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Precede SCOTTSDALE, Ariz.

January 21, 1986

PHOENIX, Ariz. (AP) _ Unionized workers at Greyhound Lines Inc. have rejected a proposed contract that would have frozen wages for four years and protected some jobs, a union member who had fought the pact said Monday night.

The contract was turned down by a vote of 4,600 to 3,202, said James Cushing-Murray of Los Angeles Local 1222 of the Amalgamated Council of Greyhound Local Unions.

The proposed contract had sparked a lawsuit by Cushing-Murray and dissident union members who alleged rank-and-file workers were misled about its impact.Hearings on the suit had been scheduled for Thursday in U.S. District Court in Phoenix.

Although the votes had been cast by mail late last year, the count had been stalled by the lawsuit until Monday.

Cushing-Murray, reached by telephone at the Scottsdale motel where he was staying, said after the vote was counted that his group would drop its suit.

A contract that had been scheduled to expire on Oct. 31, 1986, remains in effect, Cushing-Murray said. Union representatives will stay in Scottsdale a few more days to discuss bargaining strategy, he said.

In a statement issued after the vote count, Greyhound officials said the company ″will have to study the situation in light of the vote and take those actions which are necessary for the well-being of Greyhound Lines in the future.″

Company officials would wait for a month to reveal what actions they plan to take, Greyhound spokeswoman Dorothy Lorant said Monday night.

″Our immediate reaction is that the people have had the opportunity to vote on their own destiny, and that is important to us. It is positive that they considered the offer and had a chance to choose,″ the statement said.

Cushing-Murray said he was pleased that the workers turned down the proposed contract, and he said he was glad that the matter wouldn’t have to go to court.

″It’s not very often that one local union wants to sue its international,″ he said.

The proposed four-year contract would have been retroactive to Nov. 1, 1985, modifying a contract ratified after a bitter strike in 1983.

Opponents said the contract would have cost up to 7,600 union jobs.

Proponents argued that more jobs could be lost if the union rejects concessions. They say management has threatened to turn major routes over to non-union subsidiaries.

Greyhound Lines Inc., based in Phoenix, is the nation’s largest intercity bus carrier. It recently laid off one-sixth of its management staff because of declining ridership.

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