Union Proposal: Bargaining
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Write My Essay For Me| Local H-56 Team (Table #3): | Date: 11/15/2018 | |||
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Team Members: |
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| TARGET (DESIRED) SETTLEMENT | ||||
| Item | Proposal | Cost | ||
| Wages
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5% increase the first year, 4% increase the second year, 3% increase the third year. | First year cost: $180,388.49
Second year cost: $187,522.03 Third year cost: $192,962.18 Total wage cost: $560,872.7 |
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| Health
Insurance |
All employees who work a minimum of twenty (20) hours per week are eligible for these benefits as stated by the current contract. 90% of employees are enrolled currently. 40% of employees are enrolled in single coverage (rounded to 67 employees) and 50% are enrolled in family coverage (rounded to 84 employees). Total of 151 employees currently enrolled in a health insurance plan. -Based off contract
Health Insurance (Annual Deductible for Single Coverage, fully paid by the Fund): Take a 3% increase (currently $4,000+120)= $4,120-$100=$4,020 *Note: According to The Zinnia and Local H-56 website, by increasing the prescription drug co-pays by another $15 per drug we can reduce annual premiums by $100 per employee (single coverage). Health Insurance (Annual Deductible for Family Coverage): Take a 4% increase (currently $10,500+$420=$10,920-$400=$10,520 (fund will now pay $7,520 and employee pays $3,000) *Note: According to The Zinnia and Local H-56 website, by increasing the prescription drug co-pays by another $15 per drug we can reduce annual premiums by $400 for family coverage. *Note for Percentage Increases: According The Zinnia and Local H-56 website, it is expected that these rates increase (annual deductible for both employee and family coverage) by 5% this year if no changes are made. Prescription Drugs: 100% after 1 copay of $30 (currently $15) for generic; 100% after 1 copay of $90 (currently $75) for name brand drug Annual Out-of-Pocket Maximums (Health insurance): $3,000/person (currently $4,000/person) Dental Insurance: On average, it is $200 for a routine cleaning and x-ray (exams and cleanings occur 2 per calendar year→ $400 for a calendar year) The employer will pay 75% of each visit ($150) for once (with a total of $300 for the year). Calculated for a 167 employees |
($4,020)(67)= $269,340 Total life of contract: $808,020
($7,520)(84)= $631,680 Total life of contract: $1,895,040
($300)(167)= $50,100 Total life of contract: $150,300 |
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| Retirement
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Defined Contribution Retirement Plan: A contribution retirement plan provides a fixed contribution made by the Employer. “At the start of this Agreement, the Employer shall contribute to the “Twin Cities Hotel Employers-Employees Defined Contribution Retirement Plan” (hereinafter the “Defined Contribution Plan”), at a rate of thirty five cents ($0.35) for each hour paid to each employee under the jurisdiction of this Agreement. This contribution will be increased to forty cents ($0.40) on this Agreement’s second anniversary.” -Contract
Since, it is the Agreement’s third anniversary we are negotiating a fifty cent ($0.50) contribution to employees’ retirement plans for each hour paid to each employee. Since, each year most of the employees are increasing in age and desire to contribute greater amounts to their retirement. Calculations are based off proposal wage increase percentage and the number of employees times the rate of contribution. |
1st year: ($180,388.49)(167)(0.35)=
$10,543,707.24
2nd year: ($187,522.03)(167)(0.40)= $12,526,471.60
3rd year: ($192,962.18)(167)(0.50)= $16,112,342.03
Total over life of contract: $39,182,520.87 |
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| Other
Benefits: Day Care |
Day Care: Average cost of daycare is $11,666 per year. Employer will pay 50% of daycare. Note only 50% of our employees are enrolled in family coverage. Calculation is based off 167 employees.
Eye Exams: Eye exams on average cost around $88. The employer will pay $50 for each exam. Eye Glasses and Contact Lenses: Employer will pay $200 one time fee over the contract life to cover cost of glasses and lenses. Note eye exams and glasses calculations are based off that 50% of employees use them. Life Insurance: Accidental Death and Dismemberment Minimum of $10,000 (currently $5,000) Calculation is based off of 167 employees, at $3 per month per employee. |
Daycare: $1,452,417
Total life: $4,357,251
Eye Exams: $12,900 Eye Glasses and Contact lens: $16,600 Total: $88,500
Total: $6,012 Total life: $18,036 |
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| Vacations
and Holidays |
Employee will have to give 2 weeks notice in advance of request
1 year: 14 days of PTO 2 years: 14 days of PTO 5 years: 21 days of PTO 10 years: 28 days of PTO 15 years: 35 days of PTO 20 years: 42 days of PTO |
$228,651.99
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| Other: Regarding Undocumented Workers and Subcontracting
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Successorship:
“The Employer and the Union agree to abide by all Federal and State Labor Laws with respect to successorship. The provisions of this Agreement shall be binding upon the Company and on the successors, assigns, purchasers,lessees or transferee of the Company whether such succession, assignment, or transfer be effected voluntarily or by operation of law or by merger or consolidation with another company. The Company agrees that it will include in the purchase agreement that this Contract is binding on the purchaser or transferee.”
Subcontracting “For the purpose of preserving work and job opportunities for the employees covered by this Agreement, the Employer agrees that no work or services of the kind, nature or type covered by, presently performed, or hereafter assigned to the collective bargaining unit will be subcontracted, transferred, leased, assigned or conveyed in whole or in part to any other plant, person, or non-unit employees, unless otherwise provided in this Agreement. The Employer may not subcontract work in any classification for the purpose of avoiding overtime. The Employer may not subcontract work in any classification if any employee who normally performs such work is on layoff.”
