8f. Memo
The International Association of Machinists and Aerospace Worker
COMMISSION AGENDA MEMORANDUM Item No. 8f ACTION ITEM Date of Meeting April 26, 2022 DATE: March 31, 2022 TO: Stephen P. Metruck, Executive Director FROM: Mikel O'Brien, Interim Senior Director of Labor Relations Matthew Bullock, Labor Relations Manager SUBJECT: New collective bargaining agreement between the Port of Seattle and the International Association of Machinists and Aerospace Workers, Local 289, representing Inventory Specialists Total Port Cost Increase for the Duration of the Agreement: $535,673 ACTION REQUESTED Request Commission authorization for the Executive Director to execute a new collective bargaining agreement (CBA) between the Port of Seattle and the International Association of Machinists and Aerospace Workers, Local 289, representing Inventory Specialists at the Port of Seattle covering the period from January 1, 2022, through December 31, 2025. EXECUTIVE SUMMARY Good faith bargaining between the International Association of Machinists and Aerospace Workers, Local 289, representing Inventory Specialists and the Port of Seattle resulted in a fair collective bargaining agreement (CBA) consistent with Port's priorities. There are currently thirteen (13) Inventory Specialists employed at the Port of Seattle who are assigned to Aviation Maintenance Department at the Distribution Center (DC) warehouse, or other assigned DC satellite locations. Inventory Specialists perform various functions of receipt, storage, delivery of parts, processing and procurement of goods and services in compliance with Port policy and procedures. This agreement is for a four-year period from January 1, 2022, through December 31, 2025. The estimated total additional cost for increase is $535,673. This agreement is for four years covering the period from January 1, 2022, through December 31, 2025. The estimated total additional cost for wages and benefit increases is $535,673. The estimated additional cost per year of the contract is: year one, $61,710; and year two, $111,969; and year three $153,973; and year four, $208,021. The cost is based on an annual wage increases of CPI-U 0-6% year 1, CPI-U 0-6% year 2, CPI-U 0-6% year 3, and CPI-U 0-6% year four. Template revised September 22, 2016. COMMISSION AGENDA Action Item No. 8f Page 2 of 3 Meeting Date: April 26, 2022 Modified classification job title from Inventory Specialist to Inventory Purchasing Specialist. All other provisions in the collective bargaining agreement remain the same. 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 January 1, 2022, through December 31, 2025. FINANCIAL IMPLICATIONS Wages Classification Current Effective Effective Effective Effective Rate 1/1/22 Base 1/1/21 Base 1/1/22 Base 1/1/23 Base Hourly Rate Hourly Rate Hourly Rate Hourly Rate (CPI-U 0-6%) (CPI-U 0-6%) (CPI-U 0-6%) (CPI-U 0-6%) Inventory $31.80 $33.87 $TBD $TBD $TBD Specialists Wage Employees annual wage increases of CPI-U 0-6% year 1, 0.0% year 2, CPI-U 0-6% year 3, and CPIU 0-6% year 4 for the term of the agreement. Health and Welfare Members of the bargaining group are currently enrolled in the International Association of Machinists and Aerospace Workers Machinist H&W Plan 15. Other Changes Incorporated Juneteenth holiday. Added language which allow bargaining unit member to participate in Port education assistance program. Commitment to legal and benefit review by end of Q2 for supplemental retirement account. Increased footwear stipend. Template revised September 22, 2016; format updates October 19, 2016. COMMISSION AGENDA Action Item No. 8f Page 3 of 3 Meeting Date: April 26, 2022 Cost Impact $ Year 1 Year 2 Year 3 Year 4 Benefits $5,737 $19,362 $23,267 $37,692 Total New Money $55,973 $36,634 $38,099 $39,623 Total Cumulative $61,710 $111,969 $153,973 $208,021 Cost The estimated total additional cost to the Port of Seattle for the duration of the contract is $535,673. ATTACHMENTS TO THIS REQUEST (1) Collective Bargaining Agreement PREVIOUS COMMISSION ACTIONS OR BRIEFINGS None. Template revised September 22, 2016; format updates October 19, 2016.
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