Avis/Budget Group

AVIS-BUDGET GROUP WAGE ADJUSTMENT NEGOTIATIONS REOPEN

Unions seek pay hikes for 40 Members

 

WAGE ADJUSTMENT NEGOTIATIONS REOPEN FOR 201 AVIS-BUDGET GROUP

 

As a result of an agreed upon 2013 Contract re-opener, negotiations began on Thursday October 3, between Local 201 and AB Group (Avis-Budget) to review some Avis and Budget members’ pay rates in attempts to reconcile some parity issues.

 

Avis merged with Budget a number of years ago but continued to operate if the two brands as separate businesses at Lynn. There then was the recent merger of Avis and Budget members’ Labor Contracts at Logan Airport and Avis Headquarters in East Boston. This was driven by Massport’s centralization of all car rental companies into one building. Now, all Avis and Budget members are in one unit called AB Group at Logan Airport and Headquarters.

 

Both units have historically had seniority based wage rate systems by classification rather than one rate attached to a specific classification. However, Avis has been union for 30 years while Budget only unionized about 4 years ago. The Avis Brand also was considered the more premium car rental brand. These factors have meant that Avis members generally receive higher pay rates versus their counterparts at Budget who are in the same classification with similar amounts of service time. Now that our members are merged together under one contract (Avis-Budget Group) and working together, the Union is seeking parity in the wage rates for 21 former Budget members. The Union also found some parity problems for 19 former Avis members that stem from other historical factors. Thus, the Union is seeking pay increases for a total of 40 members in these

parity negotiations.

AVIS AND BUDGET VOTE ON MERGER AND CONTRACT

 

Official Results on Merger and Contract Voting today for Avis and Budget IUE-CWA Local 201 Members August 15, 2013 Vote

 

EAST BOSTON

 

Avis Members ( Logan Airport/Headquarters – East Boston ) – 87% for merging with Budget 201 Unit and 13% against

Budget Members ( Logan Airport- East Boston- East Boston ) -100% for merging with Avis 201 Unit and 0% against

 

Avis and Budget Members in East Boston voted – 95%  YES to the New Merged Contract with 5% Against.

 

 The Contract has been accepted overwhelmingly and our members have a new 5 year Contract.

 

The ratification acceptance is now official now. The Election Committee has not included “challenged” ballots in the count – mostly voters who did not show up on current Union dues lists. (8 individuals from Budget and 7 from Avis). These could be Company payroll mistakes that need to be corrected and the votes may be later counted after review. This could change the percentages in favor but not the final outcome.

 

There were also 8 ballots from Avis that the Election Committee said they have rejected as the voters’ intent was not clear from the way they marked the ballot or they ruled the individual was not an eligible voter

 

 

LOCAL 201 will NOW be preparing for our next negotiation with the Company for the Wage Adjustments needed for approximately 40-45 members at Budget and Avis.

 

 

BOSTON DOWNTOWN/CAMBRIDGE

 

 

AVIS MEMERS (Boston Downtown & Cambridge) voted 71% Yes to New Contract with 29% Against the New Contract  (Note: these members previously had voted to become a separate bargaining unit of IUE-CWA local 201 but Local 201 negotiated the same Contract for them to vote on as the new merged unit in East Boston). There was 1 ballot form Downtown rejected by the Election Committee for no clear voter intent. The Contract has officially been accepted by Downtown members.

 

 

 

 

SUMMARY OF UNION TENTATIVE AGREEMENT

SUMMARY OF UNION TENTATIVE AGREEMENT

WITH AB GROUP AND AVIS - 5 YEAR AGREEMENT (JULY 1, 2013 – JUNE 30, 2018)

 

WAGES

 

*With 2 or more years of service as of July 1, 2013 members receive:

 

7/1/2013 - $0.60 per hour increase (*retroactive back to this date)

12/01/13 - $0.25 per hour increase (*applies only to those in new CSR group)

7/1/2014 - $0.55 per hour increase

7/1/2015 - $0.55 per hour increase

7/1/2016 - $0.50 per hour increase

7/1/2017 - $0.45 per hour increase

 

*With less than 2 years as of July 1, 2013 members receive:

 

7/1/2013 – Wages get adjusted retroactive back to this 7/1/2013 date with the new below improved progression schedules as follows:

 

                  RSA          CSR       SERVICE AGENT (and T&L)    SHUTTLER    PDI

 

