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Wage Chronology Pacific L o n gsh o re W orkers, A u g u s t 1 9 6 9 — Ju ly 1975 August 1969-July 1971 July 1971-July 1973 A supplemental agreement for container freight sta tions (CFS) was reached on August 15, 1969, between the International Longshoremen’s and Warehousemen’s Union (ILWU) and the Pacific Maritime Association (PMA).1 The pact specified that containers other than factory loads be stuffed and stripped by ILWU labor as a condition of being loaded on ships.2 All such container work was to be brought to the CFS on the dock or areas adjacent to the dock, unless there was mutual agreement to have the work done elsewhere or if some other em ployer or the Federal Government had a legal right to require the involved PMA members to have work done elsewhere. In addition, no PMA member was to renew, extend, or execute any new subcontracts for container work. The CFS had a basic complement of steady men consisting of utility men and clerks. Utility men per formed cargo handling activities as directed by the employer. These activities included driving forklift and other mechanical handling and lifting equipment, stock piling, palletizing and depalletizing, loading and unloading railcars, stuffing and stripping containers in the CFS, and other cargo handling activities. Clerks were responsi ble for the physical checking of cargo received at, delivered from, or within the CFS area, including spot ting, sorting, tallying, and tagging. The wage rate for utility men was established at $4.30 an hour, effective January 5, 1970 and $4.50 an hour effective January 12. No one however, actually worked at the January 5 rate. An agreement also was reached at the time of the CFS agreement on pension increases for all employees retired before June 30, 1966 and receiving a $165-a-month pension, or a benefit based on the $165 monthly pension, to bring such pensioners to parity with those receiving the $235-a-month benefit. The increased pensions were to be $190 in 1969, $200 in 1970, and $235 in 1971. The longest longshore strike in the Nation’s history was ended on February 21, 1972, when the approxi mately 15,000 members of the ILWU began returning to their jobs following ratification of a new 17-month agreement with the PMA, reached on February 10, 1972. The strike, which was interrupted by a Taft-Hartley Act injunction, had closed down Pacific Coast ports in the United States for a total of 134 days since July 1,1971. It resulted in the passage of emergency legislation by Congress requiring compulsory arbitration to end the work stoppage.3 At the center of the dispute was the* mechanization of freight handling on the waterfront through cargo containerization, which sharply reduced work opportunities, and the resultant jurisdictional problem of who should have the right to stuff and unstuff containers— ILWU workers or non-ILWU labor, mainly warehouse workers represented by the Teamsters (IBT). A preliminary caupus was held by the union in October 1970 to establish bargaining goals. The caucus was held earlier than usual because of the complex problems of work opportunity and also to consider a report by an ILWU container fact finding committee which had observed container operations in several Atlantic Coast ports. Negotiations between the parties began on November 16, 1970 in hopes of settling the problem of work opportunity, as outlined at the union caucus, by the June 30, 1971 expiration date of the then current 5-year pact. Initial union demands included a 2-year NOTE: The U.S. Census Bureau has introduced new job titles in its Occupational Classification System to eliminate those that denote sex stereotypes. For purposes of this bulletin, however, such titles have been retained where they refer specifically to contractual definitions. Where titles are used in the generic sense, and not to describe a contract term, they have been changed to eliminate the sex stereotype. Supplement to Bulletin 1568 U.S. D E P A R T M E N T OF LABO R Bureau of Labor Statistics 1974 1 A CFS was defined as a permanent facility on a dock or in a dock area that was either specially built only for stuffing, stripping, and storing containers, or a specially constructed shed or a place set aside to stuff, strip, and store containers that was distinct from the dock itself or from a container yard. 2 Only less than container lot (LCL) freight was to be covered by CFS units. Containers loaded at the point of origin or “containers of convenience’*were not covered by CFS units. Containers loaded at the point of origin represented the vast majority of containers handled by the ILWU and they were to be loaded and unloaded by regular longshoremen and not CFS men as were “containers of convenience” which are odd lot ship ments, stuffed and unstuffed for the convenience of shipper. 3 The measure was signed after the strike was over, however, as a “symbolic gesture.” contract; $l-an-hour wage increases in each year; an updated penalty cargo list; no further reduction in gang size; guaranteed work opportunity of a full week’s work or pay; elimination of extended shifts and reduction in shifts; establishment of 10 paid holidays (the practice was no pay if a holiday was not worked); liberalized vaca tions; improved pensions including a maximum normal pension of $500 a month and provision for cost-of-living adjustments in pensions; improved health benefits; ex panded ILWU jurisdiction over container work; an allowance for men in distressed ports who wished to relocate; elimination of the Mechanization and Moderni zation Fund with outstanding claims to be paid by the employers; and inclusion of Hawaiian workers in the coastwise agreement. Talks continued intermittently until early June with little progress on the key items of work jurisdiction and guarantees. The shippers had turned down the union’s basic demands in early April and responded with a 3-year package several days later. This was rejected mainly because it did not provide the job security sought by the union. Union strike demands were submitted to the shippers during last-minute negotiations held June 28-30, but accord could not be reached and on July 1, 15,000 Pacific longshore workers began the first coastwise strike in 23 years. The parties did not resume bargaining until late August, and during the weeks that followed some signifi cant progress had been achieved. By the end of September the parties had narrowed the wage gap, settled on the duration of the contract (2 years), worked out the basic approach to the pay guarantee (but not total liability), and reached tentative agreement on pensions. Some progress also had been made towards resolution of the container issue by agreeing that stuffing and unstuffing of containers within port “zones” was to be performed by ILWU labor with a tonnage tax being paid by em ployers on containers consolidated by non-ILWU labor. The container tax approach was similar to the practice in effect on the East Coast. An impasse was reached, however, on the amount of the container tax and on work jurisdiction. Adding to the situation created by the Pacific Coast strike, members of the International Longshoremen’s Association struck East and Gulf Coast ports and the Great Lakes Port of Chicago on October 1 as their contracts terminated. This brought about the first coastto-coast longshore strike in U.S. history. It involved about 60,000 ILWU and ILA dockworkers, and caused President Nixon to direct the Attorney General to seek injunctions to end the Pacific Coast tie-up4 and the Great Lakes dispute. (The Great Lakes dispute would have had an untimely effect on grain shipments.) It was expected that the East and Gulf Coast disputes could be resolved through collective bargaining since they were less than a week old. This course of action was based on recommendations made by a five-man Board of Inquiry, appointed under Taft-Hartley Act machinery on October 4. In appointing the Board, the President said a continued nationwide dock strike would “imperil the national health and safety.” The Board found that the West Coast dispute was “an uncommonly difficult dispute” and that there had been some progress but no end to the strike was in sight. On October 6, a temporary restraining order was obtained to halt the West Coast walkout pending hear ings on an 80-day injunction— which was subsequently