Teamsters

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Teamsters Weekly Update, January 18, 2019

A-B Contract Proposal Raises Wages, Provides $4,000 Bonus, Protects Benefits Voting Information Will Be Mailed On Or About January 14: Later this month Anheuser-Busch Teamsters will be voting on a last, best and final five-year proposal with the company that raises wages, provides a $4,000 ratification bonus and protects members’ health, welfare and pension benefits, among other improvements.

Rabinowitz and Bugbee Appointed to Key Leadership Positions Division Leaders Have Decades of Experience Representing Members: International Brotherhood of Teamsters General President Jim Hoffa has appointed Jason Rabinowitz as director of the Teamsters Public Services Division and Nina Bugbee as director of a newly created Health Care Division and director of the Women’s Conference.

U.S. Supreme Court Rules Against Forced Arbitration: Today, the United States Supreme Court in the case New Prime Inc. v. Oliveira ruled that workers in the transportation industry cannot be forced to waive their rights through private arbitration agreements. Click here to read the ruling.

Port Truck Drivers Awarded Nearly $6 Million: Twenty-four California port truck drivers employed by NFI Industries/California Cartage, the largest goods movement operator at the twin ports of Los Angeles and Long Beach, have been awarded nearly $6 million by the California Labor Commissioner for wage theft due to misclassification as independent contractors.

Teamsters Applaud Bipartisan House Pension Reform Bill by Rep. Neal: The Teamsters are lauding the reintroduction of bipartisan pension reform legislation today that would bolster the solvency of multiemployer pensions covering some 1.5 million Americans that are currently facing an uncertain future.

Teamsters Joint Council 7 Endorses London Breed for Mayor Union Issues Early Endorsement for Breed, an Advocate for Workers: Teamsters Joint Council 7 has issued its early endorsement of Mayor London Breed for reelection.

Teamsters Reach Tentative Agreement for Southwest Airlines Material Specialists Agreement Raises Standards for Workers in the Airline Industry: “I would like to thank the committee for their hard work and dedication to bringing forward this industry-leading tentative agreement to the membership,” said Captain David Bourne, Director of the Teamsters Airline Division. “Our members are true aviation professionals, and this agreement will recognize them as such.”

Teamsters Ratify Contract at First Student of Sudbury, Mass. Contract Contains Substantial Benefit Increases for Workers: First Student drivers in Sudbury, Mass. represented by Teamsters Local 170 have voted overwhelmingly to ratify their first collective bargaining agreement.

Local 710 UPS Teamsters Successfully Ratify New Agreement: We had an increased voter turnout from previous contract votes, and we’re pleased to say that the members’ voices were heard. We thank everyone for participating by exercising your right to vote as hardworking union brothers and sisters – You successfully showed UPS the strength of our Union, and that strength means everything as we enforce this contract and when we sit down to negotiate the next one.

YRC Negotiations Resume, Continued Progress Reported: The parties met for full days over the course of the week and discussed a wide variety of issues. TNFINC secured a tentative agreement with improvements on a number of items such as equipment, safety, stewards and work opportunities.

Teamsters Costco Bargaining Update, January 10, 2019: Your National Negotiating Committee concluded bargaining this week following three days of meetings in Seattle. The committee has successfully resolved a majority of language items and anticipates moving into economics next week. There are several language items that still need to be addressed but the committee remains hopeful that it will conclude bargaining with Costco next week.

 

