Union Final Voting Document
February 8, 2025
1
Local 572
Local 592
Local 822
Local 853
Local 986
AGREEMENT BETWEEN
Local 150
Local 166
Local 210
Local 542
Local 570
February 1, 2022 through January 31, 2025
February 1, 2025 through January 31, 2028
&
Teamsters
Union Final Voting Document
February 8, 2025
2
TABLE OF CONTENTS
COSTCO WHOLESALE – TEAMSTERS AGREEMENT
................................................................................ 4
ARTICLE I – RECOGNITION
............................................................................................................................... 4
ARTICLE II – UNION MEMBERSHIP
................................................................................................................. 6
ARTICLE III – AUTHORIZATION FOR DEDUCTION
.................................................................................... 10
ARTICLE IV- DISCHARGE
................................................................................................................................ 11
ARTICLE V – NO REDUCTION
........................................................................................................................ 15
ARTICLE VI – SETTLEMENT OF DISPUTES
................................................................................................ 16
ARTICLE VII – UNION REPRESENTATIVES/SHOP STEWARDS
............................................................ 22
ARTICLE VIII – STRIKES, LOCKOUTS & PICKETING
................................................................................ 24
ARTICLE IX – HOLIDAYS
.................................................................................................................................. 25
ARTICLE X – VACATIONS
................................................................................................................................ 28
ARTICLE XI – SICK/PERSONAL TIME
........................................................................................................... 31
ARTICLE XII – BEREAVEMENT LEAVE
......................................................................................................... 37
ARTICLE XIII – JURY DUTY
.............................................................................................................................. 38
ARTICLE XIV – SEVERANCE PAY
.................................................................................................................. 39
ARTICLE XV – UNION BUTTONS
.................................................................................................................... 39
ARTICLE XVI – CONTRIBUTIONS
.................................................................................................................. 40
ARTICLE XVII – BOND
....................................................................................................................................... 40
ARTICLE XVIII - CLASSIFICATIONS & WAGES
........................................................................................... 40
ARTICLE XIX – REPORTING TO WORK
........................................................................................................ 42
ARTICLE XX - WORKING HOURS, OVERTIME & WORKING IN A HIGHER CLASSIFICATION
........ 42
ARTICLE XXI – PROMOTIONS / DEMOTIONS
............................................................................................. 47
ARTICLE XXII – LUNCH PERIODS & BREAKS
............................................................................................. 49
ARTICLE XXIII – WORK SCHEDULE
.............................................................................................................. 50
ARTICLE XXIV – MISCELLANEOUS SCHEDULING
.................................................................................... 52
ARTICLE XXV - WAGE PROGRESSION
........................................................................................................ 53
ARTICLE XXVI – MISCELLANEOUS
............................................................................................................... 53
ARTICLE XXVII – TEMPORARY LAYOFF, ROLLBACKS & JOB DISCONTINUANCE
.......................... 56
ARTICLE XXVIII – SEASONAL
......................................................................................................................... 57
ARTICLE XXIX – LEAVES OF ABSENCE
...................................................................................................... 58
ARTICLE XXX - HEALTH & WELFARE
........................................................................................................... 60
ARTICLE XXXI – PENSION
............................................................................................................................... 61
ARTICLE XXXII – SENIORITY
.......................................................................................................................... 64
ARTICLE XXXIV – DURATION
......................................................................................................................... 70
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February 8, 2025
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ARTICLE XXXV - MANAGEMENT RIGHTS
................................................................................................... 71
ARTICLE XXXVI – FAVORABLE ECONOMIC CONDITIONS
..................................................................... 71
ARTICLE XXXVII – PERSONAL APPEARANCE STANDARDS
.................
Error! Bookmark not defined.
ARTICLE XXXVIII - ANTI-HARASSMENT POLICY
....................................................................................... 73
ARTICLE XXXIX - SUCCESSOR
...................................................................................................................... 75
APPENDIX “A” – CLASSIFICATIONS AND WAGES
.................................................................................... 77
APPENDIX “A” - WAREHOUSE WAGES
........................................................................................................ 78
APPENDIX “B” - EXTRA CHECKS
.................................................................................................................. 82
APPENDIX “C” - PREMIUMS
........................................................................................................................... 84
APPENDIX “D” - DELIVERY / BUSINESS CENTER PROGRAM
.............................................................. 85
LETTER OF UNDERSTANDING - PHARMACY
............................................................................................ 92
LETTER OF UNDERSTANDING - ATTENDANCE POLICY
........................................................................ 93
LETTER OF UNDERSTANDING - 401(k)
........................................................................................................ 94
LETTER OF UNDERSTANDING - Elimination of Article XXI,
..................................................................... 95
LETTER OF UNDERSTANDING – CAMERAS
.............................................................................................. 96
LETTER OF UNDERSTANDING – Combo Classification
............................................................................. 97
LETTER OF UNDERSTANDING – TEMPORARY MANAGERS
.................................................. 99
LETTER OF UNDERSTANDING – LOT SECURITY PREMIUM
............................................................... 100
EMPLOYEE ATTENDANCE POLICY - ATTENDANCE & TARDIES
........................................................ 102
ERROR PERFORMANCE STANDARDS
...................................................................................................... 104
REGISTER/TERMINAL TRANSACTION ERRORS
..................................................................................... 105
COMPANY RULES AND REGULATIONS
.................................................................................................... 110
Union Final Voting Document
February 8, 2025
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MEMBER SERVICE
The Employer's policy and commitment is to provide outstanding and courteous service to our
members. All Employees, Union and Management, must remember the importance of providing
Costco members with satisfactory shopping experiences. The Union and Employer jointly agree
that this level of Member Service must be maintained through the efforts of all Employees.
COSTCO WHOLESALE – TEAMSTERS AGREEMENT
THIS AGREEMENT entered into this 1st day of February 2022
2025
by and between COSTCO
WHOLESALE, hereinafter referred to as the "Employer” or “Company” and TEAMSTERS LOCAL
#166 and TEAMSTERS LOCAL #542, chartered by the International Brotherhood of Teamsters,
hereinafter referred to as the "Union".
(T/A - 12/11/2024)
WITNESSETH
That the Employer and the Union acting by their duly authorized agents agree as follows:
ARTICLE I – RECOGNITION
The Company will continue to recognize Teamsters Union Locals 542 and 166 as the sole
Collective Bargaining Agent for its employees who are employed at its warehouses within the
classifications covered by this National Agreement. The Company will also continue to
acknowledge those Teamster Local Unions who have been assigned by Teamsters Locals
542/166 to service employees at Costco Wholesale warehouses operating in their geographical
areas, as agreed to by Teamsters Locals 542/166, the Company and those Local Unions.
(T/A - 1/30/25)
Teamsters Unions 542/166 shall in all events be the contracting Parties with the Company
and the exclusive Unions to represent and bargain for the employees, and this requirement shall
apply regardless of what other Teamster Local Union may operate, or have so-called jurisdiction,
in certain areas where the Company presently or in the future has a warehouse. Without waiving
the generality of the foregoing, the Company shall not recognize any other Teamster Local Union
for purpose of Union shop check-off or otherwise, unless mutually agreed to by the Company and
Teamster Local Unions 542/166.
(T/A - 1/30/25)
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February 8, 2025
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The other Teamster Local Unions who have been recognized to service Costco Wholesale
employees and recognized to receive Union shop check-off from Costco Wholesale employees
working under the National Costco Wholesale Agreement are as follows: Teamsters Local Union
#150 for employees working in Sacramento, Placer, and Yolo Counties, Teamsters Local Union
#853 for employees working in Mendocino, Sonora, San Mateo, San Francisco, Marin, Alameda,
Contra Costa, Napa, Solano, Santa Clara, San Benito, Santa Cruz, Monterey and Kern Counties,
Teamsters Locals #986 and #572 in previously agreed to areas, Teamsters Local Union #210 for
employees working in New York and New Jersey, Teamsters Local Union #570 for employees
working in Maryland and D.C., and Teamsters Local Union #592 for employees working in
Virginia.
(T/A - 1/30/25)
If the Local Unions or any affiliated body attempt to assign or transfer any of their rights or
obligations hereunder without the Company's consent, the Employees at the locations affected
shall be given the right to vote with three (3) options.
1. To remain represented by the Local Union that is presently recognized by the Company.
2. To be represented by a different Local Union.
3. To not be represented by any Union.
(T/A - 1/30/25)
ARTICLE I – RECOGNITION
The Company recognizes those Teamster Union Locals who are signatories to this
National Agreement (“Signatory Teamster Local Unions") as the sole Collective Bargaining
Agents for its employees who are employed at its facilities within the jurisdictions of the
Signatory Teamster Local Unions in the classifications covered by this National
Agreement.
(T/A - 1/30/25)
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Currently, the Teamster Local Unions who have been recognized to represent
Costco employees are as follows: Teamsters Local Union No. 542 and Local Union No. 166
as they were previously recognized and within their respective jurisdictions, Teamsters
Local Union No. 150 for represented employees working in Sacramento, Placer, and Yolo
Counties, Teamsters Local Union No. 853 for represented employees working in
Mendocino, Sonora, San Mateo, San Francisco, Marin, Alameda, Contra Costa, Napa,
Solano, Santa Clara, San Benito, Santa Cruz, Monterey and Kern Counties, Teamsters
Locals No, 986 and No. 572 in previously agreed to areas, Teamsters Local Union No. 210
for represented employees working in New York and New Jersey, Teamsters Local Union
No. 570 for represented employees working in Maryland, Teamsters Local Union No. 592
and Teamsters Local Union No. 822 for represented employees working in Virginia.
(T/A - 1/30/25)
ARTICLE II – UNION MEMBERSHIP
(a)
Membership Requirements
The Employer agrees, as a condition of employment; that all employees eligible shall
become members of the Union within thirty-one (31) calendar days after the execution of this
Agreement or within thirty-one (31) calendar days after their hire, as the case may be. All
employees who become members of the Union shall remain members of the Union during the
term of this Agreement; provided, however, that in the event any State or Federal statutes or
regulations shall require an election or other procedure as a condition precedent to its
enforcement, then in that case this paragraph shall not become effective until such procedure or
election has been complied with.
In Right to Work States subject to applicable law, employees may become members of the
Union for compliance with this provision in any one of these three ways:
(1) by becoming a member in good standing by paying the Union initiation fee and other
charges pursuant to the Local Union bylaws; (2) by paying uniform initiation fees and
monthly dues and choosing not to become a member; or (3) becoming a service fee payer
and pay a percentage of the initiation fee and monthly dues based upon the amount of the
Union’s collective bargaining expenditures bears to the Union’s total expenses.
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February 8, 2025
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If the employee chooses to be a non-member service payer or to pay dues without
becoming a member, the employee must notify the Union within thirty (30) days from the
date following the thirty-first (31st) day from commencement of employment or the
execution date of this Agreement whichever is later. Any employee wishing to challenge
the correctness of the Union’s calculation of the service fee may do so. Information on the
procedure to challenge the Union’s calculations will be made available upon request at the
Union’s office.
(b)
Written Notice Requirement
The Union agrees that notice shall be given in writing to the Employer and employee at
least seven (7) calendar days before any regular employee is to be removed from their
employment by reason of their failure to maintain their membership in good standing in the Union.
(c)
Union Registration Forms
The Employer shall mail a notice to the Union of all hires and/or employees who are
transferred between warehouses or from outside of the bargaining unit, within seven (7) calendar
days of the date of employment or transfer; and said notice shall contain the name, social security
number, classification, wage rate, location and the date of transfer or commencement of work.