obtained and was to expire December 25. An injunction to end the Great Lakes dispute was denied. Pacific long shore workers returned to work shortly thereafter although some local disputes prevented full operation. The primary tie-up was a strike in the large Los AngelesLong Beach port complex over which party had the right to select who would be hired from a pool of about 300 highly skilled workers called “steady men” . Since steady men worked almost exclusively for a single company and were therefore familiar with its operations, the companies wanted to continue to be able to designate them. The union contended that designating men was the function of the dispatching hall. On November 4, a Federal District judge ordered the locals to send men involved in the “steady men” dispute back to work and the PMA members to stop refusing gangs that they had not desig nated. In late November, longshore workers in East and Gulf Coast ports also were enjoined from striking by TaftHartley injunctions which would expire February 14, 1972.5 Although the Pacific Coast injunction expired December 25, the parties agreed to contract extensions to last until January 17 in talks that reconvened in December. Bargaining was recessed on January 12 to allow the presidents of both the ILWU and Teamsters (IBT) to meet in an attempt to solve the jurisdictional problem. Before the recess, the union also was demanding that wage increases be retroactive to the end of Phase I of the governmental economic stabilization program (November 14, 1971). ILWU-PMA negotiations resumed on January 15 after resolution by the two unions of the division of container work, and a reported agreement for future merger of the 4 The President had indicated earlier that there would have been some question as to the necessity for an injunction as long as the strike was confined to the West Coast. 5 Settlements were subsequently reached for North Atlantic ports in January 1972 and Southern and Gulf Coast ports in March 1972. 2 two union.6 The ILWU then was able to argue that PMA acceptance of ILWU container jurisdiction proposals would not result in strikes by the IBT. The shippers had contended that IBT pacts held by companies forwarding freight to the shippers precluded acceptance of ILWU con tainer proposals. Although the parties were close on most major issues by the January 17 termination date of the contract extension, agreement could not be reached on how an agreed-upon container tax of $1 per long ton (2,240 pounds) should be used— shippers wanted the royalty to be used to finance the pay guarantee plan while the union wanted it to finance further benefits— and on the effective date of the first-year wage increase. The strike resumed January 17, when the parties were unable to agree on the amount of money which would be committed for the pay guarantee plan. Four days later, President Nixon sent an emergency measure to Congress designed to end the Pacific Coast strike (and also bring a settlement for Hawaiian workers who had not been on strike) by requiring a return to work pending binding arbitration and to prohibit a strike or lockout for at least 18 months. On February 8, the parties resolved their key differ ences and reached tentative agreement on a 17-month contract subject to a ratification vote and Pay Board review. Longshore workers later ratified the pact in balloting which occurred February 17-19 and work resumed shortly thereafter. The pact provided for firstyear wage increases retroactive to December 25, 1971, of 72 cents for longshoremen and $1,125 for CFS utility men. Skilled rates were also to be increased by an addi tional 10 to 30 cents effective February 26, 1972 which would affect about 28 percent of the longshore work force. The lodging allowance was increased to $8 a day and the meal allowance was increased to $3 per meal. To protect and preserve established work of ILWU workers, the Container Freight Station Supplement (CFSS) was amended to require employers to contribute a tax of $1 per long ton (2,240 pounds) of containerized cargo stuffed or unstuffed by non-ILWU labor within a 50-mile zone in each port (with certain exceptions). Under the welfare and insurance program, medicalsurgical-hospital benefits in small ports were to be brought up to large port standards; a prescription drug plan was established for eligible active and retired men; a dental plan was established for active men, their wives and dependent children ages 15 to 19 (dental benefits previously applied only to children under age 15) which provided 95 percent of a schedule of pay ments; life and accidental death and dismemberment insurance was increased to $10,000 for Class A (fully registered) workers; and an indemnity plan was estab lished so that insured occupationally disabled workers could receive the difference between $125 a week and weekly workmen’s compensation. The pension plan was revised to provide a normal basic pension of $350 a month at age 62 after 25 years of service, plus a supplemental benefit of $150 until age 65. New disability and prorata benefits were provided based on the $350 basic benefit. Employees who had 25 years of service could retire at or after age 59 with benefits until age 65 having an actuarial value equivalent to the basic and supplemental benefit otherwise payable at age 62, and at age 65, an actuarial value equivalent to the basic benefit. An employee age 55 with 25 years of service could retire with the $350 basic benefit deferred to age 65, or on an immediate pension actuarialy reduced. Workers could leave the industry at age 55 with 13 to 24 years of service with accrued benefits, and payment deferred to age 65. Pensions for past retirees were increased also, to $300 per month. Beginning in 1973, the compulsory retirement age was to be reduced to 65 (from 68). The PMA also agreed to pay out about $800,000 to those who had not received the full M&M death and disability benefit. A pay guarantee plan was established which guaran teed 36 hours per week for eligible Class A workers and 18 hours for eligible Class B workers. The PMA’s con tingent liability for funding the plan was set at $5.2 million per year with the container tax funds to be applied against the cost of the guarantee. If any tax funds remained, they were to be applied toward the unfunded liability of the pension plan. The agreement was to remain in effective until July 1, 1973, but the pact could be cancelled 30 days after submission for Pay Board review if approval required under the economic stabilization program was not ob tained within that period. At the time of the agreement, certain matters such as hours of work, grievance, scope of work, and the “steady men” issue were still to be negotiated, and if settlement could not be reached, the issues were to be submitted to binding arbitration. Most of these matters were subse quently resolved through negotiations or arbitration.7 On March 16, the Pay Board announced that it had reduced the first-year “package” (the balance of the pact was to be reviewed later). As a result, first-year wage 6 Later in the year, the ILWU put off scheduled action on the merger reportedly because of opposition from the ILWU rank and file. 7 The “steady men” issue was resolved on July 5 when an arbitrator handed down a decision which limited use of a particu lar employee to 22 days a month and 6 days a week and specified methods of designating such men. The subject, however, con tinued to be discussed by the parties. 