6e Bus Drivers CBA Memo
COMMISSION AGENDA MEMORANDUM Item No. 6e ACTION ITEM Date of Meeting October 22, 2019 DATE: October 22, 2019 TO: Stephen P. Metruck, Executive Director FROM: Greg Gauthier, Labor Relations Manager David Freiboth, Sr. Director, Labor Relations SUBJECT: New collective bargaining agreement between the Port of Seattle and the Teamsters Local 117 representing Rental Car Facility Bus Drivers. Additional cost over term: $1,805,327 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 Rental Car Facility Bus Drivers in our Aviation Landside Operations Department, covering the period from March 15, 2019, through March 14, 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 consists of 51 full-time, part-time, and seasonal Rental Car Facility Bus Drivers who support the Airport Transit Operations' (ATO) Mission, which is to provide safe, reliable, and efficient transportation services to customers of Sea-Tac International Airport and the Rental Car Facility. In 2018 the ATO was responsible for the transportation of 5,059,508 passengers between the lower drive of Sea-Tac Airport and the Rental Car Facility. The agreement is for four years covering the period from March 15, 2019, through March 14, 2023. The estimated total cumulative additional cost for wages, pension, healthcare, and other benefits is $1,805,327. The costs are based upon an estimated 3.38% average annual wage increase for each year of the CBA, a safe driving incentive premium of 1% above the base wage rate each year, and 3.5% annual estimated increases to healthcare premiums. Template revised September 22, 2016. COMMISSION AGENDA Action Item No. 6e Page 2 of 3 Meeting Date: October 22, 2019 Other changes include alignment with both the Washington Paid Sick Leave Law and Paid Family Medical Leave; expanded Commuter Trip Reduction benefits; removal of entry step rate1; overtime after 9 hours of work; expanded non-discrimination language; overpayment recovery waiver language, the deletion of language regarding mandatory Union membership in compliance with Federal law; an increased employee monthly health insurance premium share2; and language regarding the use of tracking systems in Port vehicles. The estimated cumulative additional cost per year of the contract is Year 1, $218,562; Year 2, $399,498; Year 3, $515,524; and Year 4, $671,743. 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 March 15, 2019, through March 14, 2023. FINANCIAL IMPLICATIONS Wages Bus Drivers Current March 15, March 15, March 15, March 15, 2019 2020 2021 2022 3.5% 4% 3% 3% (Estimated (Estimated (Estimated Increase)3 Increase)4 Increase)5 Entry $19.73 Entry Deleted N/A N/A N/A 0 to 12 months $20.25 $20.96 $21.80 $22.45 $23.12 After 1 Year $21.05 $21.79 $22.66 $23.34 $24.04 After 2 Years $21.86 $22.63 $23.53 $24.24 $24.96 After 3 Years $22.66 $23.45 $24.39 $25.12 $25.88 After 4 Years $23.45 $24.27 $25.24 $26.00 $26.78 After 5 Years $24.79 $25.66 $26.68 $27.48 $28.31 After 6 Years $25.59 $26.49 $27.55 $28.37 $29.22 1 Entry rate was from 0-6 months of employment. 2 Currently employee's monthly premium share for healthcare is $25 and increases to $50 on March 15, 2021 3 CPI-U (0% to 6%) plus 1% 4 CPI-U (0% to 6%); if less than 3% but greater than 0%, the Port shall make up the difference via a lump sum payment. 5 CPI-U (0% to 6%); if less than 3% but greater than 0%, the Port shall make up the difference via a lump sum payment. Template revised September 22, 2016; format updates October 19, 2016. COMMISSION AGENDA Action Item No. 6e Page 3 of 3 Meeting Date: October 22, 2019 Paid Leave Sick Leave, currently accrued at .025 hour worked, will be accrued at a rate of .025 per compensated hour and will be separated into two distinct banks identified as "Paid Sick Leave" and "Protected Sick Leave." Maintained Paid Parental Leave Benefit Medical, Pension, Retirement Medical, PCBT Health Insurance Teamsters Plan B Current Monthly Premium $1481 Employee Premium Share $506 Pension PERS Other Changes Daily overtime after 9 hours worked. Alignment with the Janus Decision regarding Union Security. Alignment with the Washington Paid Sick Leave Law. Alignment with the Washington Paid Family Leave Law with an administrative waiver. Additional Commuter Trip Reduction benefits. New language regarding the use of tracking systems in Port vehicles. ATTACHMENTS TO THIS REQUEST (1) Collective Bargaining Agreement between the Port of Seattle and Teamsters Local 117 representing Employee Rental Car Facility Bus Drivers (red lined). PREVIOUS COMMISSION ACTIONS OR BRIEFINGS June 13, 2017Commission authorization of previous Collective Bargaining Agreement 6 Currently $25 and increases to $50 on June 1, 2020 Template revised September 22, 2016; format updates October 19, 2016.
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