Last week, Arbitrator Starr Knutson issued her award outlining compensation for DOC and WMS members of Teamsters Local 117 for the 2027-2029 biennium.

The award was incomplete in several areas with lack of clarity around the dates and future wage increases. We sought and have now received clarification from the arbitrator on the key issues, which we would like to share with you. We also want to share other outstanding issues related to your contract and recent actions we have taken to address them.

DOC & WMS COMPENSATION

Arbitrator Knutson awarded a 1.5% general wage increase effective July 1, 2027 and a 1.5% general wage increase effective July 1, 2028. If funded by the legislature, these increases will apply to all DOC and WMS Teamsters. 

While this is certainly not the compensation award we were seeking - our final protected economic proposal was significantly higher than that - the arbitrator's award exceeds the State's final proposal, which was 0% over the next two years. The arbitrator's award also exceeds the zero across-the-board increases with a wage re-opener agreed to by other Unions. 

The arbitrator's reasoning for a lower compensation award as compared to previous contract cycles is the State's enormous projected budget deficit. The Office of Financial Management projects a several hundred-million-dollar revenue shortfall in the coming fiscal year ballooning to an anticipated multi-billion-dollar shortfall for the next budget. Clearly, the legislature needs to address structural issues to ensure that there is sufficient revenue to appropriately fund state employee contracts. 

The arbitrator did not award any other changes to our collective bargaining agreements. Her failure to provide any reasoning for not awarding our proposals is disappointing. On the plus side, the arbitrator also did not award the State's proposal to turn Visitation and Transportation posts into Specialized Unit positions, which would have eroded your bidding rights.

FIGHTING FOR RETIREES HEALTHCARE

As you may recall, our Union successfully changed state law in the last legislative session to allow us to negotiate over supplemental retirement benefits, including Teamsters retirees medical plans.

During contract negotiations, our Union Committee determined that the State was not bargaining in good faith over our proposal to offer the Teamsters Retirees Medical plan to our members.

As a result, we have filed an Unfair Labor Practice (ULP) charge with the Public Employment Relations Commission alleging that the State bargained in bad faith over this critical issue. We will keep you updated on the status of the ULP.

COME TO LOBBY DAY ON FEB. 1-2, 2027

In order for the wage increases in the arbitrator's award to take effect, the award must be approved by the legislature in the 2027 legislative session. Given the State's dire budget outlook, this is not guaranteed. 

To ensure that the award is funded, we need to have a strong showing from DOC and WMS Teamsters at our Lobby Day event, which will take place on February 1-2, 2027. Please keep an eye on your email for opportunities to register for the event.

You can read Arbitrator Knutson's complete award here. If you have questions, please reach out to your Union Representative.