NEWS ARTICLES

A-B Contract Proposal Raises Wages, Provides $4,000 Bonus, Protects Benefits Voting Information Will Be Mailed On Or About January 14: Later this month Anheuser-Busch Teamsters will be voting on a last, best and final five-year proposal with the company that raises wages, provides a $4,000 ratification bonus and protects members’ health, welfare and pension benefits, among other improvements. After clarifying the proposal with the company last month, the Teamsters National Bargaining Committee, made up of local union leaders from across the country, unanimously recommended ratification. “The committee strongly believes that this proposal will provide continued security for our 4,400 members employed at 12 Anheuser-Busch breweries nationwide,” said Greg Nowak, Director of the Brewery and Soft Drink Workers Conference. “The committee worked hard to address our members’ priorities, and we believe this proposal delivers for our members and their families.” Here are just some of the highlights (for more details, see below):
Wage Increases: 25 cents/hour in year one, 55 cents/hour in year two, 55 cents/hour in year three, 55 cents/hour in year four and 60 cents/hour in year five for all regular employees, apprentices, probationary employees and weekenders. The 2019 wage increase shall be retroactive to January 1, 2019, provided that the master and all plant agreements are ratified on the first vote.
Ratification Bonus: $4,000 to all regular employees, apprentices and probationary employees. Please see inside for more details.
Pensions Increases - Defined Contribution and Western Conference Plans: 10 cents/hour in year one, 10 cents/hour in year two, 10 cents/hour in year three, 10 cents/hour in year four and 10 cents/hour in year five. Pensions Multiplier Increases - Defined Benefit Plans: $3 in year one, $1 in year two, $2 in year three, $2 in year four and $2 in year five.
Pension – Merrimack, NH Brewery: The company will continue to participate in the New England Teamsters and Trucking Industry Pension Fund as follows: The company contribution rate during the term of the collective bargaining agreement shall be in accordance with the Reentry Agreement and shall remain at $6.60 per hour, up to a maximum of $264.00 per week, for each covered employee. The company will increase its hourly contribution up to a maximum of $.10 per hour in contract years four and five, but only to the extent necessary to avoid triggering benefit reductions as outlined in the Reentry Agreement.
Health and Welfare: Actives – No changes to current plan design. (see employer contribution information below). The vote will be by secret ballot as it always has been, but this time you will vote via the Internet or phone (detailed voting information will be mailed to you) through the BallotPoint Election Services voting system. All members will receive a standard ballot packet in the mail. But instead of a paper ballot that needs to be mailed, each member will receive an individual access code and simple instructions on how to use the access code to vote by telephone or online. BallotPoint has specialized in electronic balloting and polling since 1999. Their system is secure and protects the secrecy of each member’s vote. In other words, no one will know how you voted! The Teamsters Union has used BallotPoint extensively over the past four years to conduct contract ratifications. All of the ratifications were conducted without incident or challenges.
A-B SUMMARY OF NATIONAL CHANGES (12-15-18) While the contractual language of the final offer is being finalized, the members employed by Anheuser-Busch should be informed promptly of the major changes resulting from the national negotiations. The final language will be submitted soon for review and membership ratification.
Term of Agreement: Five (5) years, commencing on March 1, 2019 and expiring on February 28, 2024.
Wage Increases: 25 cents/hour in year one, 55 cents/hour in year two, 55 cents/hour in year three, 55 cents/hour in year four and 60 cents/hour in year five for all regular employees, apprentices, probationary employees and weekenders. The 2019 wage increase shall be retroactive to January 1, 2019, provided that the master and all plant agreements are ratified on the first vote.

