8k. Memo
CBA Teamsters Local 117
COMMISSION AGENDA MEMORANDUM Item No. 8k ACTION ITEM Date of Meeting September 13, 2022 DATE: September 13, 2022 TO: Stephen P. Metruck, Executive Director FROM: Greg Gauthier, Labor Relations Manager Mikel O’Brien, Interim Sr. Director, Labor Relations SUBJECT: New Collective Bargaining Agreement Between the Port of Seattle and the Teamsters Local 117 representing Employee Parking Bus Drivers Additional cost over term: $455,315.34 ACTION REQUESTED Request Commission authorization for the Executive Director to execute a new collective bargaining agreement (CBA) between the Port of Seattle and Teamsters Local 117 representing Employee Parking Bus Drivers in our Aviation Landside Operations Department, covering the period from June 1, 2022, through May 31, 2023. EXECUTIVE SUMMARY Good faith bargaining between the Port of Seattle and Teamsters Local 117 resulted in a fair collective bargaining agreement consistent with the Port’s priorities. The bargaining unit, consisting of 31 budgeted1 Employee Parking Bus Drivers, who transport airport employees between the North Employee Parking Lot (NEPL) and the terminal, was, prior to this agreement, part of a combined bargaining unit with our Parking Service Revenue Representatives (PSRR), who provide customer service, cashiering transactions, and inventory control for the Airport’s public parking garage. Both the Union and the Port have agreed that both work groups should be separated into two distinct bargaining units based upon the differences within their community of interests. This new agreement covers a period of one year from June 1, 2022, through May 31, 2023. The estimated total cumulative additional cost for wages, pension, healthcare, and other benefits is $455,315.34. 1 Currently only 18 Template revised September 22, 2016. COMMISSION AGENDA – Action Item No. 8k Page 2 of 3 Meeting Date: September 13, 2022 The costs are based upon a CPI-U indexed wage rate increase of 6% + a 4% market adjustment (a total of 10%), a 4% estimated increase to healthcare premiums, and the deletion of the 1st 6 months entry level wage rate. Other changes include: the mutual agreement between the Parties to promote Equity, Diversity, and Inclusion in the workplace; gender specific language has been amended; the inclusion of Juneteenth as a paid holiday; an increased employee health insurance monthly premium share (from $100 to $115 by end of term); an enhanced first year vacation accrual formula. JUSTIFICATION RCW Chapter 41.56 requires the Port of Seattle to collectively bargain wages, hours and working conditions with the exclusive bargaining representative designated by the employees. SCOPE OF THE AGREEMENT Term of the Agreement June 1, 2022, through May 31, 2023. DETAILS Term of Agreement—June 1, 2022, through May 31, 2023 FINANCIAL IMPLICATIONS Wages EP Bus Drivers June 1, 2022 6% + 4% Market Adjustment Entry $24.42 After 1 Year $25.42 After 2 Years $26.39 After 3 Years $27.36 After 4 Years $28.35 After 5 Years $29.33 After 6 Years $30.31 After 7 Years $31.30 Template revised September 22, 2016; format updates October 19, 2016. COMMISSION AGENDA – Action Item No. 8k Page 3 of 3 Meeting Date: September 13, 2022 Paid Leave Amended to allow for employees to earn 10 days of vacation during their 1st year of service as opposed to five days. Medical, Pension, Retirement Medical, PCBT • Health Insurance Teamsters Plan A Current Monthly Premium $1654 Employee Premium Share $1002 • Pension Teamsters Trust Employer Hourly Contribution $2.96 • Retirement Medical Teamsters (RWT) Split Monthly Premium $94.85 • Defined Contribution Teamsters (PCBT) Employer Hourly Contribution $1.35 Other Changes • Incorporated Juneteenth holiday. • Mutual agreement between the Parties to promote Equity, Diversity. • Gender specific language amended. • Increased employee healthcare monthly premium contribution. • Enhanced vacation accrual formula for first year employees. Cost Impact $ Term of Agreement (1 Year) Pay $2,087,089.92 Benefits $909,454.85 Total $2,996,544.77 The estimated total cost of this Agreement to the Port of Seattle over the term of the agreement is $2,996,544.773. ATTACHMENTS TO THIS REQUEST (1) Collective Bargaining Agreement between the Port of Seattle and Teamsters Local 117 representing Employee Parking Bus Drivers (red lined). PREVIOUS COMMISSION ACTIONS OR BRIEFINGS September 24, 2019—Commission authorization of previous Collective Bargaining Agreement covering both Employee Parking Bus Drivers and Parking Services Revenue Representatives. 2 Increases to $115 on May 31, 2023 3 Based upon being fully staffed Template revised September 22, 2016; format updates October 19, 2016.
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