Start         $11.00       $11.25                      $10.40                                  $8.75          $10.55  

6 Month   $11.25       $11.50                      $10.65                                  $9.00          $10.80

1 Year      $11.50       $11.75                      $11.15                                  $9.25          $11.15

18 Month $11.75       $12.00                      $11.40                                  $9.50          $11.40

2 Year      $12.00       $12.25                      $11.65                                  $9.75          $11.65

 

Note: Most of the step raises in the chart above are in $0.25 increments every 6 months - meaning a $0.50 annual increase, except for the “1 Year” step increase for Service Agents and Tire & Lube (T &L) which is a $0.50 bump up in 6 months.  More importantly, most of these rates are greatly improved and members shall also receive the raise to these newly negotiated rates retroactive back to July 1, 2013.  For Budget members in a RSA or the new CSR position, this could mean increases retroactive back to July 1, 2013 of $1.00 to $1.50 per hour extra depending where you fall on the step chart.  For a Budget member in a Service Agent position, this could mean increases retroactive back to July 1, 2013 of $0.40 to $0.75 per hour extra depending where you fall on the Step chart.  For Avis members in a CSR position, the retroactive increase would be anywhere between $0.15 and $0.45 depending where you fall on the Step Chart.  Even some Avis RSA’s, Service Agents and Tire and Lube members may see retroactive monies depending where they are on the new step charts, as some steps were improved from previous Avis step rates.  All Avis Shuttlers, still on the step charts on July 1, 2013, shall see retroactive wage monies of $0.35 to $0.50 per hour.  In summary, most members with less than 2 years of service as of July 1, 2013, are going to receive retroactive pay raises back to July 1, 2013 (some of them big) and have a higher pay raise schedule going forward.

Union Reaches Tentative Agreement.

 

 
UNION REACHES TENTATIVE AGREEMENT WITH AB GROUP AND AVIS ON NEW CONTRACT
 
The IUE-CWA Local 201 Avis – Budget Negotiating Committee reached a “Tentative” agreement with the AB Group (Logan/Headquarters) and Avis (Downtown/Cambridge) on a new 5 year (2013-2018) Contract on Thursday, July 24. The Unions Bargaining Committee has voted unanimously to recommend acceptance of the new Contract to our members.
 
The tentative agreement was reached after all day bargaining sessions on July 21- 22 and continued bargaining through July 25 by phone and e-mails.
 
The Union’s Chief Negotiator, Business Agent Ric Casilli, answered some anticipated initial questions from members as below:
 
QUESTIONS AND ANSWERS
 
Q. How would you characterize the tentative agreement?
 
A. It is excellent for current members whether you are at Avis or Budget. It is probably the biggest agreement financially our members have ever secured.
 
Q. What are the wage increases?
 
A. They are, per hour, $.60, $.55, $.55, $.50 and $.45 each July 1st over the 5 years, for members who have been employed for 2 years or over as of July 1, 2013. These last four increases also apply to all other members as soon as they are off their 2 year progression schedule.  The first $.60 per hour will be retroactive from July 1, 2013 pending ratification by members. Based on the approximate average wage of our Avis members of $14.00 – this would amount to an average of a 3.8% wage increase each year over the life of the Contract. Based on the approximate average wage of our Budget Members of $12.10 – this would amount to an average of a 4.4% wage increase each year over the life of the Contract. These are way above average wage gains in Contracts in these economic times!  In addition, there is an extra $.25 per hour added this October for all Avis and Budget members that will be in the new CSR multi-skill classification. (Sidenote:   Before this contract settlement, Avis members with over 2 years received in April a $.25 per hour increase so their increase for 2013 will now be $.85. If you are a CSR from Avis, it will total $1.10 per hour increasing the average 2013 pay raise percentage to almost 8.0% for one year.)
 
Q. What about wage increase for members with less than 2 years of service?
 
A. These members are on the progression charts (as in all previous contracts) BUT there have been MAJOR improvements in all the Budget progression schedules and even many of the Avis schedules for the different classifications. The net impact is that most members, with less than 2 years service as of July 1, 2013, are going to see bigger wage increases with the new Contract than would have under their respective old contracts. These members will receive the pay increases of the new improved schedules effective also retroactive to July 1, 2013. This will also fix any “parity” differences (inequality) between Avis and Budget members in the same classifications with similar service time, as all members shall be on the new improved same schedule for pay purposes. So, the pay equity issue for those with less than 2 years of service will be settled. These members then will also receive all the negotiated wage increases going forward listed in the second question above.
 