Ratification Bonus: The Company will make a $4,000 ratification bonus payment to each full-time, active employee (Regulars, Apprentices and Probationary hired on or prior to 1/01/19) on the condition that both the Proposed National Master and their Local Supplement are ratified on the initial vote and such results are communicated to the Company by the date agreed upon by the parties.
If the Proposed National Agreement is not accepted or is not ratified in accordance with the agreement of the parties and that schedule, the terms and conditions of the Proposed National Agreement are deemed rejected and withdrawn. A rejection of a Local Supplement shall be deemed a rejection of the terms and conditions of that Local Supplement only, and shall result in the withdrawal by the Company of the terms and conditions of that Local Supplement and the ratification bonus as to the members of that Local.
Annual Bonus Program: Beginning in 2020, bonus target values change to a quarterly payout.
2020: $750 target value per quarter
2021: $1,000 target value per quarter
2022: $1,000 target value per quarter
2023: $1,000 target value per quarter
Pensions Increases - Defined Contribution and Western Conference Plans: 10 cents/hour in year one, 10 cents/hour in year two, 10 cents/hour in year three, 10 cents/hour in year four and 10 cents/hour in year five.
Pensions Multiplier Increases - Defined Benefit Plans: $3 in year one, $1 in year two, $2 in year three, $2 in year four and $2 in year five.
Pension – Merrimack, NH Brewery: The company will continue to participate in the New England Teamsters and Trucking Industry Pension Fund as follows:
The company contribution rate during the term of the collective bargaining agreement shall be in accordance with the Reentry Agreement and shall remain at $6.60 per hour, up to a maximum of $264.00 per week, for each covered employee.
The company will increase its hourly contribution up to a maximum of $.10 per hour in contract years four and five, but only to the extent necessary to avoid triggering benefit reductions as outlined in the Reentry Agreement.
Wage to Fringe
The union and the company agree that a union local, on behalf of a bargaining unit and on a one time non-precedent setting basis during the term of this collective bargaining agreement, may request to allocate ten cents (.10) per hour of its annual general wage increase toward the cost of a fringe or other benefit. The economic value will be based on the type of benefit to which the ten cents (.10) per hour of general wage increase is allocated. The company will approve union local requests based on the parameters discussed in bargaining including but not limited to considering the type of benefit to which the ten cents (.10) per hour value is requested to be applied. Notification to the company must occur no later than ninety (90) days following ratification of the terms of the Tentative Agreement including which year during the term of the contract in which the local union is requesting to allocate ten cents (.10) per hour of its annual general wage increase toward the cost of a fringe or other benefit.

Health and Welfare:
Actives – No changes to current plan design.
Employer Contributions
2019: $19,216
2020: $19,216
2021: $19,216
2022: $19,216
2023: $19,985
2024: $20,784

Welfare
Employer Contributions
2019: $1,336
2020: $1,336
2021: $1,336
2022: $1,336
2023: $1,389
2024: $1,445
Buy-up option for life insurance. Paid by the member through payroll deduction
New Hires as of 3/1/2019 – High Deductible/HSA Plan
Employer Contributions
2019: $12,500
2020: $13,000
2021: $13,500
2022: $14,061
2023: $14,623
2024: $15,208

Welfare
Employer Contributions
2019: $1,336
2020: $1,363
2021: $1,390
2022: $1,418
2023: $1,446
2024: $1,475

Pre-65 Retirees

Currently, these retirees' cost share of the benefit is 25% which was achieved through the plan design, i.e., copays. Commencing January 1, 2020, and each year of the contract thereafter, annual plan modifications will be made to achieve an additional 5% per year cost shift to retirees. This will be achieved through a combination of plan design changes and retiree contributions.
The current $50 per month contribution paid by pre-65 dependents of post-65 retirees will no longer be required.
Allegiant Care will now administer the pre-65 plan.
Post-65 Retirees
Any full-time employee who retires on or before March 31, 2019, and who, as of the date of retirement, meets the qualifications for the post-65 retiree annual payment; and any current post-65 retiree and pre-65 retiree upon reaching eligibility for post-65 coverage shall be entitled to the $1,300 annual stipend for the 10-year guaranteed period. For all others, the annual payment ends on December 31, 2029.
Non-Economic
All 12 breweries will use the same overtime scheduling and charging procedures.
Pre-payment of sick days is eliminated. Sick days will be paid at the time used.
Hair testing is eliminated during a random drug test.
Testing for marijuana is eliminated during a random drug test.
Bump cap policy will be suspended during periods of excessive heat.
Memorandum of Understanding regarding the commitment to keep all breweries open renewed for the term of the agreement.
January 16 Conference Call A national conference call—where members can learn the latest information—is scheduled at 8 p.m. (Eastern time) on Wednesday, January 16. To join the call, dial 866-767-0669.
Voting information will be mailed to members on or about January 14 and votes will be counted on or about January 28. Download the PDF Version

