TDU Will Post Proposed UPS Contract Tuesday

UPDATE, May 6, 2013: The information brownout will be lifted and the tentative agreement with UPS will finally see the light of day on Tuesday, May 7.

There will be a meeting for representatives from every local union to review the proposed tentative agreement on Tuesday, May 7.

Due to past legal victories, TDU will receive the tentative UPS contract and make it available to all members.

TDU has obtained more initial details on the UPS tentative agreement, including some information on wages, pensions and health benefits.

Click here to download an updated bulletin of the proposed contract details.

There will be a meeting for representatives from every local to review the proposed tentative agreement on May 7. Due to past legal victories, TDU will receive and make available to the members the national agreement and all supplements and riders at that time.

Wages: Wage increases are as follows.

$.70/hour on August 1, 2013

$.70/hour on August 1, 2014

$.70/hour on August 1, 2015

$.40/hour on August 1, 2016 and $.40/hour on Feb. 1, 2017

$.50/hour on August 1, 2017 and $.50/hour on Feb. 1, 2018

The progression has been increased from three-years to four-years so new full-timers will have to wait longer to reach full union scale.

The International Union has claimed a "substantial increase" in starting pay for part-timers. It will be $10 an hour in the tentative five-year deal, an amount that could again drop below minimum wage in some areas by August 2018.

Health Benefits: All members presently in the company-based health plan are being moved out, into the Central States Health and Welfare Fund or other funds. Benefits there are being enhanced to match current benefits.

Retiree Health Benefits: Members in company-based plans will face much larger payments for retiree health care. Instead of paying $50/month to cover a retiree and spouse, it will go to $100, then $200 and $300/month by the third year of the contract ($150 for a retiree alone).

Pensions: An important issue for UPSers in the Central and Southern Regions, and the Carolinas is a substantial increase in the IBT-UPS pension plan, where 44,000 full-time Teamsters receive the lowest retirement benefits in the country.

The 30-year pension in the IBT-UPS plan will reportedly go to $3,200/month in 2014, with a second increase to $3,400/month that does not take effect until 2017.

For all other Teamster funds, UPS will increase pension and Health and Welfare contributions by $1/hour more each year. With inflation, this is actually a savings to UPS of 10¢ an hour each year over the last contract.

Contract Language: As previously reported by TDU, the new agreement has language changes on harassment and excessive overtime.

Instead of 10,000 new full-time 22.3 jobs, the deal provides for 2,350 (500 in 2014, 500 in 2015, 1,350 in 2016). Will the 22.3 jobs the company has eliminated be restored? Technology, discipline over "dishonesty" and subcontracting are other critical areas where language needs to be carefully reviewed.

UPS Teamsters will get to review all language changes and vote separately on the national contract and their supplement (and in some cases a third vote on their local rider).

Almost all supplements have now been settled except the Louisville Air Rider, where members are asking for protection of bargaining unit work, ending unreasonable unpaid time going through airport security and shuttle bus to work areas, and protection of jobs and seniority rights.

TDU and Make UPS Deliver expect to post the national and all supplement changes sometime on Tuesday, May 7.

We urge all UPS Teamsters to carefully review the proposed agreements, attend local union contract meetings, ask questions, and cast an informed vote.

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