3 increases were cut to 42 cents (from 72 cents) for long shoremen and to 79 cents (from $1,125) for CFS utility men. The Board also ruled that the longshore industry’s liability for the first year of the pay guarantee plan was limited to a cost equal to 9.9 cents an hour. The Board also said that if the cost of the guarantee at the end of the year was less than this amount, the difference could be applied retroactively to wage rates. If the cost ex ceeded this amount, the additional cost could be deducted from the second-year wage increase. In late March, ILWU and PMA negotiators met to discuss the Pay Board cuts. According to the union, the PMA recognized in principle that it had an obligation to pay the money deducted from the settlement. The union proposed that the PMA escrow such monies in a special account to be payable by July 1,1973 (contract termina tion) or whenever governmental approval was obtained or controls were ended, whichever was earlier. The Pay Board then instructed the PMA that such an agreement would not be allowed, and the PMA complied. The union in turn sued to have the Pay Board enjoined from instructing the PMA on escrowing and announced that it had reserved the right to cancel the new agreement as of April 15, 1972— the date cancellation would be allowable if the pact was not approved. The union had also suggested that manning scales be increased for the life of the contract to compensate for Pay Board cuts, but the PMA rejected the proposal. In April, the Port of Seattle (not a member of the PMA) filed suit in Federal court charging the ILWU and PMA with violation of anti-trust laws through their agreement that “containers originating at or destined for delivery to a non-PMA member facility employing ILWU labor within the Port Area CFS Zone, shall be stuffed and unstuffed by ILWU labor employed by an employer signatory to the Pacific Coast Longshore and Checkers Agreement or the Container Freight Station Supple ment. . .” A hearing was scheduled for April 21. A related complaint was filed with the National Labor Relations Board against the union and shippers by several forwarders who used Teamsters to pack and unpack vans, charging that the container tax was an illegal attempt to stop steamship companies from using forwarders. On May 3 the ILWU suit against the Pay Board was denied on the grounds that the Board’s action has been “informal” (over the telephone). The Federal judge also ruled that he could see nothing to prevent the unions and shippers from reaching an agreement on the escrow of monies, but on May 5 the Pay Board formally ruled that the escrowing of the monies in question was not allowed. The Board also said that if would scrutinize other methods which might be used to circumvent its decisions. The parties, on May 15, announced implementation of the February agreement as revised by the Pay Board. This followed an agreement dated May 11 that if wage and price controls were eliminated on or before Novem ber 30, 1972, the pact could be terminated by 60 days’ notice or by 24 hours’ notice if controls were not if effect on or ended on or after January 31, 1973. A day after the implementation announcement, as a result .of the complaint before the NLRB by the freight forwarders, a Federal district court judge ruled illegal new sections of the CFSS which (1) called for the con tainer tax, (2) provided that port zone work be performed by ILWU labor, and (3) prevented a PMA member’s subcontracting of container work to non-PMA employers. The ILWU and PMA then agreed to reinstate old relevant sections of the CFSS which required the use of ILWU labor for the stuffing and stripping of nonfactory loads as a condition of loading cargo on ships. This also was ruled against, however, in mid-June by a Federal judge thus reducing ILWU jurisdiction over container work. On February 9, 1973, following a request from the ILWU, the Cost of Living Council denied restoration of wage cuts made by the Pay Board. June 1973— July 1975 An early settlement was reached between the PMA and ILWUon June 9, 1973 for 13,000 dockworkers. The 25-month pact was made effective June 1, a month ear lier than the scheduled expiration date of the previous agreement. The early settlement reportedly reflected the parties’ anticipation of new stiff government wage-price controls. Workers ratified the pact by July 14. Interim agreement on four key items was reached on May 10, following talks which had begun on May 8. This understanding paved the way for the peaceful final settle ment, and provided for a 2 5-cent wage hike on June 1, a guarantee against layoff, and continuation of the pay guarantee plan. It also provided for formal bargaining to begin by May 15 in an attempt to attain full settlement by the end of May. The Parties also agreed to discuss at that time the use of binding arbitration to resolve any stalemate. The union initially had sought a 50-cent-anhour wage hike in a 1-year pact, adoption of a cost-ofliving escalator clause, the establishment of paid holidays, improved fringe benefits, and increased jurisdiction over container work. Terms of the new contract included general wage increases for longshoremen of 25 cents an hour on June 2, 1973, 15 cents on June 30, 1973, and 30 cents on June 29, 1974. Because longshoremen received 6 hours’ pay at their basic rate plus 2 hours at/their overtime rate, while CFS utility men received 8 hours at their basic straight-time rate, the equivalent general wage increases for CFS utility men amounted to 28, 17, and 33.5 cents. An escalator clause was established which 4 new system, 1/52 of annual funding was made available for a week’s guarantee payments with reductions to be made in the weekly payments if the payments exceeded 1/52 of annual funding. Total payments were to be reviewed at the end of 13-week periods— if the accumu lated payments were less than 13/52 of funding, the excess monies would be distributed as “make whole” payments to employees who had received reduced weekly guarantees, up to the amount of their guarantee (36 hours’ pay for class A workers and 18 hours for class B workers). If monies remained after such “make whole” payments, the excess would be paid to Class B workers to bring their weekly guarantee up to a maximum of 24 hours. The pact also provided that there would be no reduc tion in the registered longshoremen (or clerks) work force during the term of the agreement, except due to normal attrition, unless mutual agreement was reached on a reduction because of unusual circumstance. The agreement was scheduled to remain in effect until 8 a.m. on July 1, 1975. On May 7, 1974, the ILWU and PMA reached agree ment for a June 1 general wage increase of 30 cents (an equivalent 33.5 cents for CFS utility men) following expiration of Federal wage-price controls at midnight of April 30. This hike restored the amount cut from the 1972 agreement by the Pay Board and was in addi tion to the already scheduled June 29 increase. The agreement did not otherwise alter the 1973 contract. With the impending end of controls, the union had demanded a reopening of the current pact under terms of the May 11, 1972 supplemental agreement (allowing cancellation of the 1972 settlement if controls were not in effect on or after January 31, 1973) to discuss restoration of the amount cut by the Pay Board in its March 16, 1972 ruling. The PMA, however, did not con sider the May 11 supplemental agreement to be applicable to the 1973 contract which had been scheduled to remain in effect until July 1, 1975. A 1-day coastwise work stoppage by longshoremen occurred on May 1, because of the disagreement, but work resumed the next day after the parties agreed to discuss the union’s demands, and the wage agreement was reached on May 7. The following tables bring the wage chronology up to date until the expiration of the contract. provided for cost-of-living adjustments for longshoremen in January and July of 1975 of 1 cent for each 0.3-point increase in the Bureau of Labor Statistics Consumer Price Index (1967=100) during a 6-month period preceding the adjustments. The adjustments were not to exceed 12 cents and 10 cents, respectively. Container freight station utility men were to receive equivalent adjustments. Two paid holidays were established in 1973 and three more were to be added in 1974. Vacations were to be liber alized in 1973 and 1974. Improvements in welfare benefits included extension of coverage through age 22 for dependent children who were full-time students and to any age for previously incapacitated dependent children. Kidney dialysis treat ment in a patients’ home or in a nonhospital center was to be paid for. Welfare coverage was provided 1 year from death for a widow of an active man. The children’s dental coverage was extended to children under age 19 (was 15) and the adult benefit was increased to 100 per cent of a schedule of payments. Orthodontia services were added on a 50-percent co-insurance basis, up to a maximum benefit of $500. A vision care program was established in 1974 with a $5 deductible. It provided for annual eye examinations, annual replacement of lenses if the prescription changed, and frames every other year. The employee was to receive these benefits through a panel of optometrists. Pension benefits were improved