Wegmans and representatives of Teamsters Local 118 are set to resume contract negotiations on Friday.
Approximately 900 Wegmans truck drivers and warehouse employees are represented by the Teamsters. Last week, those employees rejected what Wegmans officials called the company’s final and best offer. At the center of the issue is a plan to change employees’ retirement benefits.
Wegmans officials want to move the Teamsters into the company retirement plan. Union officials, however, want to continue participating in the union’s statewide pension fund.
The two arrangements have significant differences. The Wegmans plan is a defined contribution plan, similar to a 401(k), which means that retired workers can only draw down what’s in their account. The pension is a defined benefit plan, which means that workers pay into the fund during their working years, and then collect benefits for the rest of their lives after retirement.
When the Teamsters rejected Wegmans’ offer, they also authorized a strike. But no strike has happened yet.
This article appears in Oct 2-8, 2013.
Good for the workers for standing firm against an inferior offer being made by Wegmans. The truck drivers, warehouse employees, and bakery workers who have unionized with the Teamsters are right not to take a payout and a shadowy retirement plan in lieu of a guaranteed pension that ensures a lifetime of financial security. And shame on Wegmans for attempting to use their vaunted local brand to try to pull this chicanery on their own workforce.
You should never gamble with the certain and steadfast equality of a pension for a dialuted form of reason of prosperity .You all should strike not just for yourselves but for also the uncertain future of every working man in america being shredded little by little everything that is good
As a working man are virtue and values are giving to assure the product of are ideas grow and prosper so shall the princple and value of our lives should be after our service to continue the virtue.