Officials’ Salaries Hit New High as Members Sacrifice

September 19, 2008: Teamster members are hurting from rising prices and contracts that aren’t keeping pace.

A new report shows that top Teamster officials are making more than ever. Click here to see the complete salary data of our union's highest-paid officers.

Salaries and compensation for our union’s top officials are on the rise, according to a comprehensive analysis of Teamster financial documents and officer compensation by the Teamster Rank and File Education and Legal Defense Foundation (TRF).

The $150,000 Club has a hit a new high: in 2007, 98 Teamster officials received a salary of $150,000 or more. Here are some of the key findings:

• Thirty-seven Teamster officials in the $150,000 Club saw their salaries go up by $10,000 or more. The average raise for a member of the $150,000 Club was 5.6 percent.
• Many officials also get paid for vehicles, allowances, meals, and other expenses on top of their normal salary. Total compensation for the Club rose by seven percent—or $1.4 million total.
• Fifty-seven Teamster officials had total compensation of over $200,000 last year—a 33 percent increase. General President Hoffa was at the top of the pack, with his salary, housing allowance, and other disbursements totaling $413,234.
• Last year the International Union paid out multiple salaries to 196 Teamster officials. These officials took in over $9.9 million in multiple salaries, allowances, and reimbursements. That’s pretty good for a part-time job.

The great majority of Teamster officers and representatives make less than $100,000 a year.

There are many exceptions—and you’ll find them all here. In addition to the $150,000 Club we publish every Teamster official who made more than $110,000 in 2007.

We don’t play favorites. We list friends and foes for you to see.

Sacrifice Not for Everyone

Our top officials have negotiated contracts that don’t keep up with inflation—while they’re getting major increases.

This August, UPS Teamsters got a 35 cent raise—and no COLA.

Ken Hall, our union’s chief negotiator with Big Brown, saw his three salaries jump a total of $15,750—or an 8.4 percent increase. Hall’s total compensation jumped by 25 percent, or over $52,000. Hall’s total compensation: $258,867.

Carhaul Director Fred Zuckerman negotiated a deal that includes a two-year wage freeze. Members voted it down because it was riddled with concessions.

But there was no wage freeze for Zuckerman. Together his four salaries increased by $9,812. Total compensation: $248,570.

General President Hoffa got the single biggest raise: $77,577. His salary, expenses, “allowance” and “other disbursements” for 2007 total $413,234. General Secretary-Treasurer Tom Keegel bagged a big increase too.

Although Hoffa and Keegel’s salaries are set by the Teamster Constitution, and go up each year on a generous cost of living formula, they are dodging the limit set in the constitution by taking incredibly high “other disbursements.”

Twenty-two members of the Teamster General Executive Board made over $150,000 last year.

Missed Opportunities

When Hoffa first ran for Teamster General President, he promised to “cut and cap” officer salaries at $150,000.

If he had kept his word, that promise would have saved our union over $4.1 million last year alone.

The total cost of his broken promise is now over $24 million since he took office.

The number of Teamsters drawing multiple salaries from the International Union has ballooned from just 16 before Hoffa to 196 today—a 1,125 percent increase. Cutting those multiple salaries would have saved our union nearly $10 million last year.

Imagine what those savings could have done if they had gone to membership mobilization, education, and organizing instead.

Members Have Made a Difference

One member of the $150,000 Club won’t be back next year.

Last year former BLET President Don Hahs took home $251,457. Now he has to pay $44,000 back to the union after rail members uncovered Hahs spending their dues money to pay for basketball tickets, hotel room movies, and his wife’s travel.

For 29 years, TDU has published the facts to let members decide for themselves if our union’s financial priorities are on the right track.

In the 1980s, General President Jackie Presser’s salary was over $500,000. In today’s money that would be over $1 million.

Those days of such bloated excess are over—thanks to the hard work of the members who have built TDU and exposed the excesses.

TDU has published a salary and financial report each year, regardless of who is Teamster president. Membership knowledge is power.

TDU has fought to win specific reforms, including certain limits in the Teamster Constitution.

We won the Right to Vote for Teamster President and General Executive Board. And TDU is there to make sure Teamsters will have an alternative to another Hoffa slate in the next election for top Teamster officers.

These are tough times for our union. It’s up to Teamster members to make sure that we spread the sacrifice equally—and get our priorities on track.

Click here to see the complete salary data of our union's highest-paid officers.