to provide employees who elected to leave the industry after attaining age 55 and 25 years of service, the existing monthly benefit of $350 deferred until age 62 (was age 65) or for such men less than age 59, an immediate pension actuarially reduced from age 62. Men who left the industry after attaining age 55, and had 13 years but less than 25 years of service were given the option to take an immediate pension actuarially reduced from age 65 with widows’ benefit coverage of one-half the actuarially reduced pension (these men previously were limited to a deferred pension payable at age 65 of full dollar benefit accrued at time they left the industry). The widow of an active employee who died at age 59 (was age 60) or after with 25 years of service was entitled to a widows’ benefit. Substantial improvements were made in the pay guarantee plan. The companies’ contribution was in creased to $6 million per contract year, and the method of allocating the guarantee pay was revised. Under the 5 Table 1. General wage changes Applications, exceptions, and other related matters Provision Effective date Jan. 5, 1970 (CFS memo- Basic wage rate of $4.30 an hour established for CFS utility men.2 randum of agreement dated Oct. 28, 1969). Jan. 12,1970 (CFS memorandum of agreement dated Oct. 28, 1969). 20-cents-an-hour increase for CFS utility men. Retroactive increases in accordance with Pay Board ruling announced Mar. 16, 1972. The Feb. 10, 1972, memo randum of understanding originally had provided for wage increases of 72 cents for longshoremen and $1,125 for CFS utility men retroactive to Dec. 25, 1971, but the Pay Board subsequently denied the full amounts under the economic stabilization policies of Phase 2. Dec. 25, 1971 (memo42-cents-an-hour increase for longrandum of understandshoremen and 79-cents-an-hour ing dated Feb. 10, 1972, increase for CFS utility men. and supplemental memorandum of understanding dated May 12, 1972). Agreement also provided for deferred increases effective July 1, 1972. Feb. 26, 1972 (memorandum of agreement dated Feb. 10, 1972). Increases ranging from 10 to 30 cents an hour were provided as adjustments in skilled rate differentials. These increases amounted to about 9 cents an hour when averaged over the entire bargaining unit. July 1, 1972 (memoran dum of agreement dated Feb. 10,1972). 40-cents-an-hour increase for long shoremen and 45-cents-an-hour increase for CFS utility men. Deferred increases. June 2,1973 (memo randum of understand ing dated June 24, 1973). 25-cents-an-hour increase for long shoremen and 28 cents for CFS utility men. Agreement also provided for establishment of an escalator clause providing for semiannual cost-of-living adjustments of 1 cent for longshoremen and 1.125 cents for CFS utility men for each 0.3-point increase in the Bureau of Labor Statistics’ Consumer Price Index (1967=100). The first adjustment was to be limited to a maximum 12 cents for longshoremen and 13.5 cents for CFS utility men and was to be effective Jan. 1, 1975, based on the increase in the November 1974 Index over the May 1974 Index.3 The second adjustment was to be limited to a maximum of 10 cents for longshoremen and 11.25 cents for CFS utility men and was to be effective July 1, 1975, based on the increase in the Index for May 1975 over the Index of November 1974.3 The agreement also provided for wage increases effective June 30, 1973 and June 29, 1974. June 30,1973 (memo randum of agreement dated June 24, 1973). 15-cents-an-hour increase for long shoremen and 17 cents for CFS utility men. June 1, 1974 (supple mental agreement dated May 7, 1974). 30-cents-an-hour increase for long shoremen and 33.5 cents for CFS utility men. See footnotes at end of table. 6 Table 1. General wage changes1— Continued Applications, exceptions, and other related matters Provision Effective date June 29, 1974 (memo randum of agreement dated June 24, 1973). Deferred increases. 30-cents-an-hour increase for long shoremen and 33.5 cents for CFS utility men. 1 General wage changes are construed as upward or downward adjustments that affect an entire establishment, bargaining unit or substantial group of employees at one time. Not included within the term are adjustments in individual rates (promotions, merit increases, etc.) and minor adjustments in the wage structure (such as changes in specific classification rates) that do not have an immediate effect on the general wage level. The changes listed above were the major adjustments in wage rates made during the period covered. Because of fluctuations in earnings occasioned by premium and penalty rates and other factors, the total of the general changes listed will not necessarily coin cide with the change in average hourly earnings over the period. CFS utility men perform functions similar to longshoremen and are included for the first time since they were first defined under the 1969 supplemental agreement. Since container freight stations were not established until Jan. 5, 1970, this rate was never actually paid to the workers. The cost-of-living adjustments (subject to maximums) were determined as follows: Increase above base month * Consumer Price Index (1967=100) 0.3 to 0.5 0.6 to 0.8 0.9 to 1.1 1.2 to 1.4 1.5 to 1.7 1.8 to 2.0 2.1 to 2.3 2.4 to 2.6 2.7 to 2.9 3.0 to 3.2 3.3 to 3.5 3.6 or over Am ount o f cost-of-living adjustment** . (cents per hour) Longshoremen ..................................... ......... ..................................... ......... .................................... ..................................... ......... ..................................... ..................................... ..................................... ......... ..................................... ......... .................................... ......... ..................................... ..................................... .................................. ......... 1 2 4 7 8 9 12 CFS utility men 1.125 2.25 3.375 4.5 5.625 6.75 7.875 9.0 10.125 11.25 12.375 13.5 * May 1974 Index level for first adjustment and November 1974 for second adjustment. ** The allowance was not part of the basic wage rate, but was used to compute over time, holiday, vacation, and pay guarantee plan pay. 7 Table 2. Basic hourly rates for selected occupations and operations in all ports, December 1971—June 1 9 7 4 1 Effective date Occupation and operations Longshoremen: General cargo: Basic r a t e .................................................... Overtime rate12 ........................................... Selected penalty cargoes: Specified commodities in lots of 15 short tons or more 3 ......................................... Green hides ............................................... Leaking or damaged cargo in faulty containers ............................................... Creosoted products out of water (hold and boom men only) ............... Shoveling jobs on any commodity ........... Bulk commodities (excluding bulk liquids) not otherwise classified which are loaded or discharged mechanically .. Stowing bulk grain, to board workers . . . Damaged and offensive cargo4 .*................ Working hatch when fire burning or cargo smoldering in hatch ...................... Explosives .................................................. Working in cramped space on paper and pulp in packages of 300 pounds or more (hold men only) ................. Hatch tenders, winch drivers, and lift truck........... jitney drivers, and skilled hold men Gang bosses67* ........................................................ Bulldozer operators ............................................. Crane operators .................................................... CFS utility men:10 Basic r a t e .......................................................... July 1, 1972 Dec. 25, 1971 June 2, 1973 June 30, 1973 June 1, 1974 June 29, 1974 $4.70 7.05 $5.10 7.65 $5.35 8.03 $5.50 8.25 $5.80 8.70 $6.10 9.15 4.85 4.95 5.25 5.35 5.50 5.60 5.65 5.75 5.95 6.05 6.25 6.35 4.85 5.25 5.50 5.65 5.95 6.25 4.95 4.95 5.35 5.35 5.60 5.60 5.75 5.75 6.05 6.05 6.35 6.35 4.95 5.05 5.55 5.35 5.45 5.95 5.60 5.70 6.20 5.75 5.85 6.35 6.05 6.15 6.65 6.35 6.45 6.95 5.90 9.40 6.30 10.20 6.55 10.70 6.70 11.00 7.00 11.60 7.30 12.20 4.85 5.25 5.50 5.65 5.95 6.25 s4.85 74.90 *5.00 95.10 5.35 5.45 5.60 5.80 5.60 5.70 5.85 6.05 5.75 5.85 6.00 6.20 6.05 6.15 6.30 6.50 6.35 6.45 6.60 6.80 5.29 5.74 6.02 6.19 6.525 6.86 1 Exclusive of premium pay for night work. 2 Overtime differentials for penalty rates and for skilled occupations were lV z times the straight-time rates. The list covered 18 commodities. Following the 1973 negotiations, a Pacific Coast arbitrator ruled on July 30, 1973, that words “and offensive” should be omitted from the penalty cargo definition. Skilled rate increased an additional 10 cents effective Feb. 26, 1972. The differential paid employees performing gang boss functions in some ports varied. The differential shown is applicable to Northern California ports and Oregon ports. 