Partnership for the Future - Teamsters Local 25

6867_Local25_Fall07.qxp 12/14/07 11:09 AM Page 9General President Jim Hoffa, who served as co-chairman ofthe national negotiating committee. “This committee stayedunited and focused and got the job done.”“We launched early negotiations for the national contracta year ago after members made it clear that they wanted theunion to focus on their pensions and health care for retireesand active workers,” said Ken Hall, Director of the TeamstersParcel and Small Package Division, who also was co-chairmanof the committee and lead negotiator. “This tentativeagreement provides unprecedented funding by UPS for pensionsand members’ health care.”fears that my members had,” Lichtenwald said.Ken Wood, President of Local 79 in Tampa, Florida, saidhis members clearly wanted pensions addressed more thanany other issue.“I feel very confident that when the votes are in, ourmembers will show us that they think we did exactly whatthey wanted us to do—address long-term pension issues,”Wood said. “This took a lot of hard work, but it paid off.This is an excellent package.”Leaders Agree“Without a doubt, this is one of the finest national UPSagreements,” said Chuck Mack, President of Local 70 inOakland, California. “Thanks to the patience and hardwork of Ken Hall and other committee members, we haveensured that every member’s voice has been heard throughoutthe negotiations.”The agreement allows UPS to withdraw from theCentral States Pension Fund and creates a jointly-administeredpension fund for affected members. UPS will make apre-tax $6.1 billion payment to the Central States Plan andwill also fully fund the new Plan.Bill Lichtenwald, President of Local 20 in Toledo, Ohio,whose members are in the Central States Plan, said thenegotiating committee kept its mission in sight during thepast year.“This agreement eases all the health, welfare and pensionNational ContractContains Major GainsThe five-year contract addresses several major issues:Unprecedented pension and health and welfare contributionincreases. UPS will contribute an additional $5 perhour into all pension and health and welfare plans, a $1per hour increase each year starting on August 1, 2008.UPS will withdraw from the Central States Pension Fundand create a jointly-administered pension fund for affectedmembers. UPS will make a pre-tax $6.1 billion paymentto the Central States Plan and fully fund the new plan andwill restore all Central States pension benefits that weremodified in 2003.Part-time health care improvements. Current part-timeemployees in union health and welfare plans will remainin those plans. All current part-time employees in UPShealth plans, and CSI employees in a company healthplan, will go to one single plan for health insurance, whichhas a prescription drug card. For part-time employees“Sean did it again, by serving on the nationalnegotiating team he delivered a great contractfor the members of Local 25. This agreementis wonderful for all UPS members.”-Ron Stokes, Steward at UPS in So. Bostonhired after August 1, 2008, who are in company healthplans, health insurance will begin after 12 months anddependent coverage after 18 months.Wages. There will be increases of 70 cents, 75 cents, 75cents, 85 cents and 95 cents in the five years the contractcovers. Package driver start rates go up to $16.10 (from$14.70). Part-timers will receive the same general wageincreases as full time employees, and new part-time hireswill receive a $1 per hour increase after 90-calendar daysof employment (up from 50 cents).Average benefit/wage increases. The five-year agreementcontains average annual wage and benefit increasesof $1.80 per hour each year. This compares with $1.46per hour in the 2002 contract and 98 cents per hour eachyear in the 1997 contract.www.teamsterslocal25.com | FALL 2007 | The SPOKESMAN | 7