Rabinowitz and Bugbee Appointed to Key Leadership Positions Division Leaders Have Decades of Experience Representing Members: (WASHINGTON) – International Brotherhood of Teamsters General President Jim Hoffa has appointed Jason Rabinowitz as director of the Teamsters Public Services Division and Nina Bugbee as director of a newly created Health Care Division and director of the Women’s Conference.
Rabinowitz and Bugbee have decades of experience representing members and protecting workers’ rights.
Rabinowitz is Secretary-Treasurer of Local 2010 in Oakland, Calif. Local 2010 represents 14,000 members throughout the University of California and California State University systems. Under his leadership, the local created an effective stewards program, conducted a powerful contract campaign culminating in successful strikes, won strong contracts and organized thousands of new members. Rabinowitz will continue in his position as Secretary-Treasurer of Local 2010.
Nina Bugbee is President of Local 332 in Flint, Mich. Bugbee became a Teamster member while working as a licensed registered nurse, and moved on to become a shop steward, business agent, and principal officer of the local, which represents about 3,000 members.
“Jason and Nina are tremendous union leaders who will serve the members well,” Hoffa said. “I look forward to working with them closely to organize new members, negotiate strong contracts and represent members in the workplace.”

U.S. Supreme Court Rules Against Forced Arbitration Teamsters Call Ruling a Great Victory for Workers in the Transportation Industry: (PORT OF LOS ANGELES/LONG BEACH, Calif.) – Today, the United States Supreme Court in the case New Prime Inc. v. Oliveira ruled that workers in the transportation industry cannot be forced to waive their rights through private arbitration agreements. Click here to read the ruling.
“This is a great victory for all workers in the transportation industry, including employees, legitimate independent contractors, and drivers misclassified as independent contractors who are suffering egregious wage theft,” said Fred Potter, Teamsters International Vice President At Large and Director of the Teamsters Port Division. “Although we have consistently challenged employers’ attempts to compel private arbitration to avoid a public legal battle, the U.S. Supreme Court ruling makes it clear that employers cannot and should not require drivers to waive their right to their day in court through binding arbitration agreements.”
Click here for background on port truck drivers’ fight for justice at America’s largest seaport.
Justice for Port Drivers: With the dedicated support from the International Brotherhood of Teamsters, plus many other labor, community, and faith allies, we are fighting to change the port trucking industry so we can win justice for ourselves and our families. More than 75,000 strong, we haul our country’s imports and exports for retail companies, for manufacturers, and for the U.S. Military. We are proud to be professional truck drivers and proud of the service we provide. Without us, America would stop.

Port Truck Drivers Awarded Nearly $6 Million Drivers’ Manager Held Personally Responsible For Wage Theft Due to Misclassification as Independent Contractors(PORT OF LOS ANGELES/LONG BEACH, Calif.) – Twenty-four California port truck drivers employed by NFI Industries/California Cartage, the largest goods movement operator at the twin ports of Los Angeles and Long Beach, have been awarded nearly $6 million by the California Labor Commissioner for wage theft due to misclassification as independent contractors.
In an unprecedented decision, the Labor Commissioner issued individual joint liability against the general manager at NFI’s California Cartage Express who oversaw and directed the day-to-day work, and misclassification of, the drivers at that company. Click here to read:
Summary of the Labor Commissioner’s decisions;
CA Labor Commissioner’s Order, Decision, and Awards;
Fact sheet on NFI/California Cartage history of lawlessness at the Ports of LA/Long Beach.
These cases mark the first time that the individual liability provision of California Senate Bill 588 (Labor Code Section 558.1) has been applied in port trucking.
SB 588, among other things, "reduces the aading the way on ending wage theft through misclassification. SB 588 holds the boss accountable, and SB 1402 holds the customers accountable. Further, the Los Angeles City Attorney has sued three NFI/Cal Cartage companies for wage theft abuse of our corporate laws. Businesses can no longer use layers of subcontracts and unclear reporting relationships to deliberately make enforcing labor laws difficult. Additionally, individuals involved in wage theft will now be held accountable." Source: UCLA Labor Center, Oct. 13, 2015.