7 Skilled rate for ports indicated in footnote 6 increased an additional 15 cents effective Feb. 26, 1972. Skilled rate increased an additional 20 cents effective Feb. 26, 1972. Skilled rate increased an additional 30 cents effective Feb. 26, 1972. CFS utility men were first covered under the PMA-ILWU supplemental agreement of 1969. Basic rates for utility men before Dec. 25, 1971 were $4.30 effective Jan. 5, 1970 and $4.50 effective Jan. 12, 1970 (the $4.30 rate was never paid since the CFS units were not established until Jan. 5, 1970). Workers at CFS units receive 8 hours’ pay at their basic rate on a regular day whereas regular longshoremen receive 6 hours’ pay at their straight-time rate plus 2 hours overtime on a regular daily shift. Utility men were paid penalty cargo rates as for longshoremen, except that when shift differentials or overtime rates applied in the case of a worker receiving a penalty cargo rate, the hourly rate for working on penalty cargo (rather than only the basic rate) was to be augmented by the shift differential premium or overtime premium. 8 Table 3. Supplementary compensation practices Effective date Applications, exceptions, and other related matters Provision Premium pay for nightwork Jan. 5, 1970 (CFS memorandum of agreement dated Oct. 28, 1969). CFS employees: Rate for work on a designated second shift (one that started between 5 p.m. and 7 p.m.) to be 33 1/3 percent above straight-time rate, and third shift (1 a.m. to 8 a.m.) to be paid 8 hours for the 7 hours worked (such pay to be time and one-half regular pay). Daily overtime pay Jan. 5, 1970 (CFS memorandum of agreement dated Oct. 28, 1969). CFS employees: Overtime rate for first hour in excess of 8 and time and one-half the overtime rate for second hour in excess of 8 (max imum of 2 hours* overtime) in any shift to finish cars, trucks, and containers, either inbound or out bound, when such work was required to meet efficient opera tional needs. Meal pay Jan. 5, 1970 (CFS memorandum of agreement dated O ct 28, 1969). CFS employees: Workers not required to work over 6 hours without opportunity to eat. Holiday pay Established: 2 paid holidays. Holidays were Christmas Day and New Years Day. July 1,1973 (memo randum of agreement Employee paid 8 hours at basic To be eligible for paid holiday, employee had to be registered straight-time rate of pay when holi employee as of holiday; have worked 800 hours in previous dated June 24, 1973). day not worked and overtime rate payroll year or in most recent payroll year during which for hours worked on paid holiday. there was sufficient work available to meet 800 hours requirement; and meet availability requirement of pay guarantee plan for at least 2 of 5 days, Monday through Friday (not including holiday) during payroll week in which holiday fell (except in the case of a steady employee who had to meet availability requirement of his employer) unless he was on vacation or because of verified sickness or injury. If the paid holiday fell on a Sunday, the holiday was to be observed on the following Monday, with pay. July 1, 1974 (memo Added: 3 paid holidays (total 5). Holidays were Independence Day, Labor Day, and Thanks randum of agreement giving Day. dated June 24,1973). See footnotes at end of table. 9 Table 3. Supplementary compensation practices— Continued Applications, exceptions, and other related matters Provision Effective date Paid vacations Jan. 1,1972 (supple mental memorandum of understanding dated Mar. 1, 1972). July 1, 1973 (memo randum of agreement dated June 24,1973). Changed: Qualifying hours for vacation purposes to include all hours for which pay was received, except vacation hours and pay guarantee plan hours. Effective for 1975 Reduced: Service requirement to 17 vacations (memo years for additional week of randum of agreement vacation for employees qualifying dated June 24, 1973). for 1, 2, or 3 weeks under other provisions. Added: Additional week of vacation after 23 years of service for em ployees qualifying fo r 1 , 2, 3, or 4 weeks under other provisions. Changed: Effective for qualifications in 1973, the vacation allowance for an employee who did not qualify because he lost work opportunity due to sickness or accident was to be based on average hours worked per month during period he was not absent because of sickness or accident.1 Applicable to qualification in 1974. Reduced: 2 week basic vacation requirement of 1,344 hours to 1,300 hours worked in a calendar year. Reduced: Qualifying hours for 45 hours vacation pay to 1,500 hours or more (1,400 or more in ports with 8 gangs or less). Continued to be 1,200 hours for men age 60 or more. Call-in pay Jan. 5, 1970 (CFS memorandum of agreement dated Oct. 28,1969). CFS employees— steady workers— employee who completed pro bation and was called and reported to work at starting time on a Monday, guaranteed 40 hours’ work or pay (probationary employee guaranteed 8 hours if work available and 4 hours if work not available). The 40-hour guar antee was reduced to 32 hours for any week in which a holiday fell between Monday and Friday inclusive. CFS employees— extra workers— any Extra workers were those used to supplement basic complement of steady workers because of varying work loads. In some Class A or Class B registered em cases where sufficient workers were not available through ployee dispatched and reporting for ILWU dispatching halls, the employer could employ extra CFS extra labor duty guaranteed 8 labor from a source of his own choosing. hours* pay if work available or 4 hours if no work available. A nonregistered worker dispatched and reporting for CFS extra labor duty guaranteed minimum of 4 hours’ pay and/or time worked and if called back following day, guaranteed 8 hours for initial day and subsequent days until released. Workers knocked off 6 minutes or more after the hour or half hour, paid to the end of the respective 30-minute period. See footnotes at end of table. 10 Table 3. Supplementary compensation practices— Continued Effective date Applications, exceptions, and other related matters Provision Subsistence pay Jan. 5, 1970 (CFS memorandum of agreement dated Oct. 28, 1969). Feb. 26, 1972 (memorandum of understanding dated Feb. 10, 1972). CFS employees— not applicable. Increased: To $8 per day for lodging and $3 for each meal. Welfare and insurance benefits Dec. 4, 1971.................... Feb. 26, 1972 (memorandum of under standing dated Feb. 10, 1972). Mar. 25,1972 (memorandum of understanding dated Feb. 10, 1972). Aug. 4, 1973 (memorandum of agreement dated June 24, 1973). I. Employer Contributions— All Ports: Increased to 27.5 cents per man-hour. Increased to $1,157 per man-hour. Reduced to 65.1 cents per manhour. Increased to 73.7 cents per manhour. II. Medical, Surgical, and Hospital Benefits: A. Los Angeles-Long Beach, San Francisco, and Portland-Vancover, Olympia, Sacramento, and San Diego service type plans (with option to select insured plans since 1954).2 Mar. 19,1972 (memo randum of under standing dated Feb. 10,1972). July 1, 1973 (memo randum of agree ment dated June 24, 1973). July 1, 1974 (memo randum of agree ment dated Jnne 24, 1973). Added: Kidney dialysis— paid for in home or non-hospital treatment center during first 2 months before Medicare assumed cost and for those not entitled to Medicare coverage. B. Small ports3 — Insured plans. See footnotes at end of table. 