UAW Members Ratify New Contract at Freightliner
18 December 2000
UAW Members Ratify New Contract at Freightliner
MT. HOLLY, N.C., Dec 17 Members of United Auto Workers
Local 5285 in Mt. Holly, North Carolina ratified a new three-year labor
agreement with the truck manufacturer Freightliner, a division of
DaimlerChrysler Corporation.
The new agreement, which was reached during contract talks late on
Saturday, December 16, was ratified by a 97.5% to 2.5% margin during a union
meeting which overflowed the auditorium at Mt. Holly Middle School on Sunday
afternoon. The previous agreement expired at midnight, Friday, December 15,
and the parties continued to talk past the deadline until an agreement was
reached.
"Our members at Local 5285 and our International Union bargaining team can
be proud of this contract," said UAW Vice President Nate Gooden, who directs
the union's Heavy Truck Department and its DaimlerChrysler Department. "UAW
Freightliner workers demonstrated remarkable solidarity throughout the entire
process, and I think that was the key to reaching an agreement that is fair to
all parties."
"We negotiated a number of important health and safety protections, which
are going to be important in the lives of our members," said Bob Riggins,
President of UAW Local 5285. "We also achieved economic gains for all of our
members and their families, including retirees and laid off workers."
Under the terms of the new contract, a UAW flag will fly over the
Freightliner plant in Mt. Holly. "The union flag means a lot to us," said
Riggins. "It's a recognition of the contribution we've made to this company."
During negotiations, Freightliner committed, in writing, that the
company's new medium-duty truck would be launched at Mt. Holly, and that
production of the vehicle would continue at the plant barring
"compelling economic circumstances." If such circumstances occur, the company
committed to discussing the situation with the union.
Other provisions of the contract include:
* New health and safety protections, including ergonomic analysis of
poorly-designed jobs, noise abatement, improved ventilation, elimination
of slipping hazards, safe spacing of production work, an annual audit of
health and safety conditions, and a full-time, company-paid UAW health
and safety representative.
* For top wage rate employees, a general wage increase of $1.15 in the
first year of the contract, $.75 in the second year, and .50 in the.
third year, for a total of $2.40 over the three-year agreement.
* For wage progression employees, who have lower seniority and earn a
lower wage, a $1.15 raise in the first two years of the agreement,
followed by a three per cent increase of the previous year's progression
rate in each of the next two years, and a $.50 wage increase every six
months, until employees reach the top rate.
* A $2,500 ratification bonus, to be paid on December 21, 2000 to all
employees on the seniority roster, including laid-off employees who
still have recall rights at Freightliner.
* An additional $500 bonus, to be paid next December to all employees on
active status as of October 1, 2001.
* Another breakthrough in the new contract is a profit sharing bonus for
UAW Freightliner workers, of at least $1,000 per year. The amount maybe
as high as $2,000, and in no event will it be lower than any general
bonus provided to Freightliner manufacturing workers who are not covered
by this contract.
* The new agreement also includes, for the first time, supplemental
unemployment benefits for laid off workers. From now on, a worker laid
off from Freightliner will receive health insurance and life and
accident/disability insurance for laid off workers for six months after
the layoff occurs.
* Also for the first time, the new contract provides that UAW Freightliner
workers will continue to accumulate seniority while on layoff or medical
leave.
The new agreement takes effect upon ratification, and it will remain in
force through December 19, 2003.