The Union shall provide forms to each of the Employees’ locations for this purpose.
(d)
D.R.I.V.E. – Democratic-Republican-Independent-Voter-Education
The Employer agrees to deduct from the paycheck of all employees covered by this
Agreement voluntary contributions to D.R.I.V.E.; D.R.I.V.E. shall notify the Employer of the
amounts designated by each contributing employee that are to be deducted from his/her paycheck
on a weekly basis for all weeks worked. The Employer shall transmit to D.R.I.V.E. National
Headquarters on a monthly basis, in one (1) check the total amount deducted along with the name
of each employee on whose behalf a deduction is made, the employee’s social security number
and the amount deducted from that employee’s check.
The International Brotherhood of Teamsters shall reimburse the Employer annually for the
Employers’ actual cost for the expenses incurred in administering the bi-weekly payroll deduction
plan.
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February 8, 2025
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It is agreed by the Parties that employees’ voluntarily contributing to D.R.I.V.E. shall
maintain such deduction for a minimum period of twenty-six (26) pay periods and thereafter may
notify the Company and Union in writing of the date of cancellation of said deduction after said
twenty-six (26) pay periods.
(e)
Indemnification
The Union hereby indemnifies and defends the Employer and holds it harmless against
any and all suits, claims, demands and liabilities that may arise out of, or by reason of, any action
that shall be taken by the Employer for the purpose of complying with the foregoing provisions of
this Article, or in reliance on any list or certificate which shall have been furnished to the Employer
under any of such provisions.
(f)
Exclusions
The following employees will be exempt from union membership:
Warehouse
•
Warehouse Manager
•
Assistant Manager (4 per location)
•
Human Resources Manager
•
Front End Manager
•
Assistant Front End Manager (2 per location)
•
Receiving Manager
•
Administrative Manager
•
Merchandise Manager
•
Assistant Merchandise Manager
•
Area Merchandise Managers (4 per location; 1 being a night Manager)
•
Marketing Manager
•
Membership Manager
•
Ancillary Business Manager
•
Operations Manager– (T/A – 1/31/25)
•
Sushi Manager – (T/A – 1/31/25)
•
Opticians
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February 8, 2025
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•
Optical Assistants actively pursuing State Certification
•
Hearing Aid Apprentice
•
Pharmacists
•
Loss Prevention Personnel
•
Fleet Manager (Business Delivery)
•
Assistant Fleet Manager (Business Delivery)
•
Picking Manager (Business Delivery)
•
Assistant Picking Manager (Business Delivery)
(g)
Bargaining Unit Work – West
(
ARTICLE II (g) Does not apply to East Coast locations)
It is agreed that Management as described in paragraph (f) above may perform bargaining
unit work in the case of safety situations, extreme absenteeism in affected departments, or to
assure prompt flow of members during peak sales periods, or other production efficiencies. If a
violation of this provision occurs, the employer agrees to pay six (6) hours at the straight time rate
of pay to the employee in the department who was affected if such employee can be determined.
If not, the employee who filed the grievance shall be paid. A safety emergency is defined as a
situation that could cause immediate injury to customers or employees and one where there are
no qualified employees available who could correct it. The above does not apply to Managers of
the Meat, Bakery, Tire Center, Food Service, Deli
and Sushi
operations, or Merchandise Area
Managers.
(T/A – 2/1/25)
(h)
No Discrimination
The Employer and the Union will not discriminate against any person with regard to employment
or Union membership because of their race, religion, color, sex, age, national origin, qualified
handicap, veteran status or ancestry,
gender, gender identity
, or sexual orientation and hereby
declare their acceptance and support of existing laws. This shall apply to hiring, placement, and
training during employment, rates of pay or other forms of compensation, layoff or termination and
application for admission to Union membership. The Parties agree that the Contract will be
subject to all applicable federal, state and local laws and regulations.
(T/A – 12/11/2024)
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February 8, 2025
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(i)
New Hire Orientation Meetings
The Warehouse Manager, or the Manager's designee, will use reasonable efforts to
notify the Local Union of new hire orientation meetings
.
Union Representatives and/or a
Shop Steward will be afforded time to speak briefly on behalf of the Union.
(j)
The Company shall issue an updated list of Managers and their respective titles
every Feb 1 and August 1 of each year
.
(T/A - 12/12/2024)
ARTICLE III – AUTHORIZATION FOR DEDUCTION
(a)
Initiation and Monthly Dues
Employer agrees to deduct initiation fees and dues from the wages of employees in the
bargaining unit who provide the Employer with a voluntary written authorization which shall be
irrevocable for a period of one (1) year, or until the expiration date of this Agreement, or until the
employee is no longer eligible for Union membership. Initiation fees will be deducted in a
minimum of three (3) consecutive monthly payroll deductions. Each individual Teamsters Local
shall decide the initiation fee. Dues structures for the lifetime of this Agreement shall be
determined in accordance with the International Constitution.
(b)
Monthly Deductions
Such deductions shall be made by the Employer from wages of employees for their first
(1
st
) pay period in the calendar month for the coming month and will be transmitted to the Union
no later than the twentieth (20
th
) of the month after such deductions are made, unless such
deductions are unable to be made because of equipment breakdown or acts of God.
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(c)
Employee Authorization
No deductions will be made from the wages of any employee until the Employer has received a
signed copy of the voluntary written authorization for such deductions.
The Employer will remit
the signed union applications to the Local Union within seven (7) days after the employee
is hired or transferred into the unit. Should the Employer fail to obtain the required signed
authorization or fail to deduct properly billed dues and / or initiation fees, it shall be
required to remit the amount billed by the Local Union, if accurate, on the next or any
subsequent billing in order to correct the shortage. The Employer is not responsible for
the shortage if the employee in question no longer works for the Employer. Any dispute
between the employee and the Local Union regarding the amount of dues or initiation
fees billed by the Local Union shall be resolved between the employee and the Local
Union.
(T/A – 1/30/25)
(d)
Union Indemnification
The Union hereby indemnifies and defends the Employer and holds it harmless against
any and all suits, claims, demands and liabilities that may arise out of, or by reason of, any action
that shall be taken by the Employer for the purpose of complying with the foregoing provisions of
this Article, or in reliance on any list or certificate which shall have been furnished to the Employer
under any of such provisions.
ARTICLE IV- DISCHARGE
(a)
Right to Discharge
It is mutually agreed that the Employer reserves the right to discharge any employee for
sufficient and proper
Just
cause. Sufficient and proper
Just
cause for discharging an employee
shall include but is not limited to theft, dishonesty, gross insubordination, intoxication, possession
of or working under the influence of illegal/dangerous drugs/substances and/or narcotics, above
the minimum levels determined by D.O.T. standards, refusal or continued failure to observe
posted or issued Company rules or procedures, or actions endangering the safety of others. It is
agreed that all Company rules and procedures, the breach of which will be cause for disciplinary
action, will be posted and sent to the Union simultaneously.
(T/A - 12/19/24)
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February 8, 2025
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In all instances of discipline of any kind, including but not limited to discharges, the
Employer’s investigation shall be deemed to have been completed on the date the
discipline is issued to the Employee and no additional reasons for the discipline may be
relied on by the Employer to support the decision to discipline the Employee. Further, any
request by the Union for the evidence relied on by the Employer to impose the discipline
shall be presented to the Union no later than seven (7) calendar days following the Union’s
written request to the location General Manager and a Labor Relations representative.
(T/A - 1/20/2025)
Employees past their probationary period who are discharged for offenses other than the
above shall have had a prior verbal corrective consultation on record and a written corrective
consultation, or two (2) written corrective consultations of a related or similar offense, with copies
sent to the Union.
Additionally, employees with less than two (2) years of service may be discharged for
having a total of four (4) corrective consultations in a six (6) month period, even if unrelated,
excluding those for absenteeism.
Employees with two (2) or more years of service, but less than four (4) years of service,
may be discharged for having a total of five (5) corrective consultations, in a six (6) month period,
even if unrelated, excluding those for absenteeism.
Prior to terminating an individual who has been employed two (2) or more years, the
circumstances must be reviewed with a Senior Vice President or above. Prior to terminating the
employment of an individual who has been employed five (5) or more years, the circumstances
must be reviewed with an Executive Vice President or above.
Said corrective consultation notices must provide a space on them for the employee to
write in their views on the offense.
The employee shall be required to sign such notice, but such signing shall not constitute
Agreement with the contents of the corrective consultation notice. The Employer reserves the
right to issue unpaid disciplinary suspensions for up to ten (10) working days for violations that
would normally result in termination, in extraordinary circumstances.
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Employees who have received three (3) unpaid disciplinary suspensions in a twelve (12)
month period may be discharged. This does not include investigatory suspensions.
Employee corrective consultations shall be effective for a period of time not to exceed six (6)
months, and will be removed from their personnel files except for:
1.
Records of disciplinary suspensions for any major offense which will remain in their file for a
period of two (2) years. However, exclusion from job postings will only be for a period of six
(6) months.
2.
Active consultations for absenteeism. Attendance consultations shall be considered active
when all noted instances are within twelve (12) months from the first noted instance unless
that time is extended per provision 3 below.
3.
The six (6) months, two (2) year, and the active twelve (12) month period for absenteeism
consultations, and the calendar window used for the calculation of discipline shall be extended
for any leaves of absence, except where prohibited by state or federal regulation or statute.
Excessive absenteeism is absence from work for any reason for four (4) unpaid occasions in
any twelve (12) month period and will be subject to progressive discipline and/or discharge if
there is no improvement. Vacations, approved leave of absences, holidays, scheduled or
unscheduled paid sick/personal time, funeral leave and jury duty shall not be considered for
purposes of calculating instances of absence.
The Company may take separate disciplinary action for patterns of absenteeism and abuse
of the attendance program. Patterns of absenteeism is defined as instances of absenteeism in
conjunction with scheduled time off, weekends, or any other regular recurring events of four (4)
times within a six (6) month period, as described in Article XI (h).
Patterns of absenteeism do
not apply to employees that have been assigned split days off, unless the pattern is the
same day of the week.
(T/A - 12/19/24)
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Absences caused by Workers Compensation injuries and treatment, F.M.L.A., A.D.A. injuries
and treatment where documented by a physician’s note for each occasion, or S.D.I. that is used
to extend F.M.L.A., or A.D.A., state law leaves, or other approved leaves and absences, or where
otherwise provided by law will also not be considered. Costco will not retaliate against or discipline
employees for appropriate use of paid leaves and/or sick/personal time.
An occasion will be any length of absence of more than fifty percent (50%) of the employees
scheduled work shift. Employees who work more than fifty percent (50%) of their scheduled shift
and then leave due to illness other than Workers Compensation shall only be charged with half
(½) an occasion of absence.
The Employer shall have the option to give an Employee an immediate investigatory
suspension for a maximum of three (3) of the employee's scheduled work days, not including the
day the investigatory suspension is issued, (not to exceed seven (7) calendar days) following the
employee's notification of the suspension for violation of a major offense which would normally
result in immediate termination as described in the Company Rules and Regulations, until the
Employer has decided what final action is to be taken as a result of the violation.
If it is necessary
for the investigation to continue past the three (3) unpaid scheduled working days, the
company shall contact the Business Agent and request an extension. The request shall
have a reason and expected date of resolution, and shall not arbitrarily denied. If
approved, the suspension may continue as a paid administrative leave.
