Q: What is the status of negotiations between UPS and the Teamsters?
A: UPS has reached tentative national agreements with the International Brotherhood of Teamsters on two new five-year contracts. The contracts cover approximately 250,000 full- and part-time employees in the United States in the package and UPS Freight business units. The negotiations were concluded well in advance of the current contracts' expirations on July 31, 2013. These agreements reward our people for their contributions, protect our company's ability to remain competitive in a challenging economy and keep our customers' confidence in UPS.
Q: What are the specifics of the contracts?
A: The tentative contracts will be presented to our employees first for their consideration. While we do not discuss specific provisions of the tentative contracts, they include wage increases as well as additional contributions to healthcare and pension plans. The agreements are good for our people, customers and shareowners. They allow UPS to remain competitive and flexible in a challenging marketplace.
Q: What are the next steps after the handshake?
A: The ratification process begins by presenting the contract details to local UPS Teamster-represented members, followed by voting. We are confident once our people see the agreements, the contracts will be ratified. Once the contracts are ratified, UPS will again make a public announcement.
Q: Do you think the contract will be ratified?
A: We are confident that once our people see the agreements, the contracts will be ratified. These agreements reward our people for their contributions and protect our company's ability to remain competitive in a challenging economy. Every national contract recommended by UPS and Teamster leadership has been ratified.