August Pay Raise

Discussion in 'UPS Union Issues' started by mittam, Jun 28, 2007.

  1. mittam

    mittam Member

    Heard rumors about our August pay raise going to health and welfare. It was explained as a way to curtail shortfalls from the ibt dipping into these funds to try and offset some of the pension losses. I was wondering if anyone else has heard this. Also I was told it was on the tdu sight but never saw it on there.
  2. GuyinBrown

    GuyinBrown Blah

    I'm gonna have to go with "Very unlikely to have a shred of truth to it" on this one.
  3. Cole

    Cole New Member

    They cannot change what was previousley negotiated to my knowledge. What was negotiated is what we get.
  4. JonFrum

    JonFrum Guest

    Supposedly, this contract language (below) gives the negotiators the right to take the combined pension and health & welfare raises and split the money up between the two funds any way they want. I originally thought they had to decide before we voted on the contract, but they are claiming they can redirect the raises any time they want. They have been doing it in Central States for three years already. The language below isn't crystal clear. And they themselves get to resolve any disputes!


    "(a). . . Where the employees are covered by both Teamster Health & Welfare and Pension Funds in a Supplement, Rider or Addendum, the weekly health & welfare and pension contributions shall be allocated by the respective Joint Supplemental Area Negotiating Committees, subject to the approval of the Joint National Negotiating Committee. . . ."

    ". . . The increases accrued under this Article on August 1st of each year can only be allocated to health & welfare and/or pension. Any dispute concerning the allocation of health & welfare and pension money shall be determined and/or resolved by the Joint National Negotiating Committee. . . ."
  5. Cezanne

    Cezanne New Member

    The dollar raise per hour will be going into your paycheck. The pension and health and welfare increases which I believe is around 70 cents per hour will be divided up between the two benefit trusts (pension and health and welfare). I think that any COLA increases can go into the pension and health and welfare plans. If you have health and welfare coverage under the company that negotiated hourly increase SHOULD be the directed into a trust to cover your current and future health benefits. Article 34 master language monetary allocations is clear, the problem is the interpretations with all these different benefit programs and regional supplements. :confused:1
  6. GuyinBrown

    GuyinBrown Blah

    I'm in Central States and I got my negotiated wage increase for each year of the contract so I'm not sure what you're talking about there Jon... Unless I've completely misunderstood both the original question posed by Mittam and your response... which is entirely possible. :laugh:
  7. wkmac

    wkmac Well-Known Member

    Oh yes they can and here are 2 examples.

    In 1985' the contract was just automatically extended to 1987' and our wage increases were taken at least in the CS areas for maintaining beneifts. I know they did this at least one year and may have even done it for 2 but hard to remember the specifics of over 20 years ago. I do remember some upset folks but there was a lot more faith at the time in the union so there wasn't to much squaking going on.

    Now coming forward, those of us in the CS areas have seen major changes with out medical benefits as it pertains to different payouts but also a move to Blue Cross and Blue Shield. The reason for this was because the union had to take the contractual increase for our medical coverage and move it over to the pension side in order to shore up that problem. This was also about the same time the union sent everyone a mailer extolling that pension benefits had been raised by 40% and for the briefest of moments, we thought manna from heaven had fallen. But then I called CS itself to get clarification only to learn that the new payouts wouldn't come into play until 2041' when a new hire FTer in the current year would be retiring. The mailer seemed to have left out this important clarified point leading to some initial joy only to end in more wailing and gnashing of teeth!

    BTW: Teamcare magazine also had an article about the redirected medical monies going to the pension and how this brought about the presence of Blue Cross. Read those mags folks because they do admit a lot more than we give them credit for.
  8. Cole

    Cole New Member

    Thanks wkmac!

    I started late in 87, and wasn't aware of that.
  9. JonFrum

    JonFrum Guest

    You get two types of monetary raises: hourly wage increases, and hourly benefit fund contribution increases. The benefit increases are split between the pension fund and the Health & welfare fund. All three amounts are specified in the contract when we vote on it. You get your wage increase no matter what. But that language I quoted from Article 34 apparently gives negotiators the right to adjust the splitting-up of the benefit fund raises even *after* we voted on them. So for the last three years Central States has put the health & welfare portion of the benefit raise into the pension fund to shore it up. Who knows, maybe now they will put the pension portion into the health & welfare fund as partial payback. Or maybe they will split the benefit raises up between the two funds as the contract originally said.

    When they automatically extended the contract until 1987, didn't they put the new master contract to a nationwide ratification vote, and the Central States Supplement to a regional ratification vote?
  10. wkmac

    wkmac Well-Known Member

    I'm not sure either way on that. I do remember however because so many people were upset about the payraise issue that this sticks with me more than any other specific of them time. Sorry.

    You aren't suggesting putting the master to a nationwide ratification and CS to regional vote is somehow a justification to their actions back then are you?

    Just curious!
  11. GuyinBrown

    GuyinBrown Blah

    I think Mittam was talking about us not getting our hourly wage increase but I could be wrong.

