Summary of Key Language in the Proposed Carhaul Contract
July 2, 2008: Below are key details of the concessions that are in the proposed carhaul contract.
Click here to read the proposed contract and supplements.
Click here to download this summary as a bulletin you can post and distribute to other members.
Job Security
There is no more equalization of loads in the Central-Southern. It is completely eliminated. Article 48 is gutted. Locals will be played against one another for work.
When work is slow, drivers can be relocated to any other terminal—with no option to take a layoff instead. If you decline, you are out of work but not laid off.
This change will gut the 20% per day rule because the carriers will be able to use this language to avoid having any laid off employees. [Article 48 (Central Southern); Article 42 (Eastern)]
Sweetheart Deals
Locals would be free to negotiate lower mileage rates than provided in the contract. This is an invitation for locals to cut sweetheart deals to gain work at one terminal at the expense of others. (Article 2.7)
ABC Dispatch
The A-B-C dispatch protection would be eliminated. You better pack a big suitcase because you can be forced out for five tours. [Article 48 (Central-Southern) or Article 42 (Eastern)]
Cut Rates for “New Business”
In Article 22, all “New Business” would be paid on the running mile, even if the new business is the long leg. And it will be easier for the employer to designate “New Business” because the clause that stated it could not be business previously hauled union during the life of this agreement is eliminated. A carrier could put traffic on the rail for one year, then it becomes “New Business” and running mile.
Economic Concessions
Wages: First two years, wage freeze. Third year, 40¢ per hr (1¢ running mile, 2¢ loaded mile).
Wage Progression: If you hire at a different carrier, you would not receive full wages. Instead, you start at 85% of scale, 90% after one year, 95% after two years, and three years to reach union scale. (For non-CDL qualified employees, start at 70%, then 75% then 85%.)
COLA: No cost of living increase in 2009.
Benefits: Instead of the $1 per year benefits (H&W plus pension) that are in the freight, DHL and UPS contracts, benefit payments are 87.5¢-90¢-95¢. This will be enough to keep us in the same health plans, but will slightly reduce our pension accrual.
Allied Concessions Continue
Allied’s 17.5% wage cut continues for two years. At that time, the concession agreement states that the parties will meet to negotiate a transition back to the contract.
Carhaul Director Fred Zuckerman promises he will negotiate a full and complete return to union scale after two years, in contradiction to the plain language of Allied’s concession deal.
A two-year contract would put us all on the same page at that time.





