The UPS Contract By the Numbers

It's our contract. Get the facts on the proposed new five-year deal with UPS.

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 22.3s and drivers will have to wait longer to reach full union scale. The details are in Article 41.

The wage increases total $3.90. The wage increases in the 2008 contract totaled $4.00, which taking into account five years of inflation would now be $4.40.

Part-Time Wages

The International Union announced that part-time wages are going up by $1.50. But the real increase is only 50 cents.

That's because the $1 raise that you get after 90 days in the present contract has been eliminated. In the proposed contract, part-timers don’t get their first increase until the one-year mark.

The contract does not include any catch-up raises for part-timers, just the regular annual wage increases.

The chart below shows the difference.

        2008 Contract  

2013 Contract

             
Start   Preloader/Sorter   $9.50   $11
    All Others   $8.50   $10
             
Start +90 Days   Preloader/Sorter   $10.50   $11
    All Others   $9.50   $10
             
Start Plus One (1) Year   Preloader/Sorter   $11   $11.50
    All Others   $10   $10.50

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 with inferior 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).

In the West, where Teamsters have "maintenance of benefits" language to protect against health care cuts, any maintenance of benefits funding will come from reduced pension funding.

IBT-UPS Plan Pensions
Covers nearly 50,000 Teamsters in the Central and Southern Regions and the Carolinas

The 30-and-out benefit will go from $3,000 to $3,200 in 2014 and to $3400 in 2017. The 25-and-out and 25-at-57 benefits are frozen at $2,000 and $2,500/month. The annual accrual, presently $170, remains frozen for five years and will go up by $5 in 2018.

Click here to download this article as a leaflet.

<< Click here to go back to Complete UPS Contract Coverage.


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