The Teamsters ratified Tuesday a new five-year deal with UPS, removing the threat of a strike that could have caused major supply chain disruptions across the US.
The union reported that a record 58% of its rank-and-file members turned out to vote, with 86% backing the contract that will be in effect retroactive to Aug. 1 — the largest margin in favor of a deal ever at the company.
This settlement between the Teamsters and UPS underscores what can be achieved when labor fights are carried out fairly on a balanced playing field, and will likely teach a lesson to anti-union companies who may believe they have the upper hand over workers. Given that failed negotiations cause enduring damages to both sides, it's unwise for bosses to play chicken with unions. This settlement could have a positive ripple effect on labor issues nationwide.
Another decade, another Teamsters-UPS deal mistakenly being touted as a resurgence of the American union movement. Just like in 1997, when UPS capitulated to pressures from this cartel and again sought to crush competition among labor sellers despite the company losing market shares. It's competition and entrepreneurship, rather than unions, that provide prosperity for workers.