UPS and the Independent Pilots Association (IPA) are going to mediation after two and a halfyears of talks over a new pay deal for some 2,600 UPS pilots to replace a contract dating back to
2006.The two parties announced jointly yesterday that they would request mediation by the NationalMediation Board (NMB) for their ongoing contract negotiations.
Despite two and a half years of negotiations they had not yet reached agreement in the contractareas of scheduling, compensation, pension, scope and benefits, they explained.
“This joint request reflects the desire of both parties to continue to progress toward anagreement that is good for UPS, its customers and employees,” they stated. “The parties remaincommitted to bargaining in good faith and working with the NMB to reach agreement in a timelymanner.”
UPS pilots are still working under the terms of an eight-year contract agreed in 2006 whichprovided significant pay rises and flying guarantees for international routes. Pay details were notdisclosed but US media reported at the time that pilots would get an immediate 18% wage increase,followed by annual 3% increases from 2008 onwards and a 4% rise in 2012. There were also guaranteesthat non-US flights would not be outsourced to non-UPS pilots.
UPS and the IPA noted yesterday that the pilots’ contract became amendable on December 31, 2011.The contract is governed by the Railway Labor Act (RLA), meaning that it does not expire untilnegotiations, including NMB talks, have been exhausted, and also prevents workers from strikingduring this time.
“Not only is NMB mediation a common part of the negotiations process under the RLA, the NMB hassuccessfully mediated every contract UPS has negotiated with the IPA,” the statement pointedout.