Rehired Book Store staff will not lose U. benefits

When Barnes & Noble assumed ownership of The Book Store this summer, 38 of the 54 former employees were offered jobs with the new company, Executive Vice President John Fry said this week. Half of the unhired workers have secured jobs since the transition at the end of August, according to Director of Business Support Services Marie Witt. Twelve of the employees offered jobs did not accept them, Witt said. She added that nine employees who began working for Barnes & Noble left their new positions within three months of the change of ownership. As a result, only 17 employees from last year remain at The Book Store, including Manager Mike Knezic. Thanks to an agreement negotiated before the changeover, Barnes & Noble will give Book Store employees the same three percent pay increase other University workers will receive this year, Witt said. Barnes & Noble will also increase its employees' salaries to compensate for differences in the company's medical and pension plans. Even though they are no longer University staff members, Book Store employees will continue to enjoy staff privileges for the next two years, including access to University libraries and recreation facilities. As long as they work at the Barnes & Noble on campus, Book Store employees who were once Penn staff are also eligible for Penn's tuition benefit program. "We really tried to ease the transition and mirror as many services as we could," Witt said. But employees hired in the future by Barnes & Noble will not enjoy the same benefits. Operational changes have been minimal since Barnes & Noble assumed management of The Book Store in July, Witt said. "They're taking the time to understand Penn and we're getting accustomed to Barnes & Noble's policies and procedures," she added. All staff members who left in the aftermath of the changeover were eligible for Penn's position discontinuation and staff training policy, unless they were hired by the University. "It's Penn's policy for what happens to you when you get laid off," Witt said. "It's a very good and competitive package." Under the PDST package, employees receive resume preparation courses, out- and in-placement services and pay continuation calculated based on the length of their employment at the University. The University entered into the contract with Barnes & Noble in hopes of earning large financial payoffs. Currently, The Book Store earns about $300,000 in profits each year. Barnes & Noble has guaranteed the University that its new superstore will bring in an annual income of at least $1.3 million for the next 15 years, according to Fry. A series of provisos in the contract also allows the University to enjoy a percentage of any revenue generated if sales exceed $15 million, Fry added. "The better the bookstore does, the better the University does," he said. The new superstore is slated to open in the fall of 1998, according to Vice President of Facilities Management Art Gravina, and ground-breaking for it will occur next spring or summer. University officials hope the new bookstore will "enliven Walnut Street," Fry said, adding that it could increase campus security by attracting people "out onto the streets later at night." According to Gravina, the superstore will take up half of the parking lot space at 36th and Walnut streets. "The Center City Barnes & Nobles will be teeny compared to this thing," Gravina said. "It will be a place to go and a place to be." Witt said she agreed. "I am really excited about it," she said. "It will bring a lot of vibrancy to campus."