(T/A - 1/31/2025)
If an employee is returned to work after an investigatory suspension, the employee shall be
paid for the lost wages and all records of that event shall be removed from the employee's
personnel file.
All employees shall be treated equally in respect to corrective consultations and there shall
be no preferential treatment.
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A copy of all employee corrective consultations, suspensions and terminations must be given
to the employee at the time of issuance, and a copy must be mailed to the Union within seven (7)
calendar days.
A corrective consultation must be given within three (3) scheduled working days, from the time
any Manager acquires knowledge of the offense
that a policy violation was committed
, not
including the day of the offense
knowledge
, excluding Saturday and Sunday. Failure on behalf
of the Employer to process and/or issue such consultation within the time limits as prescribed
within shall void the consultation.
(T/A – 2/1/25)
A corrective consultation shall have no force or effect after six (6) months from the date on
which it was issued (except absenteeism or records of disciplinary suspensions for major
offenses), and the remaining corrective consultations shall thereupon be reduced accordingly.
(b)
Probationary Period
The Employer shall have the right to discharge without cause any employee during the first
ninety (90) calendar days of employment if said employee is not satisfactory to the Employer.
Such discharge shall not be subject to Settlement of Disputes, Article VI.
Should a probationary employee have a break in service for any reason excused by
management for three (3) or more consecutive work days, the remainder of the probationary
period will commence following the employees’ return to work to their original hire position.
ARTICLE V – NO REDUCTION
The Employer agrees that no Union member employee who prior to the date of the signing
of this Agreement was receiving more than the hourly pay rate designated in the Agreement for
the class of work in which they were engaged, shall suffer a reduction in the hourly wage rate
through the operation of or because of adoption of this Agreement.
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Any employee receiving a higher rate of pay or conditions in excess of this Agreement will
suffer no loss in monetary increases or conditions through the signing of this Agreement. The
increases for such employees will be the same percentage increase as that received by the top
bracket of employees of the same classification. This Article shall apply only to a new unit that
may be covered by all provisions of this Agreement.
ARTICLE VI – SETTLEMENT OF DISPUTES
(a)
Exclusive Remedy
The grievance procedure provided herein shall be the exclusive means, except as limited
by law, for the disposition of all grievances; and there shall be no strike, lockout, picketing or
cessation of work during the term of this Agreement, except that this limitation shall not be binding
upon either party hereto if the other party refuses or fails to abide by an arbitration award which
has become final, unless such award exceeds the limitations outlined in this Agreement.
(b)
Definitions
The term "grievance" shall mean any dispute or difference between the Employer and the
Union concerning the application or interpretation of any provision of this Agreement.
(c)
Bench Decision
If the nature of the discipline is such that no question of contract interpretation is involved,
the Arbitrator so selected may be instructed by mutual Agreement of the Parties to hear evidence
without transcript or the filing of briefs and to issue their decision from the bench, with an opinion,
if requested by either party, to be subsequently prepared. It is recognized that certain cases
involving questions of contract interpretation may require a transcript, briefs, and the preparation
of written awards and opinion. Either party may choose this bench decision procedure, except
that mutual Agreement of the Parties is required for this procedure to apply.
(d)
Procedure
It is understood that the application of the grievance procedure does not permit the Union
to impede or stop any employee from working or to interfere with any employee's work, without
first having obtained the specific approval of the Supervisor or Manager who supervises the
employee(s) involved. All grievances shall be handled in the following manner:
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Step 1:
(a)
All grievances, except for wage claims or discharge, shall be raised within fourteen (14)
calendar days of their occurrence.
(b)
Discharge grievances must be raised within seven (7) calendar days of receipt of notice by
the Union or the employee, reduced to writing in the manner outlined herein, and submitted
directly to Step 2.
(c)
In the case of a grievance for an alleged discrepancy in wages, holiday pay, paid sick /
personal leave or vacation pay, for hours actually worked, guaranteed or benefits accrued, after
the discovery thereof, any monetary adjustment or award shall not be retroactive for more than
ninety (90) calendar days from the date of the filing of the grievance in writing. The matter should
first be taken up orally between the Supervisor and the aggrieved employee.
(d)
If the grievance cannot be settled by the immediate Manager the employee shall then attempt
to settle the problem with the Warehouse Manager utilizing the Union Steward, if desired. If the
matter is still not settled, the employee should request the Union to assist them and proceed with
the grievance procedure.
If the matter is not satisfactorily adjusted in Step 1, then it is to be reduced to writing, specifying
the nature of the grievance, the provisions of the contract relied upon, the identity of the individuals
involved, if any, and the relief requested.
Step 2:
(a)
The written grievance shall then be submitted by the Union's Business Representative to
Location Management within seven (7) calendar days after being raised in Step 1 for the purpose
of resolving the dispute. If the written grievance is not settled between the Parties, the Location
Manager shall notify the Union, in writing, of the Company's position not later than seven (7)
calendar days after the Parties met to discuss said grievance.
(b)
In the event the Parties are unable to resolve the grievance, then the matter may be
reviewed by the Secretary-Treasurer of the Union or said designee and the Corporate Labor
Relations Representative of the Employer or their designated Representatives within fifteen (15)
calendar days after the receipt of the Employer answer.
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February 8, 2025
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(c)
In the event that a satisfactory settlement is not reached within thirty-one (31) calendar
days after being raised in Step 2: (a), either party may request, in writing, that the grievance be
referred to a Grievance Panel comprised of two (2) persons designated by the Employer and two
(2) persons designated by the Union, none of whom shall be directly involved in the grievance
and a neutral Arbitrator who shall hear the grievance and render a decision in accordance with
the Costco/Teamsters Board of Adjustment Rules and Procedures. In the event that the two by
two (2 X 2) panel cannot come to a majority decision, the Arbitrator shall cast a vote to break the
deadlock.
Step 3: Board of Adjustment:
(a)
There shall be no grievances presented to the Board of Adjustment (hereinafter the Board)
until all steps of the grievance procedure have been utilized. All such grievances shall be
considered settled and not subject to the Board unless either party (the Union or the Company)
first serves written notice of intention to move the issue to the Board upon the other party during
the first ten (10) calendar days after the decision in Step 2 (b) of the grievance procedure.
Each of the Parties shall, within ten (10) calendar days after the execution Agreement appoint its
regular Representative and sufficient alternates and immediately notify the other party in writing
of the name of each Representative appointed.
(b)
Selection of the Chairperson
The Board of Adjustment Chairperson shall be selected by the regular members
designated in accordance with the above. Each side, Union members and Company members,
shall nominate five (5) candidates for Chairperson of the Adjustment Board. From the list of ten
(10) candidates, the Union and the Company members of the Joint Adjustment Board shall select
a total of five (5) nominees by alternately striking names until five (5) names remain. The side
striking first shall be determined by lot. In the event a particular name appears on both lists,
however, that name shall automatically be included in the permanent list of five (5) names and
only four (4) additional names would be selected by striking, etc.
Union Final Voting Document
February 8, 2025
19
From the list of five (5) permanent nominees a single name shall be selected in the same
manner as described above and he shall be considered as the Chairperson the next contract year
to hear all matters to come before the Board. Such Arbitrator shall continue to serve in such
position unless either party designates in writing to the other by the end of November of a contract
year of intent to remove said impartial Arbitrator. After such request, another name shall be
selected from the remaining list of four (4) names in the manner described above, and so on by
the end of each contract year.
The Board of Adjustment shall convene six (6) times each year, with four (4) of the Board
of Adjustments being scheduled in conjunction with Quarterly Meetings. The Board shall have
the authority to issue decisions immediately upon hearing all evidence presented. If for any
reason the Board requires additional time to deliberate on the matters presented, the Board may,
by majority vote, grant an extension of time in issuing a decision for whatever period deemed
appropriate by the Board members. After presentation of issues, a simple majority vote is required
to dispose of items on the agenda.
All grievances arising out of the interpretation or application of any of the terms or
conditions of this Agreement, which have not been resolved in accordance with Article VI,
Settlement of Disputes, shall be submitted for determination and shall be determined by the Board
of Adjustment Procedure. Neither the Board nor the Chairperson, in determining any grievance
or dispute shall have the power to add to, subtract from, modify, alter or change any of the terms
of this Agreement or any other terms made supplemental hereto, or to arbitrate any matter not
specifically provided for in this Agreement or arbitrate any new provision into this Agreement. The
Board's authority is to interpret and apply provisions of the Agreement. The Board shall be bound
entirely by the records presented to it in the form of evidence and argument.
Except as provided in this Agreement, in no event shall the Company be penalized or in
any way liable for monetary damages prior to ninety (90) calendar days preceding the submission
of the grievance to management, but in no event prior to the event giving rise to the grievance.
Union Final Voting Document
February 8, 2025
20
It is understood and agreed that the procedures outlined in the Grievance and Arbitration
Article of this Agreement shall be the exclusive remedy for any alleged violation of this Agreement.
Each decision of the Board or the Chairperson shall be made in writing with a copy of each
decision sent to the Union and the Company. The determinations of the Board are final and
binding upon all the Parties. There shall be no appeal of a decision rendered by this forum by
either party.
The procedural rules are set forth in the Costco/Teamster Board of Adjustment Procedure
and may be reviewed and revised by the mutual written Agreement between the Parties.
The Board shall have the authority to order or deny reinstatement of an employee with or
without back pay in whole or in part. In the event there is an award of any back pay, any earnings
by the employee and any Unemployment Compensation Insurance collected by the employee
during their period of unemployment shall be offset and deducted from this award. The Union
agrees to cooperate in determining the earnings of the employee while unemployed.
The grievant(s) shall be made whole within thirty (30) calendar days from the date of
settlement or Board of Adjustment decision, unless otherwise mutually agreed.
Step 4: Arbitration
(a)
It is agreed by the Parties that not all instances can be resolved by the Board of Adjustment
Procedure. In these issues, it is agreed that by mutual written Agreement the Parties may proceed
directly to arbitration.
Within five (5) calendar days after receipt of the written demand for arbitration, referred to
in Step 2, the Parties shall select an impartial Arbitrator; and if they are unable to agree upon their
selection, the Union shall forthwith request the Federal Mediation and Conciliation Service
(FMCS) to submit a list of nine (9) disinterested persons within the geographical region qualified
and willing to act as impartial Arbitrators and simultaneously mail a copy of such request to the
Employer. From this list, within two (2) calendar days after receipt thereof, excluding weekends
and holidays, the Employer and the Union shall each alternately strike one (1) name until six (6)
names have been eliminated: and the person whose name remains shall be selected impartial
Arbitrator. The Parties shall draw lots to determine who shall make the first deletion from the list.
Union Final Voting Document
February 8, 2025
21
(b)
The Parties may continue to meet as often as required prior to going to arbitration in an
effort to resolve the grievance.
(c)
Award
The Arbitrator shall hear the submitted grievance as expeditiously as possible and shall render
an award within thirty (30) calendar days after conclusion of the last hearing.
(d)
Final and Binding
The award shall be final and binding upon all Parties per sub-section (a) of this Article.
(e)
Limitations on Arbitrator
The Arbitrator shall have no power to:
1. Alter, change, modify, or add to or subtract from this Agreement or any provisions thereof;
2. Determine any dispute arising out of the interpretation or application of Section (a) of this
Article;
3. Determine any provisions to be incorporated in a new Agreement or an extension or renewal
of this Agreement;
4. Impose on either party hereto a limitation or obligation not set forth in an express provision of
this Agreement.
