Costco Drivers Approve First Teamsters Contract
In a significant development for labor relations, Costco fleet drivers have overwhelmingly ratified their inaugural Teamsters contract, a milestone achievement in the transportation industry. This agreement secures wage hikes, benefit enhancements, and improved work conditions for drivers, addressing key concerns raised during negotiations.
Common questions focus on what the new Teamsters contract entails for Costco drivers. The contract introduces substantial pay raises, ensuring competitive compensation aligns with industry standards. Additionally, the agreement bolsters healthcare benefits, a critical area for drivers seeking comprehensive coverage.
Enhanced working conditions form another pillar of the agreement. The contract includes provisions for safer equipment and more predictable scheduling, directly addressing long-standing driver concerns. These changes aim to improve job satisfaction and retention in a highly demanding sector.
The impact of this contract extends beyond immediate benefits for Costco drivers. It sets a precedent for fleet drivers nationwide, potentially influencing labor negotiations across the transportation industry. This landmark agreement highlights the power of collective bargaining in securing favorable terms for workers.
The Facts -
- 150 Costco drivers ratified a short-term contract with Teamsters Local 174.
- The contract replaces 401(k) with a defined-benefit pension for drivers.
- Costco resisted union efforts, straining its worker-friendly reputation.

New Short-term Deal to Expire Same Day as Costco National Master Agreement
Press Contact: Daniel Moskowitz Phone: (770) 262-4971 Email: dmoskowitz@teamster.org
What Does the New Costco Teamsters Contract Include?
(SUMNER, Wash.) – After a credible strike threat, over 150 Costco fleet drivers from Teamsters Local 174 approved a short-term first contract. This three-month agreement aligns its expiration with the Costco National Master Agreement, covering over 18,000 Costco Teamsters, boosting negotiation power.
How Will Teamsters Benefit from the New Pension Plan?
The contract shifts from uncertain 401(k) plans to a defined-benefit pension, enhancing financial security for these Costco Teamsters. Rick Hicks, Secretary-Treasurer of Local 174, emphasized the ongoing power this new contract brings.
Why Did Costco Teamsters Suspend National Contract Negotiations?
Costco triggered suspension of national contract negotiations by not agreeing to a card-check neutrality agreement, crucial for nonunion workers wishing to join Teamsters. Learn more about why negotiations were suspended here.
What Is Costco's Response to Unionization Efforts?
Despite being a "worker-friendly" corporation, Costco resisted unionization efforts, pushing more workers to the Teamsters. Teamsters are committed to securing robust agreements, challenging Costco's "pro-worker" reputation.
What Role Does the International Brotherhood of Teamsters Play?
Founded in 1903, the International Brotherhood of Teamsters advocates for 1.3 million workers in the U.S., Canada, and Puerto Rico. For more information, visit their official site. Follow on Twitter @Teamsters and like on Facebook.
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