United Auto Workers members at International Truck and Engine Corp have voted by a 55% to 45% margin to ratify a new five-year labor agreement with the firm. The contract covers more than 7,000 UAW members at International Truck and Engine facilities in Ohio, Illinois, Indiana, Georgia, and Texas.
The contract provides lump-sum payments equal to 3% of wages in the first, second, and fourth years, and 3% wage rate increases in the third and fifth years.
Pension benefit levels will increase for future retirees during the life of the agreement. The previous contract specified benefit levels ranging from $32.65 to $33.40 per year of service, depending on a worker's wage rate at the time of his or her retirement. Under the new agreement, pension benefits will rise to a range of $35.65 to $36.40 per year of service.
Benefits for future early retirees have also been increased, and current retirees will receive $1,800 in lump-sum payments during the life of the five-year agreement.
The agreement also includes an expanded ergonomic program, new protections to reduce exposure to air contamination from metalworking fluids and other hazardous substances, an environmental control program to limit exposure to hazardous substances in foundry operations, and a $300,000 fund to support joint research on health and safety.
The contract also implements a new health plan for UAW members and their families, which will emphasize preventive care, including comprehensive doctor's visits for children and adults, age-appropriate immunizations, and screening tests for diseases. The agreement includes increased benefit levels for dental, vision, and hearing aid coverage.