So in California, the gig is up. California is lend unfair competition, and the Los Angeles City Council overrode the LA Harbor Commission by refusing to give a lease to NFI on property owned by the Port of Los Angeles due to strikes and disruption caused by workers protesting their misclassification (as of this release, the company is continuing to operate without a lease on port property).
NFI/California Cartage, based in Wilmington, Calif., is one of the largest goods movement companies in America, with warehouses and port trucking operations across the U.S.  In 2018, the California Cartage family of companies was acquired by the New Jersey-based National Freight Industries (NFI). Previous to this acquisition, Cal Cartage was owned and managed by Robert Curry, Sr., and his family. NFI/Cal Cartage represents the largest trucking operation at the Ports of Los Angeles and Long Beach by a wide margin. 
Port drivers are working together with the Teamsters Union and other labor, community and faith allies to fight for change in the port trucking industry. More than 75,000 strong, port drivers haul imports and exports, keeping the American economy running.

Teamsters Applaud Bipartisan House Pension Reform Bill by Rep. Neal Legislation Would Protect Retirements of 1.5M Americans Currently in Jeopardy: (WASHINGTON) – The Teamsters are lauding the reintroduction of bipartisan pension reform legislation today that would bolster the solvency of multiemployer pensions covering some 1.5 million Americans that are currently facing an uncertain future.
The Rehabilitation of Multiemployer Pensions Act, offered by Rep. Richard Neal (D-Mass.), was first introduced in Congress in November 2017 by Rep. Neal. A Senate version of the bill, called the Butch Lewis Act, was sponsored by Sen. Sherrod Brown (D-Ohio) during the last Congress. The measure has five Democratic and five Republican co-sponsors.
“With the new Congress now seated in Washington, the Teamsters want to let lawmakers know it is time to work together across party lines to secure the hard-earned retirements of retirees and workers,” Teamsters General President Jim Hoffa said. “These hardworking Americans deserve to receive the benefits they were promised.”
As it stands, there are more than 300 multiemployer plans across the country — including the Teamsters’ Central States Pension Fund — that are in danger of failing. The Teamsters have been fighting for years for a legislative solution and have worked with lawmakers on both sides of the aisle to do so.
The measure would boost financially troubled multiemployer pensions so they don’t fail. It would create a new agency under the U.S. Treasury Department that would sell bonds in the open market to large investors such as financial firms. Those proceeds would then be used to bolster faltering pension plans a part of a 30-year loan program.

Teamsters Joint Council 7 Endorses London Breed for Mayor Union Issues Early Endorsement for Breed, an Advocate for Workers: (SAN FRANCISCO) –– Teamsters Joint Council 7 has issued its early endorsement of Mayor London Breed for reelection.
Breed has worked tirelessly to advocate for working people as mayor of San Francisco and throughout her career. She has demonstrated her commitment to workers, marshalling the resources of the city and county of San Francisco to assist the 270 Teamster members who work as drivers for Chariot. Chariot, owned by Ford Motor Company, recently announced that it will cease operations by March.
Breed has announced a training program to accelerate the transition of Chariot drivers into other driving positions in the city. The drivers will have access to a free training program to prepare for the Class B commercial drivers’ test to be able to apply for bus driver positions, including for Muni.
Breed is currently leading an effort for San Francisco to adopt a citywide project labor agreement, which would cover Teamsters in the construction industry and other construction workers.
The mayor grew up recognizing the importance of unions. She was able to attend college with the support of her uncle Chuck Davis, a Teamster official, and his wife, Linda, also a Teamster member. Breed is the first African American woman and second woman overall to be elected mayor of San Francisco.
Breed received the endorsement of Teamsters Joint Council 7 in her first campaign for mayor in the city’s special election. Breed won that election in June 2018, and in her short time in office has proven her commitment to the city’s diverse residents.
Teamsters Joint Council 7 represents 100,000 working men and women in 22 local unions in Northern California, the Central Valley and Northern Nevada.

Teamsters Reach Tentative Agreement for Southwest Airlines Material Specialists Agreement Raises Standards for Workers in the Airline Industry: (DALLAS) – The Teamsters have reached a tentative agreement with Southwest Airlines on behalf of members who work as material specialists for the commercial carrier. The nearly 300 material specialists at Southwest oversee the company’s technical operation inventory management across the network.
“I would like to thank the committee for their hard work and dedication to bringing forward this industry-leading tentative agreement to the membership,” said Captain David Bourne, Director of the Teamsters Airline Division. “Our members are true aviation professionals, and this agreement will recognize them as such.”
The Southwest material specialists are members of Teamsters Locals 986, 104, 781, 19, 769 and 210. The agreement contains a number of significant improvements in wages and benefits.