    How does sending the money to the pension instead of health and welfare affect us? The only thing I can recall changing over the last few years is that we now have recurring prescription refills mailed to us instead of refilling it at the drugstore.
  12. mittam

    mittam Member

    Guy, you're right I am talking of the pay raise. In the past health and welfare monies were put to the pension and now I hear they need to make up the shortfall in health and welfare and a way to do that is by using our pay raise.That's why I asked if anyone else has heard this. Counting overtime that means we would pay around $50 a week or $200 a month for our benefits. Has anyone else heard this? I know that they have rights to do it, and wondered if this rumor has been heard elsewhere?
    Last edited: Jun 30, 2007
  13. GuyinBrown

    GuyinBrown Blah

    I haven't heard anything about it and from the looks of it, we're both in Ohio. As Jon posted, the hourly wage increase is a negotiated part of the contract, I don't think they can take that from us. Can they start forcing us to pay for our health and welfare benefits? I have no idea, but I would think that is also something that would have to be agreed upon in a contract as opposed to them simply saying, OK, you now owe us X amount per week to keep your benefits.

    Remember that we're going to hear a hell of a lot of rumors flying around and it's only going to get worse until we actually see something on paper. Some will be ridiculous and some will sound very believable. However, there is no use getting worked up over any of them until we're presented with an offer. We can't do much of anything to affect the negotiations in progress, but we have the ultimate power approving or denying the proposals that are presented to us.

    I'm not saying that we shouldn't care about what's going on, just that we shouldn't worry about it until it's TIME to worry about it.... :wink:
    Last edited: Jun 30, 2007
  14. JonFrum

    JonFrum Guest

    My point was that taking the August pay raise to fund the Health & Welfare fund would be illegal unless a vote was taken to authorize it. And there has been no such vote that I'm aware of. (It's always possible that your Supplement may contain authorizing language, but I doubt it.)

    I cited the language of Article 34 because it allows re-allocation of benefit raises, and maybe such a reallocation may occur.

    I'm not going to spend time trying to find proof there was a vote in 1985 to extend the contract until 1987. I assume there was. I assume it would be illegal not to have a vote. But I don't specifically remember.

    In a Democracy, a ratification vote is the *ultimate* way of justifing any voted-upon action. I don't have access to the various Supplements you folks may be under, but I do have the Master Contracts for 1982-1985 and the extension for 1985-1987. Article 34 is significantly different in the extension, and talks of a new Maintenance of Benefits agreement in the Western Conference, among other changes. Presumably the corresponding Articles in the Supplements have changed as well. No doubt there were other changes throughout the contract as well. All this would require a new vote.

    Again, in a Democracy, if you vote for it you are stuck with it. If, your officers were really violating the contract, then you have to actually charge them and state the specific offense and the specific offenders.
  15. Braveheart

    Braveheart New Member

    I would only give up the raise for extra week of vacation at 5 years, automatic doubletime after 9.5 hours, automatic doubletime after 8 hours on 8 hour request days and or we bring it back at 8 hours and hand them the keys, and a few more things. UPS will not do this due to fact they are paying the money one way or another. The 70 cents they pay to the fund, is that per hour up to 40, include overtime, 1.05 after 40, or what. If UPS only had to pay the money once per month instead of every week they might listen. If UPS only had to pay up to 40 hours then they may do it due to overtime savings and increased profit. I want my raise! Next contract we can talk about smaller raises and with better contract I would be all for it. We have suffered enough under this contract. Increased out of pocket costs from medical, smaller pension credit, and constant management harassment! The one thing we could all count on was the raises. I know we are paid well but the managers get the 401K matching funds and stock bonuses we only get raises. That is where I get my increased savings and investment money as well as monies to offset increased costs such as gasoline, taxes, and auto and home insurance. UPS just raises their rates, adds fuel surcharges, increases demensional weight, COD, address correction, irreg, and other fees. Do not touch my raise Hoffa!
  16. derf3733

    derf3733 Member

    I think it would depend if you have the use CS health/welfare or on the UPS Plan. I know a lot of upsers in Ohio all have different health care. Some of it comes from Central States and some hubs voted in the UPS health care after the 97 strike.
  17. sawdusttv

    sawdusttv Active Member

    I beleive , if I remember right, and someone correct me if I 'm wrong.
    They did put the contract extention to a vote and offered signing bonuses in the amount of $2000 for full time, $1000 for part-time to push it through.
  18. sawdusttv

    sawdusttv Active Member


    You're not listoning! They can take our negotiated pay raise from us, and they will if they see fit to do so.
    It has already happened in the past, and they can do it again.
  19. sawdusttv

    sawdusttv Active Member


    It would be illegal witout a vote?????????????????????

    Just like it was illegal to raise our union due without a vote of the rank and file, and it was illegal for them to change the wording of the teamsters constitution to read that our union due would be 2 and a half time our hourly rate from 2 times, without a vote of the rank and file. The teamsters officers violated there own constitution by changing the wording of said documents without a vote of the rank and file. They said that the deligates to the convention cast our votes for us, just like congressmen cast votes for us every day.
    So don't even try to suggest that they can't change the wording of the contract or the teamsters constitution without our say so.
    Buttom line, we have allowed them free reign for so long that they can do pretty much whatever they chose without our say so.
  20. GuyinBrown

    GuyinBrown Blah

    When? I'm just short of 20 years with UPS and I've never missed a negotiated pay raise. I don't claim to know the exact wording of the contract, so I suppose it could potentially be possible, but my own personal experience says it isn't gonna happen. I am in Ohio just like Mittam and I've heard nothing of this rumor.