UPS workers approve 5-year contract, capping contentious negotiations – Gist It

UPS workers approve 5-year contract, capping contentious negotiations

UPS workers have approved a five-year contract, ending contentious labor negotiations and avoiding potential disruptions to national package delivery services.

The big picture: The Teamsters union, representing 340,000 UPS workers, announced that 86% of votes were in favor of ratifying the new contract, marking the highest approval vote for a contract in the history of the Teamsters at UPS.
* The contract agreement will come into effect after the approval of the last remaining supplemental agreement in Florida.
* Teamsters General President Sean M. O’Brien called this agreement the most lucrative the Teamsters have ever negotiated at UPS.

Contract content: The new contract includes several allowances for UPS workers.
* Full- and part-time workers will receive a pay raise of $2.75 per hour in 2023, amounting to an additional $7.50 by the end of the five-year contract.
* Starting hourly pay has been raised to $21 for part-time employees.
* Driver-facing cameras in cabs will be removed and Martin Luther King Jr. Day will be recognized as a full holiday.

Implications: The successful negotiations avert potential disruptions to both small and large businesses that rely on UPS for package deliveries.
* A strike over the negotiations could have spiked shipping prices and disrupted supply chains.
* The company ships 24 million packages daily, comprising about a quarter of all U.S. parcel volume.

Responses: The deal has received applause from industry groups, labor leaders, President Joe Biden, and UPS CEO Carol Tomé.
* Carol Tomé referred to the agreement as a “win-win-win” for the Teamsters leadership, UPS employees, and the company and its customers.

View original article on NPR

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August 23, 2023

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