Teamsters Vote Down UPS Contract but Negotiations Continue

While the majority of UPS workers represented by the Teamsters union voted against a new contract, negotiations will continue as turnout was low and the no votes didn’t meet the threshold for killing the deal.

According to the Wall Street Journal, 54.3% of 243,000 Teamsters members that include UPS drivers, sorters and other workers voted against a new five-year contract Friday, while 62.1% of 11,000 freight workers voted down a separate agreement; several regional and local deals were voted down as well.

Union rules require a two-thirds vote to reject a contract when less than 50% of members vote

“The Teamsters’ negotiating committee and UPS developed fair agreements that reward employees for their contributions to the company’s success, including improved wages, benefits and job creation,” UPS spokesman Steve Gaut told the WSJ.

Union objections centered on a proposed two-tier wage system to enable Sunday deliveries for the first time, as well as starting pay now below the $15 per hour announced last week by Amazon. Labor uncertainty during the busy holiday season could create issues for the major carrier.

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