UPS Freight Bargaining Update

UPS Freight Teamsters are under the same information Brownout as UPS parcel teamsters.

Several bargaining sessions were held in October and November, but our union has yet to issue any updates or post information that would help unify our workforce to stand together for a good contract.

Teamsters for a Democratic Union and UPS Freight Talk have learned that management has made a proposal to mingle the road operations of UPS Freight, Parcel and Cartage. We know well they want to subcontract out our road jobs, and need to get firm protections to bring back Teamster jobs.

When UPS Freight Teamsters were asked to join our union, the slogan was "One Company, One Union." We need that to be the reality of what's achieved in these negotiations. Any UPS operation involving the moving of freight needs to be Teamster. That stance and bargaining victory would go a long, long way to restoring union power for our members.

UPS Freight Profit Grows

UPS reported that the Supply Chain and Freight segment remained strong, with an operating margin of 8.3%.

The International freight forwarding unit was slightly down, that was more than offset by gains at UPS Freight.

UPS Freight revenue increased 3.6% as shipments per day were up slightly. LTL revenue per hundred weight and gross weight hauled improved over the prior year period, resulting in operating margin expansion.

You can see UPS's quarterly financial report here.

UPS Freight Bargaining Recesses until November 12

October 22, 2012: The union's bargaining committee will resume bargaining with UPS Freight management November 12-16, in Washington D.C.

After bargaining last week, the International union issued a press released which quoted union bargaining chair Ken Hall as saying that "a lot of progress" was made at the table.

At a meeting with officers of all affected locals on September 21, Hall stated that UPS Freight has not been profitable, so he would keep union demands modest. In fact, UPS's own financial reports for 2011 and mid-year 2012 reflect the fact that they are happy with UPS Freight's growth and profitability.

UPS Freight Teamsters are building a network of members to have a voice in bargaining. Leave a comment to have your say. Click here to sign up for email updates.

You can review the contract proposals which the union submitted to the company here.

UPS Freight Union Proposals Available

The IBT has put initial demands on the table for the UPS Freight Contract. Teamsters for a Democratic Union is making the union proposals available here for members to review and discuss. This is your contract.

An IBT press release stated that Parcel Division Director Ken Hall would make ending subcontracting of Teamster work a priority.

The initial proposal from the union has a number of positive proposals, but leaves out some important issues. They will need to be addressed in later additions to the union demands.

For example, Article 41 (existing work practices) is not mentioned. No substantial changes to the grievance procedure are proposed: no penalty pay, no proposals to speed up the procedure, etc.

On subcontracting, the proposal is to delete the second paragraph of Article 44; that paragraph undermines the protection against subcontracting.

On Casuals, there is language that if 30 8-hour shifts (or back-to-back 4 hour shifts) are worked in 60 days, the company must hire a full timer. That's a good start, but more is needed.

Proposals on Article 25, which covers our benefits and economics, will come later.

The UPS Freight contract doesn't expire until August 1, 2013. Management wants an early deal to remove any threat of a work stoppage or last-minute contract rejection. In return, our union and members have every right to demand a strong contract.

We only get the chance to bargain a contract every five years. We need to make the most of this opportunity to address the many problems we face at UPS Freight.

Members are encouraged to review the packet of proposals submitted so far—and give their feedback. The union has the right to make additions, deletions or modifications to its demands. The time to speak up is now.

TDU will continue to keep members informed. Click here to sign up for contract updates or to send a message to TDU's UPS Freight Talk network.

UPS Freight Bargaining to Open

Officers from UPS Freight locals met in Chicago today to review the union's bargaining demands for the negotiations, which formally open on September 27.

Small Package Division director Ken Hall gave a report and went over the demands, at a meeting that lasted an hour. It followed a similar meeting on the UPS contract.

Hall stated that UPS Freight has not been profitable, so he would keep union demands modest.

In fact, UPS's own financial reports for 2011 and mid-year 2012 reflect the fact that they are happy with UPS Freight's growth and profitability.

On the critical issue of subcontracting out union jobs, the union is demanding that the second paragraph in Article 44 be deleted, as it contradicts the anti-subcontracting language of the first paragraph.

Hall stated the order of priority for monetary issues would be 1) pensions, 2) health care, and 3) wages.

There were several questions and concerns raised about the proposals from the floor, then a motion was made to end the meeting. Some officers later told us they believe that on issues of subcontracting, use of casuals, bidding, and other operational issues, the demands could benefit by taking good language from the freight contract.

The union officers were not allowed to keep copies of the union proposals. Hall stated this was because TDU would make them available to members before he has a chance to hand them to management next week. He stated they would be provided to all locals at that time.

UPS Freight Teamsters are building a network of members to have a voice in bargaining. We want to hear from you! Post a comment to have your say. Click here to sign up for email updates.

UPS Freight Teamsters Discuss Contract

Negotiations for the next UPS Freight contract are set to commence in late September. When the contract was signed in 2008, we were told it was only a first contract, and the big issues would be dealt with next time.

Now is the time!

Negotiations are set to begin this fall. Most locals have held meetings to gather member proposals. That's a start, but the key is to build rank and file unity behind some key issues.

TDU members and other concerned Teamsters at UPS Freight have been meeting by conference call. We established this website for members to exchange information and develop a plan for winning a better contract.

Here are some of the key areas of the contract that members agree need to be addressed. This is not a complete list, but some key issues that need to be dealt with in this contract.

Subcontracting
Eliminate contractors taking Teamster work. We need language and penalties that lead to more union jobs. The language from the NMFA could be a model.

