MONEY

Teamsters members reject Wegmans contract

Gary McLendon
Staff writer

For the second time during this round of contract talks, Wegmans' Rochester-based distribution and transportation employees have rejected the contract proposal that was agreed to by Wegmans and Teamsters Local 118.

Wegmans announced Tuesday night that the bargaining unit for has turned down Wegmans' offer of an immediate $1,000 lump sum payment for full-time employees ($500 for part-time); an 18% pay increase over the life of the six-year contract; a move to Wegmans fully-funded Retirement Plan, and a package of retirement assistance options valued at more than $10 million.

Wegmans' offer included pay into millions of dollars in withdrawal liability to help preserve the benefits already due its employees from the the New York State Teamsters Conference Pension and Retirement Fund.

"For months we have bargained in good faith, and frankly, we are frustrated and deeply disappointed, " says Mike Cullen, vice president of distribution. "But, we have prepared for every possible outcome. Our stores will remain open for business without interruption."

Negotiations resumed on Oct. 11 after Wegmans' initial contract proposal was rejected by the bargaining unit on Sept. 30.

The 'no' vote was also a strike authorization vote giving the Teamsters Union authority to call a strike at any time without further input from the members.

A second-set of negotiations included the union's specific concerns around retirement transition benefits, health care, and growing work for the bargaining unit, resulting in a tentative agreement an Oct. 12 that the Teamsters Local 118 committee agreed to recommend to its members, the company said.

GMCLENDN@DemocratandChronicle.com

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