with two
representatives from each of the three unions having national
consultation rights with HHS, five representatives from HHS
operating divisions and three representatives from the Office of the
Secretary.  The council will hold its first meeting in October.
     A key principle of the HHS Partnership Council will be to
"recognize that an effective labor-management partnership must
promote increased quality and productivity, customer service,
mission accomplishment, efficiency, quality of worklife, employee
empowerment and organizational performance," according to the
agreement signed today.
     "Today marks the beginning of a new relationship with employees
and employee unions as we talk together, work together and trust
each other -- nurturing and developing a relationship that will
become a true partnership for reinvention and change," said
Broadnax.
     National union presidents signing the agreement are John N.
Sturdivant, American Federation of Government Employees, Robert M.
Tobias, National Treasury Employees' Union; and Sheila Velazco,
National Federation of Federal Employees.
     Other HHS officials signing the agreement are Kenneth S. Apfel,
assistant secretary for management and budget; Mary Jo Bane,
assistant secretary for children and families; Shirley S. Chater,
commissioner of Social Security; Philip R. Lee, assistant secretary
for health; Thomas S. McFee, assistant secretary for personnel
administration; Fernando M. Torres-Gil, assistant secretary for
aging; and Bruce C. Vladeck, administrator, Health Care Financing
Administration.
     The president's executive order also established the National
Partnership Council, chaired by Vice President Gore.  HHS Deputy
Secretary Walter Broadnax serves as an advisor to the vice president
for the National Council and the three union presidents are members.

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