5. The Arbitrator shall have the authority to order or deny reinstatement of an employee with or
without back pay in whole or in part. In the event there is an award of any back pay, any
earnings by the employee and any Unemployment Compensation Insurance collected by the
employee during their period of unemployment shall be offset and deducted from this award.
The Union agrees to cooperate in determining the earnings of the employee while unemployed.
(f)
Expenses
The expenses of the Arbitrator and reporter or the cost of the FMCS Arbitrator list shall be
borne equally by the Employer and the Union. Any other expenses shall be paid for by the party
incurring them.
Union Final Voting Document
February 8, 2025
22
(g)
Time Limits
A grievance which is not brought forward within the time limit provided within each of the
sections herein shall be deemed waived. All time limits provided in this Article may be extended
by mutual Agreement of the Parties.
(h)
Monetary Awards
Any pay awarded from Grievances other than Board of Adjustment or Arbitration decisions
will be paid no later than the following pay period. Monetary awards issued from a Board of
Adjustment or Arbitration shall be paid to the Awardee(s) within thirty (30) days of the issuance of
such Board or Arbitration decision.
ARTICLE VII – UNION REPRESENTATIVES/SHOP STEWARDS
(a)
Visits
It is the general policy of the Union to have its Representatives refrain from visiting the
warehouses or offices during their busiest hours or days, such as days before holidays,
weekends, or closing days. However, this policy may be waived in case of emergency.
(T/A – 1/20/25)
Upon receipt of reported violations, the Union Representative shall have the right of visiting
such warehouse or office for the purpose of investigating such violations, provided that such visits
shall be so conducted and at such time as not to interfere with the conduct of business at such
warehouse or office. It is further agreed that Union Representatives and the employees shall not
engage in Union activities during working hours.
(T/A – 1/20/25)
Business Agents of the Union shall have access to the Employer’s establishment
during working hours for the purpose of adjusting disputes, investigating working
conditions and ascertaining that the Agreement is being adhered to. Such activity shall not
interfere with employees performing their work duties. It is further agreed that Union
Representatives and the employees shall not engage in Union activities during working
hours, unless allowed by law.
(T/A – 1/20/25)
Union Final Voting Document
February 8, 2025
23
Upon arrival at the location, the Business Agent shall notify the warehouse manager, or
their designee, of their presence.
If possible, this notification shall be made in advance.
(T/A – 1/20/25)
The Union will use its best efforts to have its Representatives refrain from visiting
the warehouses or offices during their busiest hours or days, such as days before
holidays, weekends, or closing days.
(T/A – 1/20/25)
(b)
Union Stewards
The Employer agrees that the Union may appoint four (4)
designate up to six (6) stewards
for each location. It is understood and agreed that such Steward has full-time productive work to
perform and that they will not leave their work during working hours except when necessary to
perform their duties, and with prior permission of a Supervisor which shall not be arbitrarily denied.
(T/A – 1/20/25)
If requested by the
an
employee, a Shop Steward shall be present at all disciplinary
meetings provided a shop steward is available
as set forth under
Weingarten
when
management meets with an employee. In such cases, the meeting shall not commence
until the steward is present
. Stewards shall be present in accordance with the Weingarten
process.
(T/A – 1/20/25)
Stewards shall be allowed to attend a Stewards’ meeting during working hours
their shift
once a month.
Such meetings shall not occur on the sales floor. The Employer will
compensate the employee for the meeting, which shall not exceed sixty (60) minutes.
(T/A – 1/20/2025)
Management will conduct a scheduled meeting once per month with Stewards to
proactively address employee concerns. Stewards shall be compensated for such time
spent in meetings.
(T/A - 1/20/2025)
Union Final Voting Document
February 8, 2025
24
With advance notice, Union Stewards will be allowed two (2) days off per year for the
purpose of Steward training, with
and
prior manager approval which will not be arbitrarily denied,
Union Stewards will be allowed up to five (5) days off per year for the purpose of attending
Union training and union business. Stewards shall not be compensated by the Company
for this time
.
(T/A - 1/20/2025)
In the event that a steward is on a leave of absence or otherwise away from work for an
extended period of time, the Union may appoint a temporary steward and will provide notice to
management.
Stewards, including temporary stewards, shall be allowed to wear an
identifying Steward pin, provided by the Union. A Steward pin shall not be worn on a
Steward’s name badge.
(T/A - 1/20/2025)
As currently provided, Stewards will be paid for time spent in meetings under this
Article. Such time spent during the Steward’s regular working hours shall be considered
working hours in computing daily and/or weekly overtime.
(T/A - 1/20/2025)
ARTICLE VIII – STRIKES, LOCKOUTS & PICKETING
The Company and the Union recognize the right of an employee to not cross a lawful
primary picket line which has been established by a Local Union of the Teamsters Union which
has been recognized by the Company as having geographical jurisdiction over the location being
picketed, provided the picketing has been sanctioned by the Teamsters Joint Council in the area
and, provided further, that at least five (5) days’ notice of such sanction must be given to the
Company's Vice-President of Operations. The Company agrees that during the life of this
Agreement it will not lockout the employees.
Except as provided above, it is agreed that for the duration of this Agreement, there shall
be no strike, slowdown, stoppage of work, boycotting or picketing by the employees or by the
Union. The terms "strike, slowdown, stoppage of work, boycotting or picketing" shall include any
such actions relating to so-called sympathy strikes, sympathy slowdowns, sympathy stoppages
of work, sympathy boycotting, or sympathy picketing.
Union Final Voting Document
February 8, 2025
25
ARTICLE IX – HOLIDAYS
(a)
Paid Holidays
1.
The following days shall be considered contract holidays, and such holidays not worked
shall be considered as time worked for the purpose of computing overtime.
NEW YEAR'S DAY
MEMORIAL DAY
FOURTH OF JULY
LABOR DAY
CHRISTMAS DAY
THANKSGIVING DAY
Employees who desire to celebrate Martin Luther King's birthday and/or Juneteenth
may
request to use a scheduled paid sick/personal leave at least two (2) weeks prior to the holiday.
The Company shall extend every effort to accommodate the request.
2.
Annual Floating Holiday
Employees will be eligible for an annual paid floating holiday after one year of employment
which can be used for a cultural or religious holiday or day of observance, or other day that
is
meaningful
to
the employee.
On the employee's anniversary, if they have been paid for 2,000 hours or more the prior
anniversary year, then they will be eligible for 8
hours
of personal floating holiday time. If they
were paid for less than 2,000 hours, then their available personal floating holiday time is prorated
accordingly.
Full-time hourly employees will receive an accelerated accrual for all hours worked on Sunday.
Once available, an employee may take their personal floating holiday any time during the
anniversary year that is agreeable to the employee and their manager. This personal floating
holiday must be used during the anniversary year it becomes available and will not be carried
over to the next anniversary year. Hourly non-exempt employees will be paid out for their available
and unused personal floating holiday at their anniversary and upon termination of employment.
Union Final Voting Document
February 8, 2025
26
(b)
Holiday Work Week
A regular holiday workweek shall consist of the holiday itself and four (4) other eight (8)
hour days. A full-time employee not working on a holiday shall receive eight (8) hours pay for the
holiday, in addition to the pay specified in this Agreement for the other four (4) days referred to
above. All time worked on non-holiday days exceeding thirty-two (32) hours shall be paid for at
the rate of time and one-half (1 ½) the employee's regular rate of pay.
Whenever a holiday falls outside an employee's regular work week, the employee will have
the option of eight (8) hours additional pay at their regular rate or an optional floating holiday within
their work week, the prior week or the following week on a day that is mutually agreed between
the employee and their supervisor. New Year’s Day, Fourth of July and Christmas Day will be
celebrated on January 1
st
, July 4
th
and December 25
th
, respectively.
(c)
Part-time Employees
Part-time employees, who have completed their probationary period, shall be entitled to
holiday pay in accordance with this Article. Holiday pay for such part-time employees shall be
based upon a formula of twenty percent (20%) of the average number straight time hours
paid
in
each week regularly worked by such employees during the four (4) weeks preceding the holiday
week.
(T/A - 12/17/2024)
(d)
Holiday Eligibility
It is understood that to be eligible for any of the above holidays, the employee must have
been available for work the regular scheduled work day preceding the holiday, and the regular
scheduled work day following the holiday, unless the employee obtains permission from the
Employer, which will not necessitate their working the preceding or following scheduled work day,
or if the employee was absent due to illness or injury as certified by a doctor, including intermittent
FMLA, specific to that day. The Employer may, at their option, elect not to require such proof.
Union Final Voting Document
February 8, 2025
27
(e)
Holiday Pay
When any work is performed by any employee on any of the holidays as provided for in
this Agreement, such time shall be paid at the rate of time-and-one-half (1½) the employee's
regular straight-time rate of pay, in addition to the non-worked pay allowance provided for in this
Article; or the employee at their option may elect to work the holiday at the time-and-one-half (1½)
pay rate and take an extra day off in the following two (2) weeks. If a holiday recognized in the
Agreement falls on a Sunday, the pay scale shall be one point five (1.5) for all hours worked.
(f)
Probationary and Seasonal Employees
Probationary and Seasonal employees shall not be eligible for Holiday pay but shall be
paid Holiday premium for hours worked on a Holiday.
(g)
Holiday Closings
When the Employer closes its business to the public on any
unpaid
holiday, the employees
affected may be scheduled hours of work on another day so as not to suffer a reduction in pay.
(T/A - 12/19/24)
(h)
Other Closings and Inclement Weather
In the event of adverse weather, or
other natural disasters, including government
mandated evacuations at the Employee’s place of residence,
mechanical/power failures or
other Acts of God, the following shall apply:
(T/A – 1/20/25)
1) Employees who have lost hours due to the above-mentioned conditions will be
allowed to use Vacation, Sick/Personal Leave, and/or work additional hours where possible
in that pay period to make up for lost hours.
2) Full-time employees who have begun their shift shall be guaranteed eight (8) hours work,
or pay in lieu thereof;
Union Final Voting Document
February 8, 2025
28
3) Part-time employees who have begun their shift shall be guaranteed a minimum of four (4)
hours work, or actual hours worked whichever is greater.
(4) Discipline shall not apply for absences or tardies listed above for any Employee who is
unable to report to work. Employee will return to work as soon as practicable. Notification
to Management will be required in a timely manner.
(T/A – 1/20/25)
ARTICLE X – VACATIONS
Upon completion of one (1) year
six (6) months
of employment with the Company,
employees shall be eligible for paid vacations under the conditions set forth in this Article. No
employee is entitled to any pro-rata vacation until completion of one (1) year
six (6) months
of
service.
(T/A – 1/31/25)
(a)
Paid Vacation
Full-time and part-time employees continuously employed who accumulated hours of two
thousand (2,000) or more since their previous anniversary date will receive annual vacation as
follows:
Continuously Employed
Vacation
Hours of Vacation
6 Months
3 Days
24 Hours
1 Year
1 Week
40 Hours
2 Years but less than 5
2 Weeks
80 Hours
5 Years but less than 10
3 Weeks
120 Hours
10 Years but less than 15
4 Weeks
160 Hours
15 Years
but less than 30
5 Weeks
200 Hours
30 Years and Above
6 Weeks
240 Hours
(T/A – 1/31/25)
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February 8, 2025
29
Full-time and part-time employees who have accumulated less than two thousand (2,000)
hours since their previous anniversary date shall have vacation hours prorated accordingly. The
calculation period shall be based on the twenty-six (26) pay periods immediately preceding the
employee’s anniversary date.
