UPS reaches tentative contract with 340,000 unionized workers, potentially dodging strike
UPS has reached a tentative contract agreement with its 340,000-person strong union,that threatened to disrupt logistics nationwide for businesses and households alike.
"Together we reached a win-win-win agreement on the issues that are important to Teamsters leadership, our employees and to UPS and our customers," Carol Tomé, UPS chief executive officer, said in a written statement."This agreement continues to reward UPS's full- and part-time employees with industry-leading pay and benefits while retaining the flexibility we need to stay competitive, serve our customers and keep our business strong.
It said the agreement includes provision to increase starting pay for part-time workers to $21 per hour, up from $16.20 today. It also reiterated prior concessions it got from the company, such as making Martin Luther King Day a full holiday for the first time and ending forced overtime on drivers' days off.
Profits at UPS have grown more than 140% since the last contract was signed as the arrival of a deadly pandemic drastically transformed the manner in which households get what they need. If a strike occurred, logistics experts had warned that other shipping companies wouldn't have had the capacity to handle all the packages that would flow their way. Customers who shop online could have faced more shipping fees and longer waits.
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