Template revised September 22, 2016.
COMMISSION
AGENDA MEMORANDUM
Item No.
6g
ACTION ITEM
Date of Meeting
February 26, 2019
DATE: February 1, 2019
TO: Stephen P. Metruck, Executive Director
FROM: David Freiboth, Senior Director of Labor Relations
Milton Ellis, Labor Relations Manager
SUBJECT: New collective bargaining agreement between the Port of Seattle and the
International Association of Machinists and Aerospace Workers (IAM&AW), Local
289, Auto Machinists.
Total Port Cost Increase for the Duration of the Agreement: $389,576
ACTION REQUESTED
Request Commission authorization for the Executive Director to execute a new collective
bargaining agreement (CBA) between the Port of Seattle and the International Association of
Machinists and Aerospace Workers, Local 289, representing Auto Machinists at the Port of
Seattle covering the period from July 1, 2017, through June 30, 2019.
EXECUTIVE SUMMARY
Good faith bargaining between the International Association of Machinists and Aerospace
Workers, Local 289, and the Port of Seattle resulted in a fair collective bargaining agreement
consistent with Port’s priorities.
There are currently thirty- four (34) Auto Machinists employed at the Port who are assigned to
both Marine and Aviation Maintenance Automotive and bus facilities. Auto Machinists perform
preventive maintenance, repair, rebuild, and tune-up work on a diverse fleet comprised of over
800 Port of Seattle vehicles and equipment powered by gasoline, diesel, natural gas, electric
and hybrid engine/drive systems in support of Port of Seattle operations at Marine
Maintenance and at Sea-Tac International Airport.
This agreement is for two years covering the period from July 1, 2017, through June 30, 2019.
The estimated total additional cost for wages and benefit increases is $389,576. The estimated
additional cost per year of the contract is: year one, $211,793; and year two $177,783.
The cost is based upon a cost of living increase of 3.1 percent increase in wages in year one and
a cost of living increase of 3.3 percent in year two of the agreement. The cost also consists of
an increase of 7.3% in health insurance in year one of the agreement and no increase in health
insurance in year two of the agreement.
COMMISSION AGENDA – Action Item No. 6g Page 2 of 3
Meeting Date: February 26, 2019
Template revised September 22, 2016; format updates October 19, 2016.
Other changes consist of modification to the Union Security Clause to comply with Federal law;
increase employee contributions for medical and pension; modification of the sick leave and
the Family Medical Leave provision to comply with state law; employee access to the Port
tuition reimbursement program and the Union participation in the employee orientation
program in accordance with state law.
JUSTIFICATION
RCW Chapter 41.56 requires the Port of Seattle to collectively bargaining wages, hours and
conditions of employment with the exclusive bargaining representative designated by the
employees.
DETAILS
Term of the Agreement
Retroactive to July 1, 2017, through June 30, 2019.
FINANCIAL IMPLICATIONS
Wages
Classification
Current
Rate
Effective
7/1/17
Base
Hourly Rate
(+3.1%)
Effective
7/1/18 Base
Hourly Rate
(+3.3%)
Auto-Machinists
$39.41
$40.63
$41.97
Health and Welfare
Members of the bargaining group are currently under the IAM&AW Medical Plan 10 where they
contribute fifty dollars ($50) per month toward the cost of their medical insurance. The
contract provides for an increase in the amount of premium share paid by employees of fifty
dollars ($50) per month. Employees will therefore contribute a monthly premium share
amount of one hundred dollars ($100) per month toward the cost of their medical insurance.
Pension
Members of the bargaining group are enrolled in the Western Metal Industrial pension plan
where they currently share in the cost of improving this pension plan by contributing fifty
dollars ($50) per month. This amount paid by employees will now be increased by fifty dollars
($50) per month. Employees will therefore now contribute one hundred dollars ($100) per
month toward the cost of improving this pension plan.
COMMISSION AGENDA – Action Item No. 6g Page 3 of 3
Meeting Date: February 26, 2019
Template revised September 22, 2016; format updates October 19, 2016.
Wage
Employees were provided with a cost of living increase for the two years of the agreement
based on the Seattle/Tacoma/Bellevue CPI-U (All Urban Consumers) April to April Index which
represented 3.1% for April 2016-April 2017 (effective July 1, 2017) and 3.3% for April 2017-April
2018 (effective July 1, 2018).
Tuition Reimbursement
Employees will now be able to participate in the Port of Seattle tuition reimbursement
program.
New Employee Orientation
The Union will now have up to thirty (30) minutes to meet with new employees during the new
employee orientation in accordance with state law.
Other Changes
The sick leave provision was modified to conform to the new Washington State sick
leave law.
The Family Medical Leave provision was modified to conform with the Washington Paid
Family and Medical Leave Act.
The Union Security Provision was modified to conform with Federal law.
Shoe allowance reimbursement will now be paid as an annual stipend
Employees on a work-related injury will have to make every effort to schedule medical
appointments outside working hours
Cost Impact $
Year 1
Year 2
Pay
$ 92,311
$101,314
Benefits
$119,482
$ 76,469
Total
$211,793
$177,783
The estimated total additional cost to the Port of Seattle for the duration of the contract is
$389,576.
ATTACHMENTS TO THIS REQUEST
1. Collective Bargaining Agreement between the Port of Seattle and the International
Association of Machinists and Aerospace Workers, Local 289, representing Auto
Machinists assigned to the Port of Seattle Marine and Aviation Maintenance
Departments, covering the period from July 1, 2017, through June 30, 2019.
PREVIOUS COMMISSION ACTIONS OR BRIEFINGS
None.