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$0 | ||
| Other
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Uniform: The Employer shall provide uniforms and the laundering and upkeep for all employees who are required to wear uniforms in accordance with the employer’s established policies. Average cost at $30 | $4,980
Total life: $14,940 |
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| Other
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Meals: The Employer shall continue to provide employees meals free of charge consistent with past practice and only while on duty or as otherwise provided. | $217,100
Total life: $651,300 |
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| Attach additional sheets as needed with proposed language changes.
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| Proposed Contract Duration: __3__ years
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ESTIMATED ANNUAL COSTS
(add or delete years as needed) Year 1: $15,277,864.72 Year 2: $17,267,762.62 Year 3: $20,859,073.20
TOTAL LIFE OF CONTRACT COST: $52,718,744.57 |
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| Local H-56 Team (Table #___3___): | Date: 11/15/18 | |||
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Team Members: Joel Moore, Anna Tienter , Sulakshi Madawala |
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| MINIMUM SETTLEMENT
(THREAT OR WALKAWAY POINT) |
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| Item | Proposal | Cost | ||
| Wages
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2.75% increase the first year, 2.25% increase the second year, 1.75% increase the third year. | First year cost: $99,186.17
Second year cost: $101,710.91 Third year cost: $103,153.62 Total wage cost: $304,050.7
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| Health
Insurance |
All employees who work a minimum of twenty (20) hours per week are eligible for these benefits as stated in the contract.
90% of employees are enrolled currently. 40% of employees are enrolled in single coverage (rounded to 67 employees) and 50% are enrolled in family coverage (rounded to 84 employees). Total of 151 employees currently enrolled in a health insurance plan. Health Insurance (Annual Deductible Single Coverage): $2,250 Annual Out-of-Pocket Maximums (Health insurance): $3,500 Copay for generic prescription drugs: $12 Copay for name brand prescription drugs: $45 Dental Insurance: On average, it is $200 for a routine cleaning and x-ray (exams and cleanings occur 2 per calendar year→ ($400 for a calendar year) The employer will pay 50% of each visit ($100) for once (with a total of $200 for the year). Calculated for 167 employees |
Per year $11,133.33
($200)(167)= $33,400 |
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| Retirement
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Defined Contribution Retirement Plan: A contribution retirement plan provides a fixed contribution made by the Employer. “At the start of this Agreement, the Employer shall contribute to the “Twin Cities Hotel Employers-Employees Defined Contribution Retirement Plan” (hereinafter the “Defined Contribution Plan”), at a rate of thirty five cents ($0.35) for each hour paid to each employee under the jurisdiction of this Agreement. This contribution will be increased to forty cents ($0.40) on this Agreement’s second anniversary.” -Contract
Since, it is the Agreement’s third anniversary we are settling at a fifty cent ($0.45) contribution to employees’ retirement plans for each hour paid to each employee. Since, each year most of the employees are increasing in age and desire to contribute greater amounts to their retirement. Calculations are based off settlement wage increase percentage and the number of employees times the rate of contribution. |
1st year:
($99,186.17)(167)($0.35) =$5.797,431.64
2nd year: ($101,710.91)(167)($0.40=$6,794,288.79
3rd year: ($103,153.62)(167)($0.45=$7,751,994.54
Total over life of contract: $20,343,714.97 |
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| Other
Benefits |
Day Care: Average cost of daycare is $11,666 per year. Employer will pay 15% of daycare. Note only 50% of our employees are enrolled in family coverage. Calculation is based off 166 employees.
Eye Exams: Eye exams on average cost around $88. The employer will pay $20 for each exam. 4980 Eye Glasses and Contact Lenses: Employer will pay $50 one time fee over the contract life to cover cost of glasses and lenses. 4150 Note eye exams and glasses calculations are based off that 50% of employees use them. Life Insurance: Accidental Death and Dismemberment Minimum of $7,000 (instead of $5,000) Calculation based off of 167 employees |
Daycare: $435,725.1
Eye Exams: $4,980 Eye Glasses and Contact lens: $4,150 Total: $444,855.1
Per year: $389,666.66 Total: $1,169,000 |
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| Vacations
and Holidays |
Employee will have to give 30 day notice in advance of request (instead of 2 weeks)
1 year: 10 days of PTO 2 years: 14 days of PTO 5 years: 16 days of PTO 10 years: 18 days of PTO 15 years : 20 days of PTO 20 years: 22 days of PTO |
Per year: $29,278.63
Total: $87,835.91 |
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| Other
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Add sample clause to contract. You can find this on the website | $0 | ||
| Other
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Uniforms: The Employer shall continue to provide uniforms but charge employees 50% of what was paid for them (i.e a $12 shirt will be an authorized Payroll deduction to the employee at $6). The employer will be responsible of the laundering and upkeep of the uniforms once a week, the rest will be of the employees responsibility. Average cost is $30. | Per year: $7,470
Total Life: $22,410 |
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| Other
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Meals: The Employer shall continue to provide employees meals but at charge of $2.50 consistent with past practice and only while on duty or as otherwise provided. These dues will be authorized deductions that will be sent to Payroll to be deducted out of the employees paycheck at the end of each pay period. | Per Year: $325,650
Total life: $976,950 |
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| Attach additional sheets as needed with proposed language changes.
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| Proposed Contract Duration: 3 years
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ESTIMATED ANNUAL COSTS
(add or delete years as needed) Year 1:$6,659,816.34 Year 2:$7,660,641.03 Year 3: $9,618,346.78
TOTAL LIFE OF CONTRACT COST: $ 22,922,421.5 |
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