IPA reports UPS pilots nearly in full agreement to authorize strike against UPS

By a whopping 2,252-to-8 margin, UPS pilots voted to authorize a strike against their employer, UPS, the Independent Pilots Association (IPA), the trade union representing UPS pilots, said today. This vote was based on a 97 percent participation rate.

The IPA said that its five-pilot Executive Board has the authority to formally request a release from federally-mediated negotiations with UPS, as well as the discretion to conduct a strike upon completion of mediation.

“UPS promises its customers on-time delivery, but after four years of labor negotiations, the Company has failed to deliver a contract for its own pilots,” said IPA President Captain Robert Travis in a statement. “In a clear voice, UPS pilots have said they are willing to strike if necessary to finish the job,” he added.

UPS pilots received support earlier this week from leadership at the International Brotherhood of Teamsters said today that General President James Hoffa and General Secretary-Treasurer Ken Hall told the IPA’s President Captain Robert Travis in a letter that “if a strike is necessary, we will not cross your lines, but will stand with you on them.”

Hoffa and Hall added deemed it “unacceptable” that it has taken four years to negotiate a collective bargaining agreement.

The IPA said that it is schedule to resume negotiations with UPS in early November, with the federal mediator retaining the right to cancel scheduled sessions.

As for UPS’s biggest competitor, FedEx, FedEx union pilots represented by the Air Line Pilots Association (ALPA) signed a new contract with FedEx management this week, which takes effect in November and becomes amendable in 2021.

UPS made it clear that the vote’s outcome was expected. 

“The vote was a symbolic, scripted event, one that’s common in pilot negotiations throughout the industry, ” a UPS spokesman told LM. “Its results were entirely predictable. The reality is, UPS continues to negotiate in good faith for a win-win contract; talks continue to move forward under the direction of the NMB, and our customers remain in good hands with UPS as we enter the busy holiday season.”

And as previously reported, UPS officials told LM that the company continues to negotiate in good faith for a win-win contract.

“We want a contract that’s good for our employees, our customers and the company,” a company spokesman told LM. “We have every reason to believe we’ll arrive at such an agreement, just as we have in all four previous UPS-IPA negotiations. As evidenced by the negotiation dates the NMB (National Mediation Board) has scheduled in November and December, talks continue to progress. Since we’re still at the table under NMB supervision, there’s no merit to any talk of a job action. It’s important to understand that airline contracts talks often take years to complete because of the complexity of the agreements and the safeguards of the Railway Labor Act (RLA, the US labor law that governs airline negotiations).”

Today’s vote, added UPS, is a symbolic gesture in that under the RLA, the NMB controls negotiations, and a strike is not possible without the NMB’s permission, and then only after exhausting a lengthy series of safeguards.

And it pointed out that strike authorization votes are a common tactic in airline negotiations, with pilots’ unions, going back to 2000 having held approximately 20 authorization votes with an average approval rate of 97 percent.

“Don’t be surprised when the IPA’s vote comes back in the vicinity of that number,” the UPS spokesman said. “These votes are scripted and procedural in nature.”

Meanwhile, UPS made it clear things remain business as usual, saying that as it heads into the busy Peak Season, UPS customers “can rest assured their shipments are in good hands. UPS Airlines continues to operate a safe, on-time air express network. Any discussion of holiday disruptions is negotiations posturing.”

UPS also outlined various benefits and compensation it provides its pilots, including:
-UPS captains are guaranteed, at minimum, $255,128 per year, and they typically earn about $35,000 more. By comparison, the next highest-paid captains (at FedEx) earn $230,379 at guarantee. The average pay for all UPS pilots, including both captains and first officers, is $238,000
-a typical UPS crewmember works about 10 days a month and flies about half of what a typical passenger pilot flies;
-UPS crewmembers enjoy two company-funded retirement plans in addition to a traditional 401(k): a defined benefit plan (traditional pension), and a defined contribution plan; and
-they are covered by a comprehensive health insurance plan with an annual contribution that costs a third less than what a typical U.S. family, with far lower income, pays

An industry observer termed this action by the Teamsters as being predictable, being on the heels of the ratification of the FedEx pilots contract, with the UPS pilots keen on leveraging that to get their fair share.

“It’s hard for the American public and UPS customers to empathize with guys that make over $100,000 a year, have incredible benefits and work limited and regulated hours each month,” he said.

“But they [stir things up] right before the holiday surge to intimidate the UPS management and to drive more customers over to FedEx and the USPS. The process prevents a strike so all this is show business. They did the same thing last year at this time to put pressure on management in advance of this busiest time of the year.”