Nearly 400 IAM members, who work at the Daimler Corporation’s Portland Truck Plant, have been on edge lately. With the downturn of the economy, their facility has been threatened with closure, and makers of the Western Star branded vehicles were looking at all options in the hope of saving their factory, and their jobs. Over the previous months, the workers had prepared for the worst – they would have to take pay and benefit cuts, or lose their jobs in a plant closure.
With their collective bargaining agreement set to expire, the IAM and Daimler representatives looked for innovative ways to improve the outlook for the facility. In the finest spirit of working together, the two teams came up with an approach that appears to be true win-win for the company and the workers.
The committees began with protecting current pay levels, and increasing pension contributions to the Machinists Automotive Pension Fund. Then they overhauled the workforce structure to allow for more employee input into operations, by increasing cross-training and skill-building.
“Our members now have the prospect of their jobs continuing for 3 years without a reduction in pay, and the confidence that the Portland Truck Plant will be operational for that time. This is a good agreement that had been recommended by the union bargaining committee and was ratified by the membership,” said IAM Business Representative Joe Kear. The IAM has represented workers at the Portland Truck Plant since 1947.
In a final bit of protection and commitment, language was included into the contract that will provide each employee with two weeks severance pay for each year of seniority, in case a plant closure was ultimately needed.
“The new three-year contract has delivered some hope to workers who have dedicated themselves to building these world class trucks,” said IAM GVP Gary Allen. “Through the efforts of negotiators on both sides of the table, the future looks much brighter now. This facility has withstood difficult times, and all parties came together to define a joint vision for their future. It is a testament to the representatives, and we are proud of their skillful efforts”.
