Allstate Agent Leads Bid To Unionize

By E.E. Mazier

NU Online News Service, April 23, 1:17 p.m. EST?A leader in the Allstate Insurance agents' association, who was recently dismissed by the company, announced he is leading an independent effort to unionize Allstate agents.

Allstate exclusive agents have no say when the company considers changing their contracts, said John B. Bryant, national board member of the National Association of Professional Allstate Agents, a Canton, Mich.-based group.

"It's a one-way street," he declared, adding that Allstate exclusive agents need "someone to look out for their interests, someone who can bargain with the company."

According to Mr. Bryant, an agent union is the solution that would lead to favorable changes. Among other things, unionization would permit issues such as compensation, quotas and termination procedures to be negotiated by management and professional negotiators.

"At this time, Allstate exclusive agents have no right to negotiate," Mr. Bryant noted. "The fate of thousands of agents is left up to senior Allstate managers, many of whom have never sold an Allstate policy," he said.

Mr. Bryant made the announcement through NAPAA. He also serves as legislative chair of the Coalition of Exclusive Agent Associations, a Baltimore-based organization.

Mr. Bryant learned that the Northbrook, Ill.-based company had terminated his contract in an abrupt fashion through a secondhand source.

On April 2, in the course of coping with a computer malfunction at his Hammond, La., J&B Bryant Agency office, a computer technician told him about an e-mail from Allstate stating that Mr. Bryant's contract of appointment had been terminated.

Later that day, a group of Allstate representatives accompanied by a security officer arrived at his office with an official termination letter, he said.

The letter stated that Mr. Bryant had failed "to maintain a professional and business-like relationship" with Allstate and that his agency had failed to meet Allstate's "business objectives."

The Allstate representatives had Mr. Bryant's telephone and computer systems removed from the office that same day, although a company spokesperson later stated that the termination was not effective until Aug. 1.

Allstate's rescission of the contract came just weeks after Mr. Bryant testified before a Maryland legislative committee on why he opposes insurer use of consumer credit scores. He has similarly testified in other states.

Allstate has denied that Mr. Bryant's anti-credit score activities motivated the termination.

NAPAA has specified that it is not associated with any union. But it invoked the First Amendment right to free speech while declaring that it reports to its members and Allstate agents at large on issues important to them, including unionization.

Mr. Bryant said that Allstate agents interested in more information about his unionization initiative can contact him at [email protected] or at (985) 429-1133.

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