11 Expanded: Retirees welfare coverage to those retiring under pension plan at age 59 or more with 25 years of service. Added: Hours paid for under Pay Guarantee Plan included in determination of eligibility for welfare benefits for Class B workers. In these ports, insurance programs were to be improved so that out-of-pocket expense to employee would be reduced to same proportionate level in existence at inception of plan. Expanded: Retirees welfare coverage to pensioners age 59 or more with 13 but less than 25 years of service. Changed: Dependent definition to include dependent children to age 19 (age 21 in Portland under Kaiser program) and to age 23 for dependent full-time students and to include dependent incapacitated children as long as incapacitated. Added: Upon death of an active worker, welfare coverage for widow and dependent children to be continued for 1 year— thereafter at widow’s expense. Table 3. Supplementary compensation practices— Continued Effective date Applications, exceptions, and other related matters Provision Welfare and insurance I>enefits— Continued May 1,1968 (agreement date Apr. 26,1968). Increased: Hospitalization— pay ment at regular 3-bed ward rate for employees and dependents for up to 70 days. Expanded: Hospital extras— to cover all hospital extras. Added: Supplemental accident benefit— to provide up to $300 per accident for certain charges not otherwise covered, such as special nursing and physician’s charges in excess of basic surgical or medical benefits. Changed: Emergency service— provided within 72 hours of accident (was 24 hours). Increased: Medical care— dependents to $6 for each hospital or home call and $4 for each office visit. Changed: Anesthesia benefit from $200 maximum to $4 per unit of 1960 California Relative Value Schedule. Mar. 19, 1972 (memo randum of under standing dated Feb. 10, 1972). Increased: Hospitalization— maximum to 111 days per confinement at regular 3-bed ward rate for necessary services and supplies (included outpatient surgery and care). Increased: Medical care— full payment of prevailing fee for hospital call, office call, home visit (subject to $2 charge for first visit); and for surgeon, assistant surgeon, and anesthesia. Increased: Maternity benefits— hospital, payment at 3-bed ward rate for up to 111 day per con finement; doctor, full payment of prevailing fee. Increased: Ambulance service— up to $45 per disability. Increased: Diagnostic X-ray and laboratory services— full payment of prevailing fee. Added: Nuclear medicine— full payment of prevailing fee. See footnotes at end of table. 12 Benefits effective Feb. 19,1972 for walking bosses. Extended: Retirees welfare coverage to those retiring under pension plan at age 59 or more with 25 years of service. Added: Hours paid for under Pay Guarantee Plan included in determination of eligibility for welfare benefits. The program of improved hospital and medical benefits for active and retired workers in the small ports were under written by Republic National Life Insurance Company. (Benefits were increased for nonchoice port locals to level as dose as possible to level of service plan coverage in large ports.) Ihere were no changes in benefits for workers or dependents enrolled in Medicare. Table 3. Supplementary compensation practices— Continued Effective date Applications, exceptions, and other related matters Provision Welfare and insurance 1benefits— Continued July 1, 1973 (memo randum of agreement dated June 24, 1973). July 1, 1974 (memo randum of agreement dated June 24, 1973). July 1, 1968 (agree ment dated June 7, 1968). May 1, 1973 (agreement dated Aug. 27, 1973). Added: Kidney dialysis— paid for in home or nonhospital treatment center during first 2 months before Medicare assumed cost and for those not entitled to Medicare coverage. III. Nonoccupational Disability Benefit, Oregon and Washington: Increased— to $80 a week. Increased— to $105 a week. Expanded: Retirees welfare coverage to pensioners age 59 or more with 13 but less than 25 years service. Changed: Dependent definition to include dependent children up to age 19 and up to age 23 for dependent full-time students and to include incapacitated children as long as incapacitated. Added: Upon death of an active worker, welfare coverage for widow and dependent children to be continued for one year— thereafter at widow’s expense. IV. Dental Benefits— All Ports (since 1955): Mar. 19,1972 (memo randum of under standing dated Feb. 10, 1972). Added: Benefits for men, their wives, and dependent children age 15 to 19, which provided 95 percent of schedule for each dental procedure. Changed: Children’s dental July 1, 1973 (memo benefits program to provide randum of agreement 100 percent of cost of covered dated June 24, 1973). expenses for dependent children under age 19. Increased: Benefits for men and their wives (including full-time students age 19 and under age 23 and incapacitated children age 19 or over) to 100 percent of schedule for each dental procedure. Added: Orthodontia services provided on 50-percent coinsurance basis, up to maximum of $500 (plan would pay one half of first $1,000 per individual). V. Life and Accidental Death and Dismemberment Insurance— All Ports: Added: Life and accidental death Mar. 19,1972 (memo and dismemberment insurance randum of under of $10,000 for fully registered standing dated (Class A) active men with at Feb. 10,1972). least 5 years of qualifying service and eligible for welfare plan coverage on date of death or accident. If such amount was --------------------------------------------------------------------------------------- --------------------i See footnotes at end of table. 13 Effective Feb. 19,1972, for walking bosses. Coverage provided under California Dental Service, Oregon Dental Service, and Washington Dental Service through the Delta Plans (in Los Angeles and San Francisco comparable optional plans were available). Retirees and their dependents (over age 15) were not covered. Effective Feb. 19, 1972, for walking bosses. The $10,000 life insurance was payable to the surviving spouse or dependent children only if they were not eligible for benefits under the pension plan. Table 3. Supplementary compensation practices— Continued Applications, exceptions, and other related matters Provision Effective date Welfare and insurance benefits— Continued Mar. 19,1972— Continued Mar. 19, 1972 (memorandum of understanding dated Feb. 10, 1972). Mar. 19, 1972 (memorandum of understanding dated Feb. 10, 1972). July 1, 1974 (memo randum of agreement dated June 24, 1973). payable, life and accidental death and dismemberment benefits else where under plan were not payable. VI. Indemnity Plan— All Ports: Effective Feb. 19,1972, for walking bosses. Established: Longshoremen eligible for welfare plan benefits who were injured in the course of employment and as a result of the injury became entitled to workmen’s compensation, were to receive amount equal to difference between $125 a week and the weekly workmen’s compensation. VII. Prescription Drug Plan— All Ports: Effective Feb. 19, 1972, for walking bosses. Established: Prescription drug benefits for welfare plan eligible active and retired workers and their dependents (Kaiser Plan IV or comparable) with $1 co payment per refill for prescription drugs, including oral contracep tives, insulin, and certain diabetic supplies (did not provide vitamins, nonprescription medicines, blood or blood plasma, and drugs pre scribed for treatment of condition which is not part of the basic Kaiser Health Plan or Western Clinic Benefit). VIII. Vision Care Benefits— All Ports: Vision care provided by panel optometrists. Established: Plan providing for annual eye examination, annual lenses if prescription changes, and frames every other year with a $5 deductible. Pension plan July 1, 1969 (company letter dated July 24, 1969). July 1, 1970 (company letter dated Oct. 28, 1969). Increased: For those receiving a pen These retirees, were to receive further pension increases at sion benefit as a result of retirement later dates to bring them to parity with those receiving a before June 30, 1966, the basic pension of $235 a month. benefit was increased to $190 (from $165) a month and benefits were increased proportionately for pensioners and widows receiving less than basic maximum benefits. Increased: For those who received pension increases effective July 1, 1969, the basic benefit was in creased to $200 a month and benefits were increased propor tionately for pensioners and widows receiving less than the basic benefit. See footnotes at end of table. 