Tripping over feet: UPS and Teamsters dance not going so well

When last we saw United Parcel Service and the Teamsters, they had settled in at the table, shirtsleeves rolled up, for some good, old fashioned, bare-knuckled negotiating.

Yeah, sure – there was the Teamster tough talk from their pugnacious new president, Sean O’ Brien. But UPS was making hopeful noises and UPS employees were thrilled to death their reps had managed to finally wrest air conditioning for vehicles out of a company diametrically opposed to such frilly creature comforts.

Hope was wafting like the scent of dryer sheets on a hot summer evening breeze.

Alas.

Yesterday the Teamsters pulled the drama card…

Today #Teamsters walked away from the bargaining table & officially demanded UPS exchange its last, best & final offer no later than June 30.

“The largest single-employer strike in U.S. history now appears inevitable,” said Gen. President Sean M. O’Brien: https://t.co/PSuGnC3VR1

— Teamsters (@Teamsters) June 28, 2023

…and today the smell of fear is in the air.

Thursday, the International Brotherhood of Teamsters, the union that represents more than 340,000 UPS workers, declared a “Nationwide strike is imminent” after walking away from the bargaining table and demanding UPS exchange “its last, best and final offer” by Friday.

Did you know they even hold practice holding strike picket lines? I did not know this.

Last month, they were out with “Just Practicing” but still protesting signs. Is that ludicrous, or what?

With a month left before their contract expires, the union representing more than 340,000 UPS workers is calling for “practice pickets” nationwide.

In Louisville, many of Teamsters Local 89 members began practicing a picket line Wednesday morning at Worldport, the largest sorting and logistics facility in America.

The UPS Teamsters held signs that read “Just practicing for a just contract,” and as vehicles drove past the practice picket, many cars honked their horns to show support.

What a crock.

Frustrated by an “appalling counterproposal” earlier this week, the head of the union representing 340,000 UPS workers said a strike is imminent. https://t.co/uC9GtLOQxw

— The Associated Press (@AP) June 29, 2023

UPS is still being conciliatory, as one would expect, as they have the most to lose. Being the second largest package delivery operation in the country after only the post office, there are 20M plus deliveries at stake. The company has already conceded quite a bit right off the top knowing that.

…In a statement, UPS said it improved on its initial offer and remains “at the table ready to negotiate.”

“Reaching consensus requires time and serious, detailed discussion, but it also requires give-and-take from both sides,” the company said.

…The two sides have come to agreements on a number of non-economic issues, including air conditioning in UPS delivery vehicles — something drivers have long demanded. But pay remains a sticking point, with the union seeking significant raises and higher company contributions to the benefits fund.

According to union leadership, UPS wants a contract that keeps overall labor costs the same — meaning, if workers want higher pay, they’ll need to give up something else. The company declined to comment on the specifics of its current offers.

As those particulars came, again, from the union side, it’s “grain of salt” time, granted. But I’m pretty sure UPS does want to retard the growth on the wage end after the increase hit they’ll take from actually having vehicles their workers can close the doors on in the summer. The fuel costs will probably double, not to mention increased maintenance overhead, all without even figuring the initial outlay for installations.

In regards to the two-tiered pay system, as I reported out in my last post, the Teamsters conveniently forget they’re the ones who instituted that over the objections of their own members.

…The layoffs are targeting mainly “hybrid” drivers, also known as “22.4s” after the relevant clause in the UPS-IBT contract. This second tier of lower-paid delivery drivers, who split their time between making deliveries and working in warehouses, was created in the 2018 Teamsters contract, which workers voted to reject but which was unilaterally imposed by the Teamsters bureaucracy, using an anti-democratic loophole then in the union’s constitution…

I have learned a truly interesting wrinkle since writing that previous piece as far as UPS delivery disruptions go. It wouldn’t only be annoying be Amazon and catalogue orders missed. If the Teamsters should shut them down, all mail-order deliveries of ammunition would also cease, as federal law only allows shipments to move through the U.S. via UPS ground. There are no work-arounds for that.

The Home Furnishings Association is already warning its member retailers about possible disruptions and increased costs.

In today’s interconnected business landscape, small businesses heavily rely on efficient and reliable shipping services to maintain their supply chains and meet customer demands. With the potential 2023 UPS strike looming, you must understand the implications and take proactive measures to safeguard your operations. In this blog, we’ll delve into the details of the potential UPS strike, why you should care, and provide actionable steps to protect your supply chains during this uncertain period.

I’m sure what any retailer sees as a nightmare heading his way, especially in the wonderful world of Bidenomics, the Teamsters see as leverage.

There’s the deadline the Teamsters set for Friday to get something back from UPS and the actual end-of-contract strike deadline is officially 1 Aug. O’Brien wants to make as spectacular a splash as he possibly can in his first major contract outing, because he has his sights set on tackling Amazon next.

He needs to score and score big against UPS to go in with the wind at his back.

I’m figuring everyone waits to see who blinks tomorrow.