Template revised September 22, 2016.
COMMISSION
AGENDA MEMORANDUM
Item No.
6f
ACTION ITEM
Date of Meeting
July 28, 2020
DATE: July 28, 2020
TO: Stephen P. Metruck, Executive Director
FROM: David Freiboth, Senior Director of Labor Relations
Greg Gauthier, Labor Relations Manager
SUBJECT: New collective bargaining agreement between the Port of Seattle and the
International Association of Machinists and Aerospace Workers Local 289,
representing auto machinists in Marine and Aviation Maintenance Departments.
Total Port Cost Increase for the Duration of the Agreement: $518,559.00
ACTION REQUESTED
Request Commission authorization for the Executive Director to execute a new collective
bargaining agreement between the Port of Seattle and International Association of Machinists
and Aerospace Workers Local 289, representing auto machinists covering the period from July 1,
2019, through June 30, 2021.
EXECUTIVE SUMMARY
Good faith bargaining between the International Association of Machinists and Aerospace
Workers Local 289, representing auto machinists and the Port of Seattle, resulted in a fair
collective bargaining agreement consistent with the Port’s priorities.
There are currently thirty-four (34) auto machinists employed at the Port of Seattle who are
assigned to both the Aviation Maintenance (25) and Marine Maintenance (9) departments.
Employees in this bargaining unit are responsible for providing general automotive maintenance
and repair work on the Port of Seattle’s fleet of vehicles and equipment.
This agreement is for two years covering the period from July 1, 2019, through June 30, 2021.
The estimated total additional cost for wages and benefit increases is $518,559.
The estimated cumulative cost per year of the contract is: year one, $179,677; and year two,
$338,882.
The cost is based upon the following:
• Annual CPI-U based wage increases of 2.3% in year one, and 1.3% in year two.
• Increases in medical premiums
COMMISSION AGENDA – Action Item No 6f. Page 2 of 3
Meeting Date: July 28, 2020
Template revised September 22, 2016; format updates October 19, 2016.
• Increases in pension rehabilitation obligations
• Sick leave alignment
• Safety shoe stipend increases
Other changes include the following:
• Incorporation of the Port’s Paid Parental Leave into the CBA
• Alignment with both the Washington Paid Sick Leave Law
• Alignment with the Port’s Education and Development policy
• Additional commuter trip reduction benefits
• Modified grievance process (to a traditional 3 step model)
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, 2019, through June 30, 2021.
FINANCIAL IMPLICATIONS
Paid Leave
Sick Leave:
▪ Increase from .03462 on hours worked to .03462 on hours compensated
▪ Increased maximum sick leave accrual from 160 hours to 320 hours
Medical, Pension
Medical
Plan
Premium Cost
Employee Share (Per
month)
Year 1
IAM Plan 10
$2,137
$100
Year 2
IAM Plan 10
$2,171
1
$100
1
Estimated increase to premium
COMMISSION AGENDA – Action Item No 6f. Page 3 of 3
Meeting Date: July 28, 2020
Template revised September 22, 2016; format updates October 19, 2016.
Pension
Contribution
Year 1
Year 2
Pension
$7.96
$7.96
Rehabilitation
2
$7.64
$8.92
Total Per Hour
$15.50
$16.88
Wages
Classification
Current
7/1/2019
7/1/2020
Auto
Machinist/
Maintenance
Mechanic
$41.97
$42.98
$43.54
Crew Chief
$48.27
$49.43
$50.07
Lead
$44.07
$45.13
$45.72
Crew Chief
$50.37
$51.58
$52.25
Safety Shoe Stipend (Annual)
Current
2019
2020
$120
$150
$175
Cost Impact
Current
Year 1
Year 2
Pay
$3,328,413
$3,418,021
$3,472,302
Benefits/Taxes,
etc.
$1,808,672
$1,898,741
$2,003,666
Total
$5,137,086
$5,316,762
$5,475,968
ATTACHMENTS TO THIS REQUEST
1. Collective Bargaining Agreement between the Port of Seattle and IAM Local 289 (red-
lined).
PREVIOUS COMMISSION ACTIONS OR BRIEFINGS
February 26, 2019
2
Rehabilitation schedule due to health of plan, effective January 2014, with supplemental rate increases by .16 each
year (i.e. year 1= ($7.96 * 1.16); year 2 = ($7.96 * 1.32); year 3 = ($7.96 * 1.48), and so on for ten years)