14 Table 3. Supplementary compensation practices— Continued Effective date Applications, exceptions, and other related matters Provision Pension plan-—Continued July 1, 1971 (company letter dated July 24, 1969). Apr. 1, 1972 (memo randum of under standing dated Feb. 10, 1972). Increased: For those who received pension increase effective July 1, 1969, basic benefit increased to $235 a month and increased proportionately for pensioners and widows receiving less than basic benefit. Pension plan was revised to provide: Normal retirement— monthly basic benefit of $350 for employee retired on or after July 1, 1971 at age 62 with 25 years of service as a longshoreman out of the preceding 35 years, plus a supplemental monthly bridge benefit of $150 payable until age 65. Employee who retired on or after July 1, 1971 at age 65 with less than 25 years of service to receive prorata benefit based on normal pension of $350. Disability retiremen t— employee who retired on disability on or after July 1, 1971 to receive benefit proportional to basic normal benefit or prorata benefit as appropriate. Special early retirement— employee with 25 years of service as a longshoreman out of the preceding 35 years could retire at or after age 59 with benefit to age 65 having an actuarial value equivalent to the basic and supple mental benefit payable at age 62, and at age 65 and thereafter, receive a benefit having the actuarial value equivalent to the basic monthly benefit Regular early retirement— employee who elected to leave industry after attaining age 55 (1) could receive pension benefit equal to full dollar benefit accrued to date with payment deferred until age 65 if he had 13 but less than 25 years of service and (2) if he had 25 years of service out of 35 could receive monthly pension benefit deferred until age 65 of $350 or an immediate pension of actuarial value equivalent to the amount of pension payable at age 65. See footnotes at end of table. 15 In addition, see pension increases retroactive to July 1, 1971, from Feb. 10, 1972, memorandum of agreement which are detailed below. Such additional increases were in lieu of a cost-of-living increase in pensions which had been scheduled to be effective on July 1, 1971. Effective Mar. 1, 1972, for walking bosses. Such benefits were as follows: Age 62...................... 6 1 ................... 6 0 ................... 5 9 ................... Basic benefit . . . $350.00 . . . 317.59 . . . 289.00 . . . 263.70 Supple mental benefit $150.00 108.52 83.78 67.40 Total benefit $500.00 426.11 372.78 331.00 Table 3. Supplementary compensation practices— Continued Effective date Apr. 1,1972— Continued Applications, exceptions, and other related matters Provision Pension plan-—Continued I An employee who retired prior to July 1, 1966, with a basic monthly benefit was to receive a basic monthly benefit of $300 effective July 1, 1971. An employee who retired before July 1, 1966, with a reduced basic benefit or a disability pension was to have his benefit increased pro portionately. The increased benefits for these groups of employees were retroactive to July 1, 1971. An employee who retired after June 30, 1966, and before July 1, 1971, was to receive a basic monthly benefit of $300 effective with 61st monthly pension payment. An employee who retired after June 30, 1966, and before July 1, 1971, with a reduced basic benefit or a disability pension was to have benefit increased proportionately effective with 61st pension payment. Jan. 1, 1973 July 1, 1973 (memo Changed: Regular early retirement— randum of agreement employee who elected (1) to dated June 24, 1973). leave industry at or after age 55 with 25 years of service (out of 35)— could receive monthly pension benefit deferred until age 62 of $350 or an immediate pension for those age 55 but less than 59 of actuarial value equivalent to the amount of pension payable at age 62; and (2) employee who elected to leave industry at or after age 55 with 13 but less than 25 years of service— could receive immediate pension actuarially discounted from age 65 of the full dollar bene fit accrued to date with payment deferred until age 65 with provision for a widow’s benefit of one-half the actuarially discounted pension. July 1,1974 (memo randum of agreement dated June 24, 1973. Extended: Widow’s benefit to widow of non-retired worker who died when age 59 (was age 60) with 25 years of service or more. See footnotes at end of table. Reduced: Compulsory retirement age to 65 (was age 68). An employee who attained age 65 and was entitled to retire on basic monthly benefit or reduced basic benefit was required to retire. Employee currently registered who first became eligible to receive immediate pension benefits at age 65 but not after age 68 required to retire when first eligible for a pension. 16 Table 3. Supplementary compensation practices— Continued Effective date Applications, exceptions, and other related matters Provision Laborsaving (mechanization and modernization) fund Because fund would be exhausted by June 30, 1971, due to insufficient monies, death and disability benefits were revised. To determine how much was available for death and disability benefits, workers who qualified for and wanted a vested benefit were required to decide in writing no later than Mar. 1,1971, that they would leave industry by July 1, 1971. (Deadline for filing for vested pension later extended to June 1,1971.) If a man who was found eligible for a disability benefit died Disability benefits— eligibility re before trustees calculated his proprotionate share, his wife quirements changed so that (if she had not remarried) was to receive a death benefit employee must prove qualification provided she lived with him for 3 years immediately for Social Security disability preceding his death. benefit and must be certified totally and permanently disabled for his longshore work by 2 doctors. Benefit claims received on or after May 17, 1970, were also held up and whatever monies were available were to be paid in 2 parts (July 1, 1971 and June 1, 1972). Death benefits— payable only to widow and if eligible worker died on or after May 17, 1970, widow could not collect death benefit until after July 1, 1971, based on share available in fund. July 29, 1971 (agreement Fund discontinued and balance of of same date). assets were used to pay outstanding claims (the shortage in assets after remaining assets were paid out was estimated by the union to be about $890,000). June 8, 1972 (memo Companies agreed to pay amount randum of under equal to deficit in fund when standing dated fund’s remaining assets were paid Feb. 10, 1972). off so that outstanding claims as of Jan. 1, 1972 could be paid in full. July 16,1970 See footnotes at end of table. 17 Table 3. Supplementary compensation practices— Continued Effective date Applications, exceptions, and other Provision related matters Pay guara]ntee plan Mar. 4, 1972 (memo randum of under standing dated Feb. 10, 1972, and supplemental memo randum of agreement dated Mar. 2, 1972). Established: Plan guaranteeing amount to bring employees* total weekly earnings to 36 hours and 18 hours at straight-time pay for Class A and Class B workers, respectively. Eligibility: A Class A or Class B employee was eligible if his paid hours for a payroll week, or a “guarantee period,*’ were 80 per cent or more of the average paid hours per worker in his respective class (A or B) in his local for that payroll week, or “guarantee period” (wage guarantee pay ments not to be counted as paid hours for purposes of this paragraph). Plan to be funded through companies’ contribution of $5,200,000 per contract year. Earnings included pay at/or for straight-time overtime, pen alty overtime, penalty cargo, skill, travel time, vacation, State unemployment benefit, workmen’s compensation, and PMA/ILWU indemnity and wage guarantee payments. For purposes of plan, initial “guarantee periods” were: 1st period— Mar. 4, 1972 through Sept. 1, 1972; 2nd period— Sept. 2, 1972 through Mar. 2, 1973; 3rd period— Mar. 3, 1973 until Jjme 30, 1973. Class A and Class B workers paid less than 13 and 7.25 hours, respectively, in a payroll week were excluded with their hours in computation of payroll week averages for their respective classes in 1st two guarantee periods. Class A and Class B workers paid less than 11.5 and 6.25 hours, respectively, in a payroll week were excluded with their hours in computation of payroll week averages for their respective classes in the 3rd guarantee period. Class A and Class B workers and their hours were excluded from com putation of averages for their