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Brown Cafe UPS Forum
UPS Union Issues
Minimum wage was raised (in Ca)...UPS starting wage stayed the same.
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<blockquote data-quote="j13501" data-source="post: 941025" data-attributes="member: 918"><p>You make an excellent point, as do several other posts, and it is one that has been talked about since the 1990s. Unfortunately, the starting wage has never increased due to the nature of negotiations. Every benefit that is negotiated has a cost associated with it- want an additonal holiday? That may cost the company tens of millions per year. Want additional pensions contributions? more millions per year. </p><p></p><p>It's like an "apple pie". During the negotiations, the Teamsters and UPS bargain over the "size of the pie". Thats the hard part- how much can UPS pay additionally, and still stay competitive with the competition? Once the union and company agree on the total amount of money that the contract will cost UPS (for example, $1 billion additional over the length of the contract), then the have to sit down and "slice the pie" into the money for each slice of compensation- wages, health care, pension, etc.</p><p> </p><p>The new, not-yet-hired employee has no one representing him/her at the negotiating table. If the decision is to increase the "slice" for starting wages to $10 an hour, then someone who is currently an employee gets less of a wage and/or benefit increase. Remember, the "size of the pie" has already been negotiated. </p><p>That's why the talk about starting wages has been going on since the 1990s, but has not been significantly addressed. The union and the company know that the rank and file employees are not going to say: "pay me less so the starting wage can increase". </p><p>It will be interesting to see if this changes when state minimum wage laws force the issue.</p></blockquote><p></p>
[QUOTE="j13501, post: 941025, member: 918"] You make an excellent point, as do several other posts, and it is one that has been talked about since the 1990s. Unfortunately, the starting wage has never increased due to the nature of negotiations. Every benefit that is negotiated has a cost associated with it- want an additonal holiday? That may cost the company tens of millions per year. Want additional pensions contributions? more millions per year. It's like an "apple pie". During the negotiations, the Teamsters and UPS bargain over the "size of the pie". Thats the hard part- how much can UPS pay additionally, and still stay competitive with the competition? Once the union and company agree on the total amount of money that the contract will cost UPS (for example, $1 billion additional over the length of the contract), then the have to sit down and "slice the pie" into the money for each slice of compensation- wages, health care, pension, etc. The new, not-yet-hired employee has no one representing him/her at the negotiating table. If the decision is to increase the "slice" for starting wages to $10 an hour, then someone who is currently an employee gets less of a wage and/or benefit increase. Remember, the "size of the pie" has already been negotiated. That's why the talk about starting wages has been going on since the 1990s, but has not been significantly addressed. The union and the company know that the rank and file employees are not going to say: "pay me less so the starting wage can increase". It will be interesting to see if this changes when state minimum wage laws force the issue. [/QUOTE]
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Minimum wage was raised (in Ca)...UPS starting wage stayed the same.
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