June 10, 2002

4% GUILD SALARY INCREASE

TRIGGERS JUNE 10

Under the terms of the 2001-2004 extension of the Newspaper Guild contract with Scholastic, all employees covered by the Newspaper Guild contract with Scholastic and who are on staff on June 9 will receive a 4 percent raise, based on their salaries as of June 9, 2002. A third 4 percent Guild raise is scheduled for June 2003. When compounded, raises over the three-year pact total 12.49 percent.

Note: The contract allows management to grant Guild raises to employees in Groups 12 and 13-Editors and Art Directors-before they are granted to other employees. Accordingly, employees in these jobs who have been granted raises of at least 4 percent on or after June 1, 2001 are not eligible to receive a second raise at this time.

In addition to the raises, the 4 percent increases are fully applied to minimum wages in all jobs in each year of the contract. Further, there are no retrogressions in the contract.

DON'T CONFUSE "MERIT" WITH GUILD INCREASE

Do not confuse Guild raises with "merit" raises. Those of you who attended the contract ratification meeting may recall complaints from some members who were promised hefty "merit" raises only to hear their managers explain that they had to subtract the Guild increase, leaving "merit" at 1 percent-or even less.

Remember, Guild raises are separate and not in any way related to other raises. Scholastic management has agreed to make this distinction clear to those promised "merit" raises.

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6/10/02