This summer, UPS may face the largest strike in history

It is learned that on June 16, the Washington Post reported that the International Brotherhood of Teamsters, the largest union of American international truck drivers, is voting on a strike, although the vote does not mean a strike will occur. However, if UPS and the union have not reached an agreement before July 31, the union has the right to call a strike.

According to reports, if a strike occurs, it will be the largest strike since the first UPS workers went on strike in 1950.

Since early May, UPS and the International Teamsters Union have been negotiating the UPS worker contract, which determines the pay, benefits and working conditions of about 340,000 UPS employees nationwide. Currently, the main conflicts are higher wages, creating more full-time jobs and eliminating UPS's reliance on low-paid delivery drivers.

The Teamsters union and UPS have reached more than two tentative agreements on their contract, reaching a landmark deal Tuesday to equip new UPS package delivery vans with air conditioning starting next year. Air conditioning has been a long-standing demand of delivery drivers, who work up to 14 hours a day in sweltering heat every summer, and older vans will also be equipped with a second fan.

The Teamsters and UPS also agreed to a contract provision that prevents UPS from using driverless vehicles or drones without consulting the union.

However, for many UPS employees, the issues left on the bargaining table are the most important. For example, the starting wage for part-time workers who process packages at UPS warehouses is $15.50 per hour, and some employees who have worked for more than nine years only make $18.85 per hour, which makes it difficult for them to afford basic food supplies for their families.

Another major conflict is that the Teamsters union created a new category of delivery drivers during its 2018 contract negotiations with UPS, which makes about $5 less per hour than courier drivers after four years of service. Teamsters leadership says the two jobs are essentially the same and they want the new driver classification eliminated.

A strike could severely disrupt the U.S. peak season supply chain, which is recovering from backlogs during the coronavirus pandemic. An estimated 6% of U.S. gross domestic product passes through UPS trucks each year, and a strike could have devastating consequences for an economy that has become increasingly reliant on its delivery infrastructure.

Some large companies have already begun shifting some products to FedEx and other carriers in anticipation of a UPS strike later this year, but for some smaller companies, switching to other carriers could bring more costs that they cannot afford.

In 1997, approximately 185,000 UPS workers went on strike for 15 days, which was then the largest strike in decades in the U.S. The work stoppage cost UPS dearly, with losses estimated at $620 million, and UPS ultimately agreed to many of the Teamsters’ top demands.

Editor✎ Ashley/

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