Teamsters Ratify Contract at First Student of Sudbury, Mass. Contract Contains Substantial Benefit Increases for Workers: (SUDBURY, Mass.) – First Student drivers in Sudbury, Mass. represented by Teamsters Local 170 have voted overwhelmingly to ratify their first collective bargaining agreement.
“These workers heard about the benefits of Teamster membership at First Student, they went through the process of organizing, and their hard work at the negotiating table paid off,” Local 170 Secretary-Treasurer Shannon George said. “I’d like to thank Business Agents Jim Marks and Ken Bergen for all of their hard work on negotiating this agreement.”
The contract includes a number of substantial benefits, including initial wage increases of at least 7.6 percent and a total wage increase of 18.8 percent over the lifetime of the contract. It also includes an increase in the percentage of health care costs covered by the company, an increase in the minimum guaranteed paid hours per day and an increase in both holidays and company buyback of sick time.   
Paulette Civitarese has been a driver at First Student Sudbury, Mass. since 1999. She said that she learned a lot during the process and she has a lot of respect for her fellow Teamsters.
“I’ve never been in a union; I didn’t know what to expect, but just sitting with them in negotiations, it stuck out in my mind that these are great, passionate, powerful members,” Civitarese said. “This contract is very strong and it will help us retain drivers. I would love to do this again, only now with the knowledge I have gained from these negotiations.”
International Vice President Rick Middleton added his congratulations to the Teamster members.
“On behalf of the Teamsters Passenger Transportation Division and the more than 50,000 members we represent, I want congratulate Local 170 and its committed members for negotiating such a strong contract,” Middleton said. “We continue to grow our membership and our power nationwide because of the industry-leading contracts we negotiate for our members.”

Local 710 UPS Teamsters Successfully Ratify New Agreement: Congratulations to our Local 710 UPS members: You have successfully ratified your new contract!
We had an increased voter turnout from previous contract votes, and we’re pleased to say that the members’ voices were heard. We thank everyone for participating by exercising your right to vote as hardworking union brothers and sisters – You successfully showed UPS the strength of our Union, and that strength means everything as we enforce this contract and when we sit down to negotiate the next one.
We could not have achieved such a strong contract without the determination and solidarity of your Bargaining Committee. Each member of the Committee worked diligently to ensure the members’ voices were heard at the table so that you could vote on a contract of which you can be proud. This ratification solidifies our success as a Union.
Your contract passed by 66.57% with 41.8% of the eligible members voting. Your contract is in effect from August 1, 2018 through July 31, 2023. Monetary improvements are retroactive to August 1, 2018, and members will receive backpay in a timely fashion.
Again, we thank everyone for participating in this contract vote and encouraging your fellow brothers and sisters to vote. We look forward to the next round of negotiations in a few years! Fraternally, Your Teamsters Local 710 Leadership

YRC Negotiations Resume, Continued Progress Reported: The Teamsters National Freight Industry Negotiating Committee (TNFINC) met this week to continue negotiations for a new National Master Freight Agreement covering YRC Freight, Holland and New Penn.
The parties met for full days over the course of the week and discussed a wide variety of issues. TNFINC secured a tentative agreement with improvements on a number of items such as equipment, safety, stewards and work opportunities.
TNFINC Co-Chair Ernie Soehl stated: “We continued making progress for the members and resolved a number of national non-economic items. Obviously we will still need to tackle the difficult economic issues, but at least so far I am encouraged by the progress.” Negotiations are scheduled to resume later in the month.”

Teamsters Costco Bargaining Update, January 10, 2019: Your National Negotiating Committee concluded bargaining this week following three days of meetings in Seattle. The committee has successfully resolved a majority of language items and anticipates moving into economics next week. There are several language items that still need to be addressed but the committee remains hopeful that it will conclude bargaining with Costco next week.
Further updates will be forthcoming. *IMPORTANT: If you have changed locations, make sure you change your address with Costco’s HR department in the ESS system.

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