Pension and Health and Welfare
Join the United Parcel Service Health & Welfare and Pension plans, or match the benefit level. Same benefits for all UPS Teamsters, no matter what division.

Grievance Procedure
Establish clear timelines and deadlines for the resolution of grievances.

Seniority
The probationary period for all job classifications should be 30 work days. Eliminate the "casual" job classification and board.

Layoffs and Jobs
Create a "trigger" or formula for overall overtime hours that shall lead to recall or hiring. It protects full-time jobs and will protect against the abusive use of contractors.

Existing Practices—Work Rules
Negotiate them. Get them established as proposed supplements or riders prior to ratification vote. Separate vote on supplement or rider.

Vacation
Improve the schedule. 1-3 years = 10 days. 4-7 years = 15 days. 8-15 years = 20 days. 16-30+ years = 25 days. No blackout weeks for vacations. 15 percent of seniority board may be off a week. Increase discretionary or sick days and personal holidays.

Wages
Following ratification, those currently in progression immediately go to top rate. Substantial hourly and OTR wage increases.

Click here to download these issues as a leaflet and spread the word to other members.


Subcontracting Takes Our Work

Josh Barber
Local 222, Salt Lake City

In Salt Lake City, the main issue for the road is subcontracting. We have several contract carriers that run more regularly than our Teamster drivers. They run trips to Reno, and Fontana, Calif. Sometimes they pull our trailers loaded and empty, like AV Carriers who run east and then back through Denver.

We have 72 road drivers and four are currently on layoff. Because of the bid runs available, we have several "one trip Omaha" which is 1,800 team miles and takes about 30 hours. That leaves all the drivers on that bid on the extra board before and after their one trip.

Most of us just want some regularity to our work and to move all the work that's ours.

Equality on Pensions and Health Insurance

Charlie Newman, City Steward
Local 150, Sacramento

Management at UPS Freight expects us to work like UPS package. We got the same wear and tear on our backs, knees, and every joint. It's time to give us health and pension benefits that match the package contract. We need our current pension rolled into the Teamster pension funds that UPS contributes to with the package contract. We need credit for our years.

UPS Freight: Second Class Teamsters?

In 2008, when we got our first contract, the International Union told us that it was a "foot in the door" and real gains would come next time.

Now it's next time.

UPS Freight Teamsters can win parity and plug the holes in our contract, if we unify and say NO to any substandard contract.

Dan Campbell, a retired experienced Teamster officer who was on the 1997 National Negotiating Committee for UPS, when the Teamsters decisively won a three-week strike, points out that some parts of the UPS national contract provide a template to use.

"The union chair, Ken Hall, is the same for both contracts. Many of the union negotiating committee members are the same, also. They know the UPS contract, and that there are many clauses that can be used as models for UPS Freight.

"The operations are different of course, but there are many areas to copy. Benefit levels, wage improvements, subcontracting language, as well as language on such things as excessive overtime, and the union's right to information."

When the Teamsters asked UPS Freight workers to join the union, the slogan was "One company, one union." It's a good principle.

IBT Calls for UPS Freight Contract Proposals

Proposals Due August 31

The IBT has emailed a memo to all locals covering UPS Freight Teamsters asking locals to get proposal ideas for members and submit them to the International Union for the upcoming contract negotiations.

Concerned UPS Freight Teamsters have been exchanging information and ideas for some time now on the UPS Freight Talk website.

It’s time to focus in on a few key proposals that will have an impact on all Teamsters at UPS Freight. Members are planning on submitting these key proposals in a number of locals with the goal of giving added weight to their input at the bargaining table.

We encourage all concerned UPS Freight Teamsters to contact their locals, attend proposal meetings and speak out on your bargaining priorities.

Click here to download the official Contract Proposals Memorandum from the IBT.

Settlement Talks in the Works on Subcontracting?

Multiple union sources report that the International union and UPS Freight management have agreed to delay or shelve the arbitration process for the deadlocked Dallas Local 745 subcontracting grievance. It appears that management and the Hoffa administration are trying to settle the issue prior to bargaining the new contract. Contract bargaining is slated to begin this fall.
 
At the national panel in June, once again no grievances dealing with subcontracting out union road work were dealt with. They were put on hold or withdrawn. Click here to see the minutes.
 
This problem has only gotten worse, and should have been dealt with long ago. Many members are now getting their hopes up that the issue will finally be dealt with, starting at the largest hubs.
 
One report is that management and the union could agree to the subcontracting language that exists in the national UPS package agreement. That may be an improvement, but many feeder drivers will tell you that there is too much subcontracting allowed at UPS even with that language.  
 
The national master freight contract is the best model for language on subcontracting. There are three pages that cover various aspects. The IBT has decades of experience  enforcing this language. It should be the model for the UPS Freight contract.
 
"I want to see every Teamster working," commented Terry Scott, a road steward at the Gaffney, South Carolina terminal and Local 509 Teamster. "As the loads go in and out, Teamsters need to be pulling those trailers. We need clear language that protects our right to that work."
 
Teamsters at UPS Freight expect no excuses for a substandard contract this go around. They know subcontracting is a blight on our potential union power. All work at UPS Freight terminals needs to be seen as Teamster work.

Q&A with UPS Freight President Jack Holmes

June 25, 2012: Last week, LM Group News Editor Jeff Berman conducted an on-stage interview with Jack Holmes, president of UPS Freight, the less-than-truckload (LTL) subsidiary of UPS at the 10th annual eyefortransport 3PL Summit, which was held in Chicago. Holmes provided an in-depth look at the LTL sector and how LTL’s and shippers should—and could—work well together, among other topics.
 
Click read more to view the full transcript of the conversation between Berman and Holmes.

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