If vacations are pro-rated due to time lost, the employee can take no less than twenty-five
(25) hours per week for full-time employees, and no less than twenty (20) hours per week for part-
time employees.
Hours lost due to on-the-job injuries, up to a maximum of six (6) months shall be considered
as hours worked when computing pro-rata vacation. The six (6) month allowance cannot be used
more than once in any two (2) year window period.
(b)
Vacation Accrual
Vacation is to be taken during the twelve (12) months following the anniversary on which
the vacation was earned. No pay in lieu of vacation will be allowed. In an effort to ensure that
employees are given their earned vacation time off, management may schedule vacation for
employees with unused vacation time in excess of forty (40) hours if a time-off request has not
been received within ninety (90) calendar days of an employee’s next anniversary,
unless a
planned roll over amount is mutually agreed upon in advance
. Unscheduled vacation time may
be rolled over to the following anniversary year.
(c)
Scheduling of Vacations
Employees will bid for vacation time by writing in their bid on a vacation schedule posted
each year by the Employer in the months of December and January
September and October
.
Bids must be made through January
October 31
st
,
and will be awarded by seniority. Bids made
during this time must be made in one (1) week intervals. Employees may take all of their vacation
at one (1) time or weekly. Any changes thereafter will only be by mutual Agreement of the
employees involved and the Employer. An approved Department vacation schedule shall be
posted by March 1st
December 15
th
, of each year.
(T/A - 12/19/24)
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February 8, 2025
30
It is recognized that the Employer has no obligation to grant a vacation for the period from
the week of Thanksgiving through December 24
th
. During the other times of the year, no more
than ten percent (10%) of the employees in a department and classification will be allowed to take
vacations at any one time, with a minimum of one (1) per department.
Employees shall be allowed to take up to forty (40) hours of vacation in one (1) hour
increments by mutual Agreement between Management and the employee.
Vacation requests of less than forty (40) hours or full weeks (forty (40) hours) not elected
during the posting period may be scheduled on a form provided by the Company. An employee
must request the vacation time a minimum of three (3) weeks in advance, but not more than eight
(8) weeks in advance, in writing, on a form provided by the Company. The Company agrees to
honor all such requests unless they are denied within five (5) scheduled working days of the
request. The five (5) day period commences when the designated person or manager
acknowledges receipt of request by signature and date.
(d)
Vacation Pro-ration Upon Termination
Any employee who quits or is laid off before one (1) year of continuous employment shall
receive no vacation pay.
Any employee whose employment is terminated between their first (1
st)
) and second (2
nd
)
anniversaries shall receive vacation pay on the basis of one (1) week pro-rated pay according to
the ratio of straight-time hours worked since their most recent anniversary to 2,080 hours.
Any employee whose employment is terminated between their second (2
nd
) and fourth (4
th
)
anniversaries shall receive vacation pay on the basis of two (2) weeks pro-rated pay according to
the ratio of straight-time hours worked since their most recent anniversary to 2,080 hours.
Any employee whose employment is terminated between their fourth (4
th
) and ninth (9
th
)
anniversaries shall receive vacation pay on the basis of three (3) weeks pro-rated pay according
to the ratio of straight-time hours worked since their most recent anniversary to 2,080 hours.
Union Final Voting Document
February 8, 2025
31
Any employee whose employment is terminated between their ninth (9
th
) and fourteenth
(14
th
) anniversaries shall receive vacation pay on the basis of four (4) weeks pro-rated pay
according to the ratio of straight-time hours worked since their most recent anniversary to 2,080
hours.
Any employee whose employment is terminated between their fourteenth (14
th
) and
twenty-ninth (29th) anniversaries shall receive vacation pay on the basis of five (5) weeks
pro-rated pay according to the ratio of straight-time hours worked since their most recent
anniversary to 2,080 hours.
(T/A – 2/7/25)
Any employee whose employment is terminated after their fourteenth (14
th
)
thirtieth (30th)
anniversary shall receive vacation pay on the basis of five (5)
six (6)
weeks pro-rated pay
according to the ratio of straight-time hours worked since their most recent anniversary to 2,080
hours.
(T/A – 2/7/25)
(e)
Vacation Sharing
Vacation sharing shall be permitted pursuant to the Company Vacation Sharing Policy.
ARTICLE XI – SICK/PERSONAL TIME
(a)
Paid Sick/Personal Time
After ninety (90) days of continuous employment, an employee shall be granted twenty-
four (24) hours of paid sick/personal time to be taken in the first year of employment. After one
(1) year of continuous employment, employees shall be granted an additional sixty-four (64) hours
of paid sick/personal time. Thereafter, on each successive anniversary, employees will be granted
eighty-eight (88) hours of paid sick/personal time to be taken during the year. Paid sick/personal
time is available for use and will be applied for any sick time absences. Paid sick/personal leave
may be used for personal time away from work. Paid sick/personal time may be used for personal
or family illness, injury, or preventative health care; reasons related to domestic violence, sexual
assault, harassment, or stalking; school or childcare closures by a public official; workplace
closures; time lost due to a workers compensation injury; and any other reasons authorized by
law.
Union Final Voting Document
February 8, 2025
32
Scheduled paid sick/personal time may be taken for any non-sick reasons at any time that
is mutually agreeable between the employee and their Manager. Said time may be scheduled so
as to afford the employee a long weekend or a longer vacation.
Employees must request scheduled paid sick/personal time two (2)
three (3)
weeks, but
not more than six (6) weeks in advance, in writing on a form provided by the Company. The
Employer agrees to honor all such requests unless they are denied within three (3) scheduled
working days of the request. The three (3) day period commences when the designated person
or manager acknowledges receipt of request by signature and date. It is understood that an
employee can only take up to eight (8) hours in any one day.
(T/A – 1/20/2025)
Falsification of unscheduled paid sick/personal time claims or proven abuse of
unscheduled paid sick/personal time privileges may be cause for discharge or disciplinary action.
A doctor’s certificate of illness may be required from any employee who is absent from
work because of illness, in the case of excessive absenteeism.
Any employee who becomes sick and is unable to report for work shall notify their Manager
or designee one (1) hour before the start of the work shift (except for the first (1st) shift of the day,
which should be notified at that time by phone or a verified recording device on a direct line at the
start of the shift, or as soon as reasonably possible).
When possible, employees should make reasonable efforts to schedule planned paid
sick/personal time for sick time (example: doctor appointments) in advance so as not to unduly
disrupt operations.
Absences Not Covered by Paid Sick/Personal Time
Employees who fail to report to work on a scheduled work day or leave work early for
reasons listed in (a), and do not have sufficient paid sick/personal time available to cover their
shift, will result in the absence being counted as an instance of absence or half-absence.
Union Final Voting Document
February 8, 2025
33
Consecutive unpaid absences are considered one continuous instance unless broken by
any period of work. Unscheduled absences will count as an instance of absence even if using
vacation time.
If an employee or a family member becomes ill while they are at work and the employee
needs to leave early, they must notify their supervisor or manager before leaving.
Calculating Use of Sick/Personal Time
Employees working in two (2) classifications in a calendar week will be paid a blended
(weighted average) rate for paid sick/personal time taken during that same week.
Employees will be paid sick/personal time when calling out for their shift or when leaving
work early.
If the reason for the absence is for FMLA or other protected leave the employee may
choose instead to use vacation or elect no pay for that time. FMLA, State Law leaves, or other
approved leaves and absences will not count as instances of absence except where otherwise
provided by law.
(b)
Sick/Personal Time Eligibility and Amount
Subject to Paragraph (c) below, full pay shall mean pay at the employee's regular rate of
pay, for those shifts which the employee would have worked had the absence not occurred,
calculated at the regular rate of pay.
Absence from work up to thirty (30) calendar days (one hundred-eighty (180) days for
Workers Compensation) within the employee's anniversary year, due to sickness, injury,
temporary layoff, or leave of absence, shall be considered as time worked for the purpose of
determining eligibility for the full eighty-eight (88) hours of sick/personal time each anniversary
year.
In the event that an employee is absent in excess of thirty (30) days (one hundred-eighty
(180) days for Workers Compensation) as set forth above, whatever sick/personal time the
employee is entitled to shall be prorated according to the straight-time hours actually paid, except
that employees will always receive a minimum grant of at least twenty-four (24) hours of paid
sick/personal time on their anniversary date.
Union Final Voting Document
February 8, 2025
34
(c)
Sick/Personal Time Integration
Sick/personal leave time shall be integrated with State Disability and Paid Family Leave
benefits and Workers Compensation temporary disability benefits so that the sum of the daily
sick/personal time allowance hereunder and the aforesaid State Disability or Paid Family Leave
daily benefits, exclusive of the daily hospital benefits which may be payable to an employee, shall
not exceed one hundred percent (100%) of the employee’s regular daily wage at straight time.
If the sick/personal time pay allowance to an employee hereunder when so combined with
any such State Disability or Paid Family Leave daily benefits received by the employee exceeds
one hundred percent (100%) of their regular daily rate at straight time, for any one (1) day, then
such sick/personal time pay for that day shall be reduced accordingly. Any portion of the sick /
personal time pay allowance not received by the employee by reason of such reduction shall be
retained in the employee's sick/personal time bank as a part of their accumulated sick/personal
time.
In order to effectuate the foregoing integration with the State Disability and Paid Family
Leave all sick/personal time will be broken down from days of sick/personal time as earned to
hours, and such sick/personal hours will be used and retained as hours of sick/personal time.
(d)
Sick/Personal Time Payoff
Sick/personal time allocated on the employee's anniversary date, and not used during the
following anniversary year will be paid off on the next anniversary date.
(e)
Industrial Injury
When an employee is injured on the job and is sent home by the Employer or the Doctor,
the employee shall be paid for the balance of that day; but this will not be deducted from
sick/personal time. There shall be no delay for sick/personal time benefits.
Union Final Voting Document
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35
(f)
Sick/Personal Time for Part-Time Employees
Part-time employees shall receive prorated sick/personal time based upon hours paid to
2,080. Sick/personal time between the ninety-first (91st) day of employment and the employee’s
first anniversary, per section (a) of this Article, shall be prorated based on the total hours paid
during this period.
After the employee’s first anniversary, sick/personal time shall be calculated based on the
twenty-six (26) pay periods ending after the employee’s anniversary date. Employees will always
receive a minimum grant of at least 24 hours of paid sick/personal time on their anniversary date.
(g)
Sick/Personal Time Pay Upon Termination
Any employee with two (2) years or more of service who leaves the employ of the Employer
shall be entitled to a pay-off of accumulated and unused sick/personal time and pro-rata portion
of sick/personal time since their latest anniversary date based upon hours paid.
There shall be no payout of accumulated and unused sick/personal time or pro rata portion
of sick/personal time for employees who leave the Employer who have less than two (2) years of
service.
(h) Responsible Use of Paid Sick/Personal Time
Employees are expected to use their paid sick/personal time responsibly. Abuse of
unscheduled paid sick/personal time may subject employees to discipline but is not intended to
infringe on an employee’s rights to properly use paid sick/personal time. The intent of this
language is to allow for case-specific determinations of whether any abuse of paid sick/personal
time has occurred. The Employer strictly prohibits retaliation against employees for using paid
sick/personal time for the reasons described in (a).
The Company may take separate disciplinary action for patterns of absenteeism and abuse
of the attendance program. Patterns of absenteeism are defined as instances of absenteeism in
conjunction with scheduled time off, weekends, or any other regular recurring events of four (4)
times within a six (6) month period.
