February 13, 2013 - Summary of Master Contract
Subject to the drafting of final contract language and acceptance by the ILA membership, USMX and the ILA have agreed as follows:
• The new Master Contract will expire on September 30, 2018.
• The new Master Contract will not take effect until all local bargaining is concluded.
• There will be a $1.00 per hour wage increase on October 1, 2014; another $1.00 increase on October 1, 2016 and another $1.00 increase on October 1, 2017.
• New employees will start at $20.00 per hour.
• The wage progression formula, which was in the Master Contract extension, has been shortened from 9 years to 6 years.
• MILA which provides health care coverage at no cost to eligible employees will continue.
• There will be a minimum coastwise guarantee of $211 million in container royalty for each year of the contract.
• In addition, up to $14 million of administrative expenses will also be covered.
• All container royalty over these amounts will be evenly split between USMX and ILA.
• Container royalty will be centrally collected according to a plan that has yet to be finalized.
• CR5 will continue with some changes to the amounts that can be received without application.
• The Container Freight Station Fund will continue for both the operation of container freight stations and training with a contribution of 25¢ per ton in the first three years and subject to review in the last three years and a CFS subsidy adjustment in each of the six years.
• The local fringe benefit contribution will increase by $1.00 per hour.
• Random drug testing will be used in New York and New Jersey only if the Waterfront Commission agrees to stop testing ILA members.
• New language has been negotiated to protect those who have been displaced due to new technology and automation.
• Additional language has been negotiated to preserve chassis maintenance and repair work.
• New language has been negotiated to beef up enforcement by the Jurisdiction Committee of ILA jurisdiction including a $10,000 fine in certain circumstances.
• Additional jurisdiction language has also been negotiated.
• Major damage criteria and maintenance jurisdiction have been expanded.