DC: Metro Reaches Agreement with Union Representing Administrative and Professional Employees
Washington Metropolitan Area Transit Authority and AFL-CIO union OPEIU Local 2 have reached an agreement through collective bargaining that provides modest wage increases in exchange for greater employee contributions to health care.
The new five-year contract was ratified last week by Local 2 members and will take effect immediately upon approval by WMATA’s Board of Directors in September.
The agreement is the result of two years of negotiation during which health care and wage expenses were the largest points of negotiation. Metro expects to reduce its healthcare costs by approximately $2.3 million over the term of the contract by aligning Local 2 health benefits closer to regional benefit levels.
Retirement benefits were not a major topic of negotiation because, like Metro’s management employees, Local 2 members hired since 2009 have been enrolled in a 401(k)-retirement plan rather than the historic defined-benefit (pension) plan.
“As with any constructive negotiation, we didn’t get everything we hoped for and neither did Local 2; however, this agreement fairly compensates employees while reducing Metro’s costs,” said General Manager and CEO Paul J. Wiedefeld. “We came together to make the hard choices that are necessary to keep Metro’s budget from growing beyond what the region can afford.”
“The Board of Directors looks forward to acting on this agreement at our meeting in September,” said WMATA Board Chair Jack Evans. “I want to commend both management and Local 2 union officials for their leadership on this, which shows what people bargaining in good faith can accomplish when they work to find common ground.”