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36
Each situation will be reviewed on an individual basis, with an opportunity for the employee
to provide an explanation. Management will consider special circumstances, such as non-
consecutive days off, that would make a pattern not subject to discipline.
The employee may be asked to substantiate that their use of unscheduled paid
sick/personal time was for a permitted reason. If it is determined on review that there has been
an abuse of paid sick/personal time, then discipline may occur.
The Company will not discipline use of paid sick/personal time for permitted reasons
outlined in (a), or for reasons otherwise permitted by law. Costco will not retaliate against or
discipline employees for appropriate use of paid sick/personal time.
ATTENDANCE
When an employee is absent from work for four (4) or more
unpaid
occasions in a
twelve (12) month period, the employee will be subject to the following progressive discipline:
Progressive Discipline Steps
Action Taken
1
st
unpaid instance
No Discipline
2
nd
unpaid instance
No Discipline
3
rd
unpaid instance
No Discipline
4
th
unpaid instance
Verbal
5
th
unpaid instance
Written 1
6
th
unpaid instance
Written 2-with suspension
7
th
Unpaid instance
Written 3-with suspension
pending termination
Union Final Voting Document
February 8, 2025
37
ARTICLE XII – BEREAVEMENT LEAVE
Leave for all employees shall be provided for the purpose of arranging for and/or attending
the funeral, as well as grieving the loss, of a member of the employee's immediate family and/or
extended family. Pay for such leave shall be at the straight-time rate for the hours scheduled for
each work day lost because of such absence, to a maximum of five (5) days. Verification of time
required for such paid leave shall be supplied to the Employer by the employee, if requested.
Seasonal
Bereavement leave for immediate family shall be at the straight-time rate for the hours
scheduled for each work day lost because of such absence, to a maximum of five (5) days.
Immediate family shall be defined as the employee's spouse, mother, child,
grandchild,
father,
brother, sister, step-brother, step-sister, step-child, current step-parent, pregnancy loss,
reproductive loss,
and benefit eligible domestic partners.
(T/A – 1/31/25)
Bereavement leave for extended family shall be at the straight-time rate for the hours
scheduled for each work day lost because of such absence, to a maximum of three (3) days.
Father-in-law, mother-in-law, sister-in-law, brother-in-law, grandparent, daughter-in-law, son-in-
law, grandchild, grandparents of your spouse.
(T/A – 1/31/25)
Verification of time required for paid leave shall be supplied to the Employer by the
employee, if requested.
Employees will be provided the same paid time off for their domestic partner’s family.
In addition to the above, an employee will be allowed extended time off (without pay) in
extenuating circumstances or involving relationships other than defined above.
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38
ARTICLE XIII – JURY DUTY
(a)
Jury Pay Integration
Each day that any employee covered by this Agreement and who is past their probation
period is required to serve on any jury, and when such service deprives an employee of pay that
the employee otherwise would have earned, the Employer agrees to pay such employee for those
days, the difference between any remunerations received for such jury duty and the amount that
they would normally be paid for that day at regular straight-time rate. Mileage pay received is not
included in such remunerations.
Employees are encouraged to use the phone-in system where available, to minimize time
away from work.
This Article shall not apply to Seasonal employees.
(b)
Return to Work Requirement
If any employee is excused from jury duty service on a scheduled work day, the employee
shall immediately upon release report for work to complete the remaining hours of their scheduled
work shift, unless there are less than two (2) hours of time left in their scheduled hours or if the
hours spent on jury duty are equal to or more than the hours scheduled to work that day.
(c)
Certification and Falsification
The employee shall be required to have a jury duty form completed by an Officer of the
Court, indicating the amount of jury duty pay received, if any, and the time released from jury
service. Falsification of jury duty claims shall be cause for disciplinary action including
termination. A copy of this form will be given to the employee's Supervisor.
(d)
Change of Schedule
Eligible employees with a morning starting time prior to 8:00 a.m., when selected to serve on
jury duty and are actually reporting to jury duty, shall have their schedules changed to concur with
the reporting time for jury duty.
•
Example:
an employee required to report, in person, for jury duty at 8:00 a.m. shall be
scheduled to commence their workday at 8:00 a.m. Such employee, however, shall actually
report for jury service at 8:00 a.m. All other provisions of this Article shall apply.
Union Final Voting Document
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An employee who is normally scheduled to work both Saturday and Sunday and who is
impaneled in a jury trial, and who requests, will be scheduled at least one (1) weekend day off.
In the case where an employee is scheduled both Saturday and Sunday, with jury duty required
on a scheduled day off, the Company will modify their schedule to allow them one weekend day
off and convert the jury duty day off to a scheduled work day so that the employee may qualify
for jury duty pay for that day. It is the intent of this Article that employees who are scheduled to
work at any time on the day of jury duty, shall not be required to work if their time of jury duty is
equal to, or greater than, the hours that they are scheduled for on that day.
ARTICLE XIV – SEVERANCE PAY
(a)
Employer Notice in Event of Layoff
When a regular employee has been in the employ of the Employer continuously for one (1)
year or more, such employee upon layoff shall receive either one (1) week notice of
discontinuance of employment or one (1) week's pay in lieu thereof. An employee with (2) years
or more of service shall receive two (2) weeks’ notice or two (2) weeks’ pay. An employee five (5)
years or more of service shall receive three (3) weeks’ notice or three (3) weeks’ pay.
An employee
with ten (10) years or more of service shall receive four (4) weeks’ notice or four (4) weeks’ pay.
(b)
Warehouse Closure
In the event a warehouse is closed, and employees cannot be placed in another warehouse
within a fifty (50) mile radius of their home warehouse, such employees shall be compensated as
follows:
An employee with less than five (5) years of service shall receive one (1) week's pay for
each complete year of service. An employee with five (5) years or more of service shall receive
two (2) weeks’ pay for each complete year of service. The aforementioned total compensation
shall be concurrent with any obligations under the W.A.R.N. Act.
ARTICLE XV – UNION BUTTONS
Union members shall have the right to wear their official Union buttons. No buttons,
clothing, or accessories of a political or controversial nature are authorized.
Union Final Voting Document
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40
ARTICLE XVI – CONTRIBUTIONS
The Employer shall not conduct or handle any campaign or drive for charitable purposes
among its employees except where the cooperation and contribution of the employees are
voluntary.
ARTICLE XVII – BOND
Whenever the Employer requires the bonding of any employee or the carrying of any
insurance for the indemnification of the Employer, the premium shall be paid for by the Employer.
ARTICLE XVIII - CLASSIFICATIONS & WAGES
Classifications and wages shall be those set out in Appendix "A"
(a)
Lead Wage Premium
The Employer may at its discretion create or eliminate Lead person positions and fill such
positions or remove employees from those positions. The Employer will notify employees of
potential Lead openings; including a job description and qualifications. Letters of interest will be
solicited for the position
.
The positions are exempt from posting for bidding purposes. Any
employee designated as a Lead person shall receive one dollar and fifty cents ($1.50)
two dollars
($2.00)
per hour above the top Clerk rate and continue to accumulate goal hours if applicable,
except for new warehouses. Except during their first (1
st
) year of operation, Lead positions filled
by new employees must be authorized by Central Operations. Voluntary or Involuntary Demoted
Leads shall return to the pay scale and step they were on prior to their promotion plus accumulated
goal hours while in the Lead position.
(T/A – 1/31/25)
If an employee is awarded a Lead position in his/her home department and is subsequently
reduced from the Lead position, such employee may remain in that department.
If an employee either bids into the department or was placed in the department in the case
of an opening of a new warehouse or was hired into the department in a non-Lead capacity, then
that department is their home department.
Union Final Voting Document
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41
A person assigned to a Lead position shall maintain the right to return to the employees’
previous position provided that such request to return is made to the Company prior to the
expiration of ninety (90)
calendar days from the date said employee assumes such Lead position.
Any reduction in the department as a result of the employee's removal from Lead shall be
based on seniority among the employees within the department including the reduced Lead.
If an employee is awarded a Lead position in other than his/her home department and is
subsequently reduced, the employee is reassigned to the Front End and merged in
based on their seniority.
Except in extreme cases
circumstances
,
a Lead shall not be demoted without a prior
evaluation noting poor job performance or corrective consultation notice in the prior six
(6) months.
Management will
may
notify employees seven (7) days prior to removing them from
Lead positions.
(T/A - 12/19/24)
Leads who are reduced from the position either voluntarily or involuntarily may immediately
be eligible to sign postings in accordance with Article XXXII Section 2 (e).
(b)
New Classifications
The Company shall notify all Local Unions of its intention to create a new job which is not
now covered under this Agreement or to revise an existing classification or department. Such
notice shall be given to the Union in advance of the implementation of such new job or revision of
an existing classification or department provided operational requirements permit. The Employer
shall, upon the request of the Union, negotiate a wage applicable to such employee(s). Failure
on the part of the Parties to reach an Agreement will result in the matter being submitted to the
following arbitration procedures:
The Parties agree to meet to establish a wage rate for the new classification. In the event
the Parties cannot agree within sixty (60) days, the matter shall be referred to an impartial
Arbitrator.
The Arbitrator shall determine if a new classification is appropriate and shall retain
jurisdiction until such time as the Parties resolve the wage question.
Union Final Voting Document
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42
ARTICLE XIX – REPORTING TO WORK
It is agreed that employees are responsible for reporting to work at their scheduled time.
An employee who is unable to report to work must call their Manager or, if the Manager is
unavailable, another Manager, at least one (1) hour prior to the start of the shift, or at the start of
the shift if this is the first (1
st
) shift of the day, or unless prevented from doing so by reasons
beyond control of the employee. The Company will keep a telephone log on sickness calls.
For first (1
st
) shift employees, a time verified recording device on a direct line will be made
available so that those employees are able to comply.
Employees must present a neat, clean appearance when reporting to work and wear
appropriate clothing for their job responsibilities. All warehouse employees must wear closed-
toe, low heeled shoes for safety reasons. Employees reporting to work without proper attire may
be sent home to comply.
Failure to notify the Warehouse Manager of an inability to report to work for three (3)
consecutive days shall be considered job abandonment. The employee shall be so notified by
mail.
The Company has the right to establish a dress code consistent with its operation. The
Company agrees to notify, meet and discuss any changes to the dress code with the Union prior
to the implementation of the changes.
ARTICLE XX - WORKING HOURS, OVERTIME & WORKING IN A HIGHER
CLASSIFICATION
(a)
Basic Work Week
The basic workweek for full-time employees shall be forty (40) hours for any five (5)
consecutive workdays not including Sunday or thirty-eight (38) hours for any five (5) consecutive
work days including Sunday.
For employees hired before February 1, 2004, the basic workweek shall be forty (40) hours
for any five (5) consecutive workdays, not including Sundays, or thirty-eight (38) hours for any five
(5) consecutive days including Sunday.
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43
For employees hired on or after February 1, 2004, there shall not necessarily be a
requirement to schedule consecutive days off.
For employees hired prior to February 1, 2004, and who, through no fault of their own, are
forced out of a job which has consecutive days off, shall be scheduled with consecutive days off
in their new job function. Nothing herein shall prevent an employee from signing a bid for a job
that does not contain consecutive days off.
However, once said employee opts out of a consecutive day off schedule, he/she shall not
have a right to consecutive days off unless they obtain a future schedule that has consecutive
days off. The employer agrees to attempt to schedule as many full-time positions as possible with
consecutive days off, including future postings for full time jobs.
