6h Memo Teamsters Local 117 CBA
COMMISSION AGENDA MEMORANDUM Item No. 6h ACTION ITEM Date of Meeting April 14, 2020 DATE: TO: Stephen P. Metruck, Executive Director FROM: David Freiboth, Senior Director of Labor Relations Milton Ellis, Labor Relations Manager SUBJECT: New collective bargaining agreement between the Port of Seattle and the International Brotherhood of Teamsters, Local 117, Teamsters, representing Non-Sworn Communication Supervisors. Total Port Cost Increase for the Duration of the Agreement: $29,724 ACTION REQUESTED Request Commission authorization for the Executive Director to execute a new collective bargaining agreement between the Port of Seattle and the International Brotherhood of Teamsters, Local 117, representing Non-Sworn Communication Supervisors at the Police Department for the Port of Seattle covering the period from January 1, 2020, through December 31, 2022. EXECUTIVE SUMMARY Good faith bargaining between the International Brotherhood of Teamsters, Local 117, representing Non-Sworn Communication Supervisors and the Port of Seattle resulted in a fair collective bargaining agreement consistent with the Port's priorities. There are currently two (2) Non-Sworn Communication Supervisors, and one vacant position, employed at the Port of Seattle who are assigned to the Port of Seattle Police Department. Non- Sworn Communication Supervisors are assigned to the Port of Seattle Police Department and supervise the Police/Fire Communications Specialists in the 911 call Center. This agreement is for three years covering the period from January 1, 2020, through December 31, 2022. The estimated total additional cost for wages and benefit increases is $29,724. The estimated cumulative cost per year of the contract is: year one, $6,584; year two, $10,337 and year three, $12,803. The cost is based upon a 4.0% increase in year one of the agreement, plus COLA; and an estimated 2.5% cost of living increase in years two and three of the agreement. Template revised September 22, 2016. COMMISSION AGENDA Action Item No. Page 2 of 5 Meeting Date: April 14, 2020 The cost also consists of a 1.6% increase in health insurance in year one of the agreement and an estimated 3.0% increase in health insurance in years two and three of the agreement. Other changes consist of modifying the Union Security provisions of the agreement to comply with state law; modifying the Holiday cash out provision to comply with Department of Retirement Services (DRS) requirements thereby allowing employees to receive retirement credit from DRS; and modifying the effective date of long-term disability eligibility to the first day of the month following the employee's hire date similar to non-represented employees. In addition, employees will be enrolled in the Teamsters Retiree Welfare Plus XL plan effective in year one of the agreement with the Port paying up to fifty ($50) per month per employee for the term of the agreement. Employees will also pay an additional fifty dollars ($50) per month in employee premium share for a total of $125 per month effective year three of the agreement. Employees will also receive a ten percent (10%) premium above their base hourly rate for training newly hired Police/Fire Communications Specialists for one full day. Changes were also made to the sick leave and the Washington State family medical leave provision to comply with state law. The Equal Employment Opportunity provision was modified to comply with state and federal law. Paid parental leave as provided in Port Policy was incorporated in the agreement. Commuter benefits relating to the ORCA Card program and ferry reimbursement pursuant to Port policy were also incorporated into the agreement. JUSTIFICATION RCW Chapter 41.56 requires the Port of Seattle to collectively bargaining wages, hours and conditions of employment with the exclusive bargaining representative designated by the employees. DETAILS Term of the Agreement Retroactive to January 1, 2020, through December 31, 2022. Template revised September 22, 2016; format updates October 19, 2016. COMMISSION AGENDA Action Item No. Page 3 of 5 Meeting Date: April 14, 2020 FINANCIAL IMPLICATIONS Wages Classification Service Time Effective Effective Effective 1/1/22 1/1/20 1/1/21 Base Hourly Rate Base Base (Estimated +2.5% COLA Hourly Rate Hourly Rate (+4.0% + (Estimated 2.2% +2.5% COLA) [COLA]) Non-Sworn Entry $42.60 $43.67 $44.76 Communications Supervisor 1 Year $44.96 $46.08 $47.24 2 Year $47.33 $48.51 $49.73 Employees were provided with a four percent (4.0%) increase in year one of the agreement, plus 2.2% cost of living increase; an estimated 2.5% cost of living increase in year two of the agreement based on the Seattle/Tacoma/Bellevue CPI-U (All Urban Consumers) October 2019 to October 2020 Index (effective January 1, 2021); and an estimated 2.5% cost of living increase in year three of the agreement based on the Seattle/Tacoma/Bellevue CPI-U (All Urban Consumers) October 2020 to October 2021 Index (effective January 1, 2022). Employees who train newly hired Police/Fire Communications Specialists for one full day will receive a ten percent (10%) premium above their base hourly rate. Health and Welfare Members of the bargaining group are currently enrolled in Teamsters Medical Plan A where they are contributing seventy-five dollars ($75) per month toward the cost of their medical insurance. The contract provides for an increase in the amount of premium share paid by employees of fifty dollars ($50) in year three of the agreement. Total employee medical contribution will therefore Template revised September 22, 2016; format updates October 19, 2016. COMMISSION AGENDA Action Item No. Page 4 of 5 Meeting Date: April 14, 2020 increase to one hundred twenty-five dollars ($125) per month effective in year three of the agreement. Eligible employees will also be enrolled in the Teamsters Retiree Welfare Plus XL plan effective in the first year of the agreement with the Port paying up to fifty-dollars per month in premium payments per employee. New Employee Orientation The Union will now have up to thirty (30) minutes to meet with new employees during the new employee orientation in accordance with state law. Other Changes Union Security provisions modified to comply with state law; Paid parental leave Memorandum of Understanding was incorporated into the agreement. Holiday cash out provision was modified to comply with Department of Retirement Service requirements allowing employees to receive retirement credit from DRS; Commuter benefits relating to the ORCA Card program and ferry reimbursement pursuant to Port policy were incorporated into the agreement. The sick leave provision was modified to conform to the new Washington State sick leave law. The Family Medical Leave provision was modified to conform with the Washington Paid Family and Medical Leave Act. The Union Security Provision language regarding mandatory union membership was deleted to comply with Federal law. Cost Impact $ Year 1 Year 2 Year 3 Pay $5,990 $2,538 $2,579 Benefits $ 593 $1,215 $(-113) Total New Money $6,584 $3,753 $2,466 Total Cumulative $6,584 $10,337 $12,803 Cost Template revised September 22, 2016; format updates October 19, 2016. COMMISSION AGENDA Action Item No. Page 5 of 5 Meeting Date: April 14, 2020 The estimated total additional cost to the Port of Seattle for the duration of the contract is $29,724. ATTACHMENTS TO THIS REQUEST 1. Collective Bargaining Agreement PREVIOUS COMMISSION ACTIONS OR BRIEFINGS February 13, 2018 Template revised September 22, 2016; format updates October 19, 2016.
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