 
 
 
 
(OVER)
 
 
 
Q. What about wage “parity” (equality) between members that with more than 2 years service that are not fixed by the improved new progression schedules?
 
A. This issue has begun to be addressed and it will be addressed! This is a serious issue for the Union. The Union already has made “parity” (equality) proposals for 23 Budget Members and 18 Avis members based on their similar service and job classifications. The Company made a counter proposal and there was much discussion on the two proposals. The Company became concerned that this was a complicated and time consuming process to review so many individuals, their pay rates and history; and then to have to bargain each rate and time periods to reach parity - would delay, unnecessarily, reaching an agreement on the rest of the Contract. This would delay all members their general wage increases, other positive contract provisions and make the move into the new facility in September more difficult.
 
The Company requested to delay that bargaining until after ratification. A Letter of Understanding has been signed by both the Union and Company. That letter mandates such bargaining to occur immediately following ratification for a period up to 4 months (unless mutually agreed upon extensions are approved). If no agreement can be reached on any individual(s), then the parties agreed to work with an impartial mediator to resolve. If there still is a disagreement between the Union and Company, the Union has the right to picket, strike or will use other legal options at its disposal. The Company has signed a “good faith” commitment to bargain over the Unions equality proposals and we are confident we can reach an agreement that will lead to equality of wages of members, with over 2 years, in the same classifications and similar service dates. The Union has already requested bargaining dates on this important matter for late August, assuming a ratification of the main Contract.  It is important to secure now the incredible gains for all our members in front of us.
 
Q. Who will be involved for the Union in the follow-up “parity” (equality) negotiations?
 
A. I will be involved, along with our same full Union negotiating committee. The Union has Alex Brown (President), Bill Rounseville (Step 2 & 3 Avis/ Budget representative), Jorge Rivera (Avis Chief Steward), Eladio Quintana (Avis Steward), Kamau Hashim (Budget Chief Steward), and Mukhtar Abdul (Budget Steward) who are all on our negotiating committee. The Union recognizes the importance of these negotiations. This issue will be addressed by this Union.
 
Q. Why a 5 year Contract vs. the usual 3 year Contract?
 
A. The cost of this contract package is much higher than normal and the Company wanted to be able to spread out their higher financial costs over a longer period of time. The Contract merges a 30 year old Avis Union Contract (stronger) with a 4 year old (weaker) Budget Contract. Budget members will see a much more improved Contract in many areas, especially holidays, progression rate increases, overtime calculations and wage increases. Avis members shall see improvement in many areas also – such as their 401K, Avis Retirement plan and wages. Then there will be additional equality costs after the second round of negotiations on the contract reopener on parity to address the approximate 41 Avis and Budget members the Union has identified needing additional wage increases.
 
Q. When will we get a more detailed Summary of the Contract?
 
A. The Union intends to put out at least 2 more communications during the next 2 weeks. One will be a more detailed Contract Summary and one will address the important Parity (equality) Wage Negotiations that will open up in late August. Copies of the entire tentative agreement shall be given to members the day of the vote
 
Q. When will we vote on the Main “Tentative” Contract Agreement?
 
A. Voting will be held Thursday, August 15, 2013 at the Embassy Suite Hotel at Logan Airport. Informational Meetings and voting will be held most of the day for Avis members (Headquarters & Logan) and for Budget members (Logan). There will be separate ballots for each unit. Both units will be asked to approve merging the units together and then will vote on approving the new Contract Agreement. Exact times of meetings and voting will be announced soon. The Union is working on different arrangements for our Downtown Boston/Cambridge members for informational meetings and voting.
 
IUE-CWA LOCAL 201
(July 30, 2013)

AVIS/BUDGET CONTRACT

 

       Official IUE-CWA Local 201 Communication

 

AVIS/BUDGET CONTRACT

NEGOTIATIONS REPORT

Tuesday, April 16, 2013

 

Two more Contract negotiating sessions were held on April 9 and April 10. The Union and Company have been plodding through the 31 Articles of the Avis Union Contract and the 26 Articles of the Budget Union Contract. The parties are attempting to merge the two contracts into one Contract between IUE-CWA Local 201 and AB Car Rental Services. At this point, the parties are working on merging non-economic Contract Articles. The Union has been fighting to put in the best provisions for all our members in any new agreement, whether they are from the Avis or Budget Contract. It is a complicated and slow process doing this.