respective classes of the port for all of the payroll week since the start of the 26-week period if during the 1st or 2nd 26-week guarantee periods they were paid less than 13 and 7.25 hours for Class A and Class B workers, respectively, times number of payroll weeks, or if in the remaining payroll weeks they were paid less than 11.5 and 6.25 hours for Class A and Gass B workers, respectively, times number of payroll weeks (wage guarantee payments not to be counted as paid hours for purposes of this paragraph). Workers were not eligible for a payment as a result of an illegal work stoppage. A reduction in payments could be agreed upon by ports affected for more than 1 payroll week, by work stoppage, by nonsignatory unions or act of God. Hours worked in excess of the guarantee for payroll week (36 or 18 hours, whichever applicable) were to be carried forward into succeeding weeks and added to the successive weeks paid hours in determination of eligibility for payment. This accumulating process was to continue until the end of the “guarantee period.” Vacation hours were excluded in calculating the local’s or port’s average hours of worker per payroll week or guarantee period. Workers absent because of illness or injury, jury duty, union employ, military service or authorized leave of absence for personal reasons were not eligible for guarantee payment for any week in which they failed to meet 80 percent test Such workers, however, were granted eligibility credit upon their return to work for purpose of maintaining eligibility for the guarantee. Hours paid to “visitor” longshoremen were excluded in calcu lating the local’s or port’s average hours of workers per See footnotes at end of table. 18 Table 3. Supplementary compensation practices— Continued Effective date Applications, exceptions, and other related matters Provision Pay guarantee plan— Continued payroll week or guarantee period. Their earnings for guarantee purposes, upon return to their home port, were their actual earnings. Mar. 4, 1972— Continued June 30, 1973 (memo Increased: Companies’ contribution randum of agreement to $6 million per contract year. dated June 24, 1973). Changed: Method of allocating monies was revised so that at the end of each week 1/52 of the annual fund ing amount would be available for guarantee payments. An across-theboard percentage reduction would be made in weekly payments to limit the total weekly payments to 1/52 of annual funding. Total pay ments were to be reviewed at the end of 13-week periods to insure that accumulated weekly payments during each period did not ex ceed 13/52 of annual funding. If the total payments for a 13-week period were less than 13/52 of annual funding, the difference was to be paid out as “make whole” payments to employees who had received any reduced weekly guarantee (up to the amount payable to an employee without the reduction). If the total of such “make whole” payments would exceed the excess monies, the “make whole” payments were to be reduced on an across-theboard percentage basis to main tain 13/52 of annual funding. If there were monies left over after full “make whole” payment were made, these additional monies would be paid out to Class B workers to increase their weekly guarantee up to a maximum of 24 hours (the regular guarantee for Class B workers remained at 18 hours). Changed: Eligibility— workers were to be included on a pay guarantee plan eligibility list (1) as of June 30, 1973 because of 1 hour or more work during the 52 weeks ending May 26, 1973 or (2) as of the July 1 or January 1 that workers be came eligible for welfare coverage. Workers on the eligibility list were eligible for the guarantee for any week in which they were “available” See footnotes at end of table. 19 Added: Holiday pay and jury duty pay added to definition of earnings for pay guarantee plan purposes. Eliminated: Workers’ compensation and PMA/ILWU indemnity payments from definition of earnings for pay guarantee plan purposes. If weekly earnings were less than pay guarantee benefit, worker was paid the difference. If after third week of pay guarantee, earnings for current 4 week period was less than pay guarantee for the 4 weeks, worker was paid difference. If in any of the 4 weeks earnings were less than pay guar antee and worker did not receive guarantee because of ineligi bility for that week, earnings and guarantee for that week were considered equal for purposes of determining pay guarantee for the 4 week period. Workers not included on eligibility list were those worker? age 62 with 25 years of service or more with eligibility for pension, workers while working on a steady basis for employer under a guarantee for which employer was responsible, and workers dropped from the registration list. Workers employed or released as steady men during a payroll week were not eligible for that week. Workers absent for any reason, except jury duty, were not entitled to guarantee for any week in which 5 day availability requirement was not met (jury duty counted as availability). Table 3. Supplementary compensation practices— Continued Effective date Applications, exceptions, and other related matters Provision Pay guarantee plan— Continued June 30, 1973— Continued for work on the 5 days, Monday through Friday, less the day on which any paid holiday was ob served (the previous 80 percent test and average hours worked calculations to which the 80percent test was applied were eliminated). Moving allowance A “low work opportunity” port was defined as one in Established: Benefits for workers July 1, 1973 (arbi which the average hours of work per week was less than wishing to transfer from “low tration award of 18 hours for Class A workers and 9 hours for Class B work opportunity” port which July 30, 1973 and workers. provided: supplemental memoClass A workers were to be given preference over Class B (a) Round trip transportation, of understanding workers for such transfers. subsistence, and lodging for dated Nov. 12,1973). one advance trip by man, his wife, or both, to look for housing in port he was being transferred to (5-day maximum); (b) moving of belongings by a licensed moving company (limited to 6,500 pounds for a married man and 2,500 for a single man); (c) transportation to new port and subsistence and lodging for man and his family; (d) minimum cost required to dis connect and hook up appliances; and (e) storage of household effects necessitated by unsual circum stances (subject to approval of both parties). 1 The vacation allowance was determined as follows: Average hours worked per month in vacation eligibility year before illness or injury Worker classification and weeks o f vacation * Less than 67 hours 67-111 hours . . . . 112 hours or more Under age 60 No vacation 1 week of vacation 2 weeks of vacation Less than SO hours 50-91 h o u rs......... 92 hours or more . 60 years or older in minor port No vacation 1 week of vacation 2 weeks of vacation 60 years or older Less than 58 hours............................ No vacation 58-99 h o u rs....................................... 1 week of vacation 100 hours or m ore............................ 2 weeks of vacation * An employee’s vacation was to be reduced 1/12 for each 30 days of absence over 30 days during vacation eligi bility year. 2 3 In these areas the service type plan was the Kaiser Health Plan. Ports other than Los Angeles-Long Beach, San Francisco, Portland-Vancouver, Olympia, Sacramento, and San Diego. 20 BUREAU OF LABOR STATISTICS REGIONAL OFFICES Region I 1603 JFK Federal Building Government Center Boston, Mass. 02203 Phone: 223-6762 (Area Code 617) Region V 8th Floor, 300 South Wacker Drive Chicago, III. 60606 Phone: 353-1880 (Area Code 312) Region II Suite 3400 1515 Broadway New York, N.Y. 10036 Phone: 971-5405 (Area Code 212) Region VI 1100 Commerce St., Rm. 6B7 Dallas, Tex. 75202 Phone: 749-3516 (Area Code 214) Region III P.O. Box 13309 Philadelphia, Pa. 19101 Phone: 597-1154 (Area Code 215) Regions VII and VIII * Federal Office Building 911 Walnut St., 15th Floor Kansas City, Mo. 64106 Phone: 374-2481 (Area Code 816) Region IV Suite 540 1371 Peachtree St., NE. Atlanta, Ga. 30309 Phone: 526-5418 (Area Code 404) Regions IX and X ** 450 Golden Gate Ave. Box 36017 San Francisco, Calif. 94102 Phone: 556-4678 (Area Code 415) * Regions VII and VIII are serviced by Kansas City ** Regions IX and X are serviced by San Francisco