UPS, Aircraft Mechanics Reach Deal

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United Parcel Service Inc. and unionized mechanics and other U.S. workers at its in-house airline reached a tentative agreement yesterday on a new five-year contract.


The contract, which runs through Nov. 1, 2006, is retroactive to Aug. 1, 2001. It covers 1,140 aircraft mechanics, flight simulator technicians, utility workers and maintenance controllers working for UPS Airlines, which is based in Louisville, KY, and has a 250-aircraft fleet.


The deal would take the top hourly wage for a UPS aircraft mechanic to $43 from $30.67, though it still needs approval by members of International Brotherhood of Teamsters Local 2727. The deal also would increase pension and improve wage-progression scales.


"This contract both rewards our employees for their contributions and enables UPS to remain competitive," said Bob Lekites, UPS vice president for airline and international operations. "The agreement means we can continue to focus on growing our business while enhancing good-paying UPS jobs."


UPS employees represented by the Teamsters recently approved a new six-year contract negotiated in July. That agreement calls for a 22 percent wage increase over six years for 230,000 UPS workers and provides the largest wage and benefit increase in UPS history.


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