 

The Union strongly opposed a Company proposal to split off our Avis Maintenance Technicians at Headquarters to be under a separate Contract and become a separate bargaining unit of Local 201. The Company dropped the proposal. Thus, our technicians will remain in the same bargaining unit and be under the same contract as our members at Logan Airport.

 

The Union also strongly opposed a Company proposal to split off our members working for Avis in Boston/Cambridge to be under a separate Contract. The Company argument is that they are going to be working for a separate Avis management and not AB Car Rental Services management. The Union argued successfully that we would agree they could be a separate union bargaining unit of Local 201 closing the door on any movement between downtown and Logan Airport during any times of job reductions. However, they will remain under the same main merged Contract we are currently negotiating for the Airport

 

Our Bus Drivers at Avis and Budget will not be under the provisions of the new contract agreement negotiated and ratified by the membership, unless they get transferred into other job positions for AB Car Rental Services or Avis (Boston/Cambridge). They shall however remain under all provisions of our current Contracts with Budget or Avis and the provisions of the separate Bonus agreement previously announced. Their layoff date is expected to occur sometime in September.

 

Negotiations for a new merged Contract will resume on Friday April 19. The parties hope to try and settle all non-economic provisions of the Contract that day and then begin discussing the important economic issues such as wages, vacations, overtime rates etc. and a host of benefit areas.                                               

                                                    OVER

SENIORITY

 

The parties have reached an agreement to meet with an impartial 3rd party mediator to discuss the complicated issue of merging the seniority of the members in the 2 bargaining units. The meeting will be held in Boston at the Federal Mediation and Conciliation headquarters on Tuesday, May 21. The Company and Union will be presenting the Federal Mediator with the background and history of the Avis and Budget Bargaining units and the seniority provisions in both current contracts. The Union’s full negotiating committee will participate, including Avis Chief Steward Jorge Rivera, Avis Steward Eladio Quintana, Budget Chief Steward Kamau Hashim and Budget Steward Muktar Abdul. The Union has also asked our stewards to select a union member from Avis and a union member from Budget to participate in the discussions and presentation of the complicated issue to the mediator. We will update our members after that meeting on the seniority issue.

 

Remember there is no agreement unless the Union reaches a final tentative agreement and it is then voted and ratified by the memberships of both current units – Avis and Budget.

 

We will keep you updated on the negotiations. Thanks for your support.

 

IUE-CWA Local 201 Avis/Budget Bargaining Committee

 

 

                  Ric Casilli                Alex Brown                Bill Rounseville

Business Agent             President         Amalgamated Representative

 

   Jorge Rivera                Kamau Hashim           Eladio Quintana       Muktar Abdul

Avis Chief Steward    Budget Chief Steward      Avis Steward         Budget Steward

                

CONTRACT TALKS BEGIN AT AVIS - BUDGET

 

Avis and Budget Contract Negotiations Open

Negotiations opened on February 15th in an attempt to try and forge one Contract (out of the current separate contracts) for our approximate 230 Avis and Budget members This is going to be an extremely difficult process. The Union’s goal is to improve wages, benefits and working conditions for ALL our members. In regards to seniority (for shift bids, vacation bids, layoffs etc), your Avis Stewards (Jorge Rivera and Eladio Quintana) and your Budget Stewards Kamau Hashim and Mukhtar Abdul have made it abundantly clear to Union officers and Company officials how “their members” would like it be applied. To no one’s surprise – the views of the two unit’s members are 100% apart. This is totally natural and to be expected. There are very valid reasons why both sides they feel it should be their way. However, you are ALL union members and we have to care about ALL union members. There is only one way to accomplish this and that is coming up with a fair compromise. Both the Company and Union Officers are reviewing different options on the seniority issue to try and strike a fair and balanced compromise taking into account the history of employees with Avis and Budget and their history in union bargaining unit positions. In the end, no one is going to get 100% of what they want but our goal is to do something that is fair under the circumstances. (Note: This has nothing to do with your current “service dates” that the company uses for your benefits, wages, amount of vacation time etc. Those dates will NOT be changed at all as a result of the merger)

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