Are UPS Teamsters Headed to Central States Health Fund?

UPDATED April 12, 2013: Are UPS Teamsters presently in company plans heading for the Central States Health and Welfare Fund? That’s one proposal that UPS management has put on the table.

The International Union called a two-week break in negotiations to study this issue. So far, UPS Teamsters have only been told that management has proposed moving all UPS Teamsters into a union health and welfare plan.

Meanwhile, the Central States Health and Welfare Fund seems to be preparing to go national. The fund is even planning to drop the Central States name and perhaps rebrand itself as MyTEAMCare.  

UPS wants to get retiree healthcare costs off of its balance sheets because of legal accounting changes. But how would switching to the Central States Health Fund affect Teamster members?

There’s no word yet on that from the IBT. Bargaining resumes on April 15.

Unlike the Central States Pension Fund, the Health and Welfare Fund is in good financial shape. It has 19 months of reserves, which is considered very healthy.

UPS Teamsters who are currently in this plan pay no monthly premiums. UPS retirees in this fund pay $200 per month for retiree coverage and $400 for retiree-plus-spouse coverage. 

Switching UPS Teamsters into Teamster health plans may benefit members and our union. But UPSers have lots of questions, and they deserve answers.

Healthcare affects members and our families directly and personally. If major changes are in store for our health coverage, UPS Teamsters deserve full disclosure—all the facts and all the options—before any contract vote. 

Click here to see a summary of Central States healthcare coverage with co-pay and deductible information. The C-6 plan is the top coverage currently available to Teamsters in the Central Sates.



I sure hope that the union negotiating committee does not sell us short on retiree and health benefits. We need Article 34 language revised to include concrete language, not interpretation in paragraphs stating superceding which UPS RETIREMENT DEPT does not seem to comprehend. If company does not want to negotiate on these serious issues, the union should simply walk away from table until they do want to get serious. The ball is in our court now. If we do not solve these issues now, we never will. Let us only hope for a good contract in 2013. UPS can afford it.

I am in the Central States plan and the plan is horrible. The Union should fight to get all of us OUT of this plan as they loose claims mailed in, and constantly deny claims. One word for the Central States plan: HORRIBLE.

Don't let UPS sell you down the river as it has done to current retirees in the Central States Pension fund. UPS bought their way out of Central States knowing full well that this would mean the demise of the plan in the near future and now UPS is backing a plan to reduce pension payments to all members because the fund is in bad shape. I wonder why it's in bad shape? Don't let Hoffa sell you down the river with a sweetheart deal with UPS, UPS can afford to give current employees decent wages and benefits. Stick to your guns and remember Hoffa is looking out for number one and only number one!

I've always felt concerned having UPS control my healthcare benefits.  Yes, things are good now for UPS - but if UPS were to fall on hard times, you know our benefits would be the first to get cut.  We have great benefits and if Central States is going to match them, count me in.  Would rather have them doing it than the company

Yes UPS can afford it, but Ken Hall is a worthless liar cutting a deal with the company. I don't know about your hub, but I'm 100% sure my hub will vote it down. But then again I come from a very active hub. Let's hope the rest of the country is on board!

my local is small but feels the same way.  the only bad thing, is that the people counting the votes want the contract to pass.   enough said

This plan is not a good idea. It would release responsibility off UPS on managing and maintaining the stability of Teamster employees Healthcare plan. Research current Central States employees under this Healthcare plan....not good news for the future of UPS Teamster members. The "higher deductibles" and "Out of Pocket Limit" expenses are going to hit us hard!! Listen to current Central States participants and avoid this Healthcare proposal!!

Don't let UPS get away with this move!!!

Looks like we are caught between a rock and a hard place. We are not even puppets on a string, we are a kick can. It's either pay high cost premiums with UPS plan up front now, or pay them later with higher deductibles, copays and coinsurance with the Central States plan, or gamble with Obama Care. Our rubber raft is deflating and we're up shit creek without paddle.

I am a nurse and a wife of a UPS Employee..DO NOT GO TO CENTRAL STATES. Hospitals are viewing them and do NOT want them in their networks...STAY AWAY ...Also if the employer does not want to provide the current healthcare that they offer, they can pay the penalty and the employees can be offered to go into an "exchange" ....this is also not good. Many physicians are not going to accept patients in exchanges (like a form of Medicaid), many hospitals will not accept them,there will be LARGE premiums and out of pocket expenses and treatment guidelines.(It is part of Obama care and trust me--its NOT pretty for us..)..FIGHT FOR YOUR HEALTHCARE...FIGHT FOR YOUR PENSIONS....those are the 2 most important things at your job...stay at your current will be worth it in the long run....soooo many companies are selling out....fight for this....I see it first hand...Don't Lose..