The Parties mutually agree to consider four (4) ten (10) hour days for full-time employees
during the life of this Agreement.
It is understood and agreed that the Employer shall not replace a filled full-time position
with a part-time position except as defined in Article XXI (b) (3). The company reserves the right
to evaluate the need for full-time or part-time replacements when a position is vacated. It is the
Employer’s intent to maintain a fifty percent (50%) full-time to part-time ratio of employees
excluding seasonal periods and those employees working twenty-five (25) or less hour per
week.
As openings occur, full-time employees and the top 20% of part-time employees will be
given their choice of workweek by seniority in accordance with Article XXXII 2 (d).
(b)
Guaranteed Minimum Work Week – West
(Replaces only the first paragraph below):
All regular full-time employees shall be guaranteed a minimum week's work of forty (40)
hours (exclusive of lunch periods) except that employees who normally work Sunday as part of
their regular work week will be guaranteed a minimum week's work of thirty-two (32) hours plus a
minimum of six (6) hours guaranteed on Sunday or actual hours worked, whichever is greater
Employees volunteering to leave work early will be paid only for actual hours worked on that day.
Union Final Voting Document
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Guaranteed Minimum Work Week – East
(Replaces only the first paragraph above):
All regular full-time employees shall be guaranteed a minimum week’s work of Forty (40)
hours (exclusive of lunch periods). Employees who normally work Sunday as part of their regular
work week, through mutual agreement, may work fewer hours on Sunday and be paid for actual
hours worked. Employees volunteering to leave early will be paid only for the actual hours worked
on that day.
All regular part-time employees shall be guaranteed a minimum work week of twenty-five
(25) hours in any five (5) days. Whenever possible, it shall be five (5) consecutive days. It is
agreed that by mutual written Agreement between the Company, Employee and Union, a Part
Time employee may be scheduled for twenty-four (24) hours with either three (3) eight (8) hour
or four (4) six (6) hour shifts within a work week.
It is understood that there can be a maximum of twenty (20) individuals, exclusive
of
College Retention employees, at each warehouse who are excluded from the twenty-five (25)
hour guarantee. However, they are guaranteed the equivalent of eight (8) hours pay but shall not
be required to work more than twenty-five (25) hours of work per week. Notification of the identity
of such individuals will be given to the Union. Part time positions, not contractually required to be
posted, shall be offered to limited part-time employees by seniority, prior to hiring from the outside.
When a department undergoes a planned renovation, the Employer will make reasonable
efforts to limit any disruption to the affected schedules.
The senior twenty percent (20%) of part-time employees in each department will be offered
a regular schedule.
(c)
Guaranteed Minimum Hours’ Pay
Full-time employees called in on their scheduled day off will be guaranteed four (4) hours
work or pay in lieu thereof, both at the rate of time-and-one-half (1 ½).
(d)
Overtime
1.
All hours worked in excess of eight (8) hours in any one (1) day, or in excess of forty
(40) hours in a regular work week, and thirty-two (32) hours in a holiday week, shall be
paid at the overtime rate of time-and-one-half (1½) of the employee's regular rate of pay.
Union Final Voting Document
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45
2.
All hours worked in excess of twelve (12) hours in any one (1) work day shall be paid
at the overtime rate of two (2) times the employee's regular hourly rate of pay.
3.
Employees who are moved from Service Assistant positions and who are at the top of
the progression rate and temporarily perform work in Service Clerk positions will be paid
at the top of the Clerk progression rate, for the time spent working within that position.
Accordingly, a Service Assistant who is in the progression rate will go to the next higher
progression in the Service Clerk rate for the time spent working within that position.
(e)
No Duplication of Overtime
Hours worked on Sundays, days recognized as holidays, and any other hours worked for
which overtime, or a premium rate of pay is payable under any provisions of this Agreement shall
not be taken into account in computing overtime hours worked nor shall there be any other
duplication or accumulation of overtime.
(f)
Basis of Overtime and Premium Pay
Overtime and premium pay shall be computed based on the employee's regular hourly rate
of pay whether such rate is a contract rate or in excess thereof.
(g)
Allocation of Overtime
When overtime hours are to be worked, said hours will be allocated by Company seniority
within classification, department, and function as scheduled shifts allow.
(h)
Sunday Premium
All time worked by employees on Sunday shall be paid at the rate of one point five (1.5)
times their regular hourly rate of pay.
(i)
Interchange of Duties
Employees assigned to duties outside their job classifications carrying a higher rate of pay
shall be paid at the next higher rate of pay for all time worked in the higher classification. If working
in a lower classification, there shall be no reduction in pay. It will be permissible for the Employer
to schedule regular work in each of two (2) classifications or Departments within a single shift
and/or week, in which case such employee will be paid the hourly rate accruing to each bracket
for time worked in each bracket.
Union Final Voting Document
February 8, 2025
46
•
Note:
Employees working on the Front End will ring in the following order: Front End
Clerks, Other Clerks scheduled on the Front End, Cashier trained Front End Assistants,
Clerks called up from other Departments, Assistants called up from other Departments.
However, there will be no penalty due to the Company reacting to Member Service needs.
(j)
Seventh Consecutive Day of Work
No employee shall be required to work seven (7) consecutive days except in an
emergency. It shall not be a violation of this Agreement, nor shall it constitute cause for disciplinary
measure if an employee is not able to work on the seventh (7th) consecutive day.
(k)
Working Beyond the Scheduled Shift
As far as practical, employees who are required to work beyond their scheduled shift
shall be notified as near the commencement of their shift as possible, but not later than two (2)
hours before the end of their scheduled shift, unless the additional time worked is fifteen (15)
minutes or less.
(l)
Employees On the Last Shift
Employees on duty at the recognized hour of closing may be required to service all
customers and perform other duties necessary to closing. Such employees shall be scheduled
wherever possible so that their shift ends at least fifteen (15) minutes after the recognized hour of
closing.
(m)
Warehouse Meetings
Time spent in warehouse or department meetings or in meetings called by the Employer
before the commencement of the day’s work or after the day’s work shall be considered as time
worked and shall be paid in accordance with the provisions of this Agreement. It is understood
that attendance at the above meetings require compensation at the applicable rate; however,
employees who voluntarily attend such meetings on their day or days off, shall be guaranteed a
minimum of one-half (½) their normally scheduled hours. Attendance at such meetings by
employees on their day or days off shall not be considered as hours worked for overtime purposes
only.
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47
ARTICLE XXI – PROMOTIONS / DEMOTIONS
(a)
Promotions
1. Part-time to Full-time
In the event a part-time employee works forty (40) hours in their own department, or
regularly scheduled in the same combination of departments, (or thirty-eight (38) hours including
Sunday) or more for eight (8) consecutive weeks, the most senior part-time employee in the same
classification
in the department will be offered a full-time position and said full-time position shall
continue to be offered by seniority until the full-time position is filled. Paid sick/personal leave,
vacation and holidays shall be counted as time worked. The employee must work the schedule
where the hours were created for three (3) months.
A specific Employee's assignment to temporary vacancies caused by vacations, illness,
absenteeism, injuries or leaves of absences, and warehouse relocations, shall neither count
towards nor interrupt the aforesaid accumulation of eight (8) consecutive weeks.
In order to enable the Company to offer more hours of work to its regular part time
employees during the seasonal period, both Parties agree as follows; Hours worked by regular
part-time employees during the named seasonal period above their normal average of hours shall
neither count towards nor interrupt accumulation towards eligibility for full-time status.
2. Service Assistant to Service Clerk
If a Service Assistant accumulates a total of eight hundred (800) hours worked in the
Service Clerk bracket in the prior twenty-six (26) consecutive pay periods, the most senior
Service Assistant with the same status in the department shall be offered a promotion to Service
Clerk and said Service Clerk position shall continue to be offered by seniority until the Service
Clerk position is filled.
When moving to a higher classification, an employee will move from the progression step
they were at to the progression step in the new classification that will grant them an increase and
will carry over all hours towards the next progression step in the new classification.
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A specific employee’s assignment to temporary vacancies caused by illness, absenteeism,
injury or leaves of absence shall neither count towards nor interrupt the aforesaid accumulation.
Employees at the top step on the Service Assistant scale will move to the top step on the
Service Clerk scale when accepting a promotion or posting to Service Clerk.
The Company shall post the Service Clerk hours on a bi-weekly basis
, as well as forward
a copy to the Local Union
.
(T/A - 12/12/24)
(b)
Demotion
1. Involuntary
Involuntary demotions shall have been
must be
preceded by at least one (1) written
consultation for poor work performance within the
previous
six (6) months period preceding the
demotion.
The
Employee shall be placed on the Front end and their
The rate of pay will be
reduced to the next lowest rate of pay in the lower bracket
.
, but t
T
he Employee
will
retain s all
hours earned towards their next goal raise. Except for the change in pay, this Article also applies
to Service Assistants who are being demoted from a posted position. Employees demoted shall
not be able to use their seniority to claim shifts, hours or Service Clerk pay for a period of three
(3) months.
(T/A - 12/17/2024)
2.
Posted / Voluntary Demotion
For the Employee who is granted a voluntary demotion or who posts for a Service Assistant
position, the new rate of pay will be the next lowest rate of pay in the lower classification, and the
employee will retain all hours accumulated toward their next pay increase. An employee who
voluntarily gives up a Service Clerk or Service Assistant posting shall be paid Service Clerk rate
of pay for all hours they work in the higher classification. They will however be paid Service
Assistant rate for all other hours unless they want to return to the Service Clerk job through a job
posting. Employees who voluntarily demote themselves from a Service Clerk to a Service
Assistant position to move
will merge in
to the front end
and
shall not be able to use their seniority
to claim shifts, hours, or Service Clerk pay for a period of three (3) months.
(T/A - 12/17/24)
Union Final Voting Document
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49
Local 210 jurisdiction only
An Employee who is granted a voluntary demotion to change their status from full-time
to part-time will be placed on the front end according to company seniority. Such employees
may bid new openings as they occur. The vacated full-time position shall be a posted position
unless such position is being eliminated by the company.
3. Full-Time to Part-Time
When the Employer’s business is adversely affected by economic conditions beyond their
control and thereby affecting the staffing requirement of that location, the Employer may reduce
the number of full-time positions to compensate. The reduction shall be by seniority, as found in
Article XXVII.
East Coast Locations Only
Should a full-time employee average less than thirty-four (34) hours for either the
first (1
st
) or second (2
nd
) thirteen (13) pay periods (6 months) their status shall be changed to
part-time (Vacations, Holidays, Sick/Personal Leave, Funeral Leave, Jury Duty, absences
caused by Workers Compensation injuries and treatment or absences pursuant to the Family
Medical Leave Act (FMLA) where documented by a physician’s certification will not be
considered).
ARTICLE XXII – LUNCH PERIODS & BREAKS
(a)
Meal Period
Employees working at least five (5) but no more than six (6) hours in a day, by mutual
agreement between the employee and Employer, need not be granted a meal period.
Each employee shall be allowed one (1) uninterrupted period for a meal, without pay,
approximately in the middle of an eight (8) hour working day. Hours of work shall be consecutive,
with the exception of the meal period.
No eight (8) hour employee shall be scheduled for more than five (5) hours, or less than
three (3) hours, before a meal period. The intent of this Article is to assure that the first meal
period for employees will be completed no later than the fifth (5th) hour of work.
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50
Employees working more than ten (10) hours, but less than twelve (12) hours will receive
an additional meal period, unless individually waived by the employee by completing a second
meal period waiver form in advance. Hours of work shall be consecutive, with the exception of the
meal period.
Forty-five (45) minute and one (1) hour lunch periods may also be scheduled on a
consistent basis only for the individual concerned.
A clean separate area shall be provided for lunch and rest breaks, secluded from access
by customers, with facilities to accommodate the number of employees using them. Whenever
practicable, the employees shall have access to employees’ only rest rooms.
(b)
Breaks
An employee scheduled to work and who works six (6) or more hours in a day shall receive
one (1) fifteen (15) minute rest period in the middle of the first (1
st
) half (1/2) of the shift and one
(1) fifteen (15) minute rest period in the middle of the second (2
nd
) half (1/2) of such shift. An
employee scheduled to work less than six (6) hours in a day shall receive one (1) fifteen (15)
minute rest period in the middle of their shift.
Any employee who works ten (10) hours or more in a day shall receive one (1) additional
fifteen (15) minute break.
Insofar as practicable, rest periods shall be in the middle of each work period.
ARTICLE XXIII – WORK SCHEDULE
On the Monday two
three (3)
weeks prior to the scheduled workweek, the schedule will
be posted no later than 12:00 pm. Said schedule is normally produced by the computer and
includes the employee's name, starting and ending times and days off. Effective July 4, 2022,
the schedule will be posted by department/sub-department seniority.
(T/A – 1/23/25)
The written posted schedule is the controlling document, and other electronic documents
are only for the convenience of the employees.
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Once the work schedule has been posted for the succeeding week, such schedule shall
not be changed except on
forty-eight (48)
hours’ notice to the employee affected in person or by
phone.
Prior to making a mandatory schedule change, the Employer agrees to make reasonable
effort to fill scheduling needs on a voluntary basis.
No prior notice is necessary in the event of scheduled changes necessitated by acts of
God, mechanical or power failure.
Nothing herein restricts the Employers’ right to request employees to come in voluntarily
or employee's right to come in when requested, or to leave early if mutually agreed between
Employer and employee.
More senior employees shall be offered earlier start times on shifts when all other aspects
are equal (i.e., full-time/part-time status,
department, classification,
length of shift on the day in
question).
When the need for scheduling a part time employee eight (8) hours occurs,
overall seniority between the full time and part time employee will apply.
(T/A – 1/21/25)
It is hereby agreed that full-time employees reporting for work as scheduled shall be
guaranteed the hours in the day as scheduled, or pay in lieu thereof, unless the employee
volunteers to go home early.
Part-time employees will be guaranteed a minimum of four (4) hours, or pay in lieu thereof,
for the day they are scheduled or called in, unless the employee volunteers to go home early.
Full-time or part-time employees being terminated will be guaranteed a minimum of two (2)
hours pay.
When unscheduled hours are needed for part-time employees, such hours will be offered
by Company seniority, classification, department and function.
If an employee (full-time or part-
time) wishes not to be contacted by management, the employee may voluntarily sign an
opt-out sheet made available to employees. This choice to opt-out may be rescinded at any
time by contacting a department manager.
(T/A – 1/23/25)
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52
The Company will continue the practice of maintaining regular schedules. However, it is
recognized that due to business requirements occasionally work schedules may be changed in
accordance with this Agreement and such changes shall not be considered a violation of this
Collective Bargaining Agreement, nor incur any penalty from the Collective Bargaining
Agreement. The Company agrees to minimize these changes by first utilizing volunteers and / or
attempting to schedule Part Time employees by inverse seniority.
ARTICLE XXIV – MISCELLANEOUS SCHEDULING
(a)
Shift Lapse
All employees shall be off ten (10) hours between consecutive shifts, except for the weekly
rotation of shifts, inventory or emergencies. Work performed prior to the ten (10) hours elapsed
time shall be paid at the rate of time-and-one-half (1 ½).
(b)
Direction of Work Force and Travel
Employee will not be required; even in emergency situations, to work in a capacity from
which employee has previously been removed for disciplinary reasons or in which the employee
refuses to perform for safety reasons.
No employee other than maintenance classified employees shall be required to do
scrubbing or other heavy cleaning or heavy janitorial work except in a safety emergency. Such
heavy work does not include normal housekeeping and cleaning.
When employees are asked to travel from their home warehouse to another location, they
shall be reimbursed in accordance with the Company's Travel Policy.
(c)
Inventory
Any employee may be required to work inventory, and work historically performed by
bargaining unit members will not be performed by Management personnel. However,
Management may assist hourly employees in inventory related tasks.
Schedules for employees may be changed for a maximum of one (1) week during two (2)
scheduled inventory periods per year. Employees must have a minimum of fourteen (14) calendar
days’ notice.
Employees who have scheduled and been awarded vacation time per Article X shall not
have their vacation schedule changed unless there is mutual Agreement between the employee
and the Employer.
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53
Notice of said inventory must be given at least six (6) months in advance, and whenever
possible, inventory scheduled on a Saturday or Sunday will be on a voluntary basis.
The Company agrees to continue the practice of offering additional inventory work, which
may be needed by a warehouse, to members of the bargaining unit working in other represented
warehouses as availability permits.
ARTICLE XXV - WAGE PROGRESSION
(a)
Wage Progression
The hourly rates set forth in this Agreement are the minimum rates for the job classifications
within a given bracket.
(b)
Minimum Wage Rates
No employee shall receive less than the wage rate herein provided for their classification
of work.
(c)
Pay Period
The regular pay periods are bi-weekly.
ARTICLE XXVI – MISCELLANEOUS
(a)
Polygraph
The Employer shall not demand or require any applicant for employment or prospective
employment or any employee to submit to or take a polygraph lie detector or similar test or
examination as a condition of employment or continued employment.
(b)
Bulletin Boards
The Employer agrees to furnish space on the
for a
bulletin board s for the Union to
post official Union notices with a copy being given to Management at the time of posting. The
Union may provide a locked, glass enclosed bulletin board to be used for Union notices and
announcements. Such Bulletin Boards shall be available in a conspicuous location.
Management shall be given a list of stewards who have access to the bulletin board key,
whom Management may contact if necessary. Official notices and announcements shall
be objective in nature. All Union postings shall be on official Teamster letterhead and
shall only contain an official Teamster logo.
(T/A – 1/23/25)
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54
(c)
Training School Fees
1.
In the event the Employer requires an employee to attend any trade school or
training session on the employee's non-working time, the Employer agrees to reimburse
the cost of same upon completion.
2.
Testing and Licensing Requirements; The Company may require testing or
licensing for specific positions. If testing or licensing requirements are imposed by any
Government entity, the employees affected are responsible for attaining these
requirements on their own time and cost. If an employee fails to comply with these
requirements, they will be placed on the Front End, as a Service Assistant, according to
their Company seniority and will immediately be eligible for any posting.
(d)
Uniforms
Should the Employer require uniforms or special clothing, the Employer shall furnish all
such garments and except where garment is of a drip-dry material shall pay for the laundering
upkeep of same.
If the Company requires “safety shoes” said employee shall be required to wear such safety
shoes in compliance with the Company’s “Safe Work Shoe Program” dated September 16, 2016,
as is current. Any changes to the minimum program must be negotiated with the affected Union(s)
prior to implementation of any such change.
Employees required to wear a vest shall be provided their own clean vest. This does not
apply to forklift spotters. The Employer shall provide complete rain gear for those employees who
must work outside during inclement weather.
(e)
Parking
The Employer shall provide a parking area for the Employees. Employees shall park only
in parking areas, as designated by the Employer, unless authorized to park elsewhere.
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55
(f)
Post-Accident Testing
When, after investigation by Management at the scene, an employee’s performance cannot
be conclusively discounted as a contributing factor for a serious forklift accident (exceeding
$3,000.00 in property damage) or an accident which causes injury or damage to individuals, the
employee may be required to submit to a drug and alcohol screening test. If the test results are
negative, the employee will be paid for all time lost.
(g)
Drug and Alcohol Rehabilitation Program
If an employee comes forward on their own and asks for help with a drug or alcohol problem
prior to being involved in an incident resulting from drug or alcohol use, they may be enrolled in
the Company's confidential program and there will be no disciplinary action taken against them.
The employee will be expected to agree to a contract for continued employment.
The Duty Manager, if they suspect an employee is under the influence of alcoholic
beverages or illegal/dangerous drugs/substances and or narcotics, can require the Employee be
taken to a medical facility and be tested. All time so spent shall be compensated time.
(h)
Employee Membership Benefit
Each employee is entitled to an Executive Wholesale Membership at no charge. The
employee is also entitled to three (3) free additional memberships, for which the employee is
responsible. This may be issued to any individual of the employee's choice, provided they are
related to the employee or reside with the employee and are at least 18
16
years of age.
(T/A – 12/17/24)
Employees will receive a lifetime Executive Membership if, when they leave the Company,
are fifty-five (55) years of age and have a minimum of fifteen (15) years of service with Costco or
have at least twenty-five (25) years of service with Costco. The complimentary Executive
Membership is for the employee, and their spouse/domestic partner. Employees who are
terminated for cause are ineligible for the lifetime Executive Membership.
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56
ARTICLE XXVII – TEMPORARY LAYOFF, ROLLBACKS & JOB DISCONTINUANCE
(a)
Temporary Layoff
The Employer shall have the right to temporarily lay off employees by seniority within a
location as required by the Employer’s business.
(b)
Reductions and Job Discontinuance
In the event of a roll-back, reduction or job discontinuance which affects full-time positions
within departments, the least senior full-time employee may bump the least senior full-time
employee by classification, in any department, additionally; Service Clerks may bump Service
Assistants in any Department.
Should the reduction affect the least senior Service Clerk in the warehouse, he or she shall
have the right to bump the least senior Service Assistant position in any department to maintain
full-time status.
The full-time employee has the option to remain in the department as a part-time employee,
based on his or her seniority, if other part time positions are available.
When an employee utilizes his or her right to bump due to a reduction or job discontinuance, the
employee who is bumped may also utilize his or her seniority to bump the least senior person in
any department if said employee is a Clerk, or the least senior Assistant, if said person is an
Assistant. The employee who is bumped by virtue of the second bump shall be placed on the
Front end.
For purposes of this Article, Departments that a displaced Service Clerk may bump into
are Receiving, RTV, Merchandising, Deli,
Sushi,
Tire Center Clerk, Front End (which includes
Membership and Member Service) and Administration, in addition to Service Assistant positions.
(T/A – 2/1/25)
A displaced Service Assistant may bump into Ancillary Business (Bakery, Photo, Meat, Tire
Center Assistant, Hearing Aid Assistant and Pharmacy, all of which are considered one (1)
department for the purposes of this Article. Food Service may be included if the employee is less
senior in all other ancillary businesses).
(T/A – 2/8/25)
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If the employee is bumping into a position that requires minimum testing performance, or
prior job knowledge (i.e., Administration including Inventory Auditor, Maintenance II, Bakery or
Meat Cutter), the employee shall be required to meet those standards.
The employee must demonstrate the ability to perform the job moved into within sixty (60)
days or be placed on the Front End.
A part-time employee may not bump into a full-time position.
Employees displaced to the Front-End ring according to overall seniority. If they are not
trained, training will be provided.
Maintaining full-time status on the Front End will be determined by overall seniority. If
departmental reductions cause a part-time employee to be removed, the provisions of this Article
shall also apply.
(c)
Displaced Employees
Employees, who have been displaced under paragraph (b) above, may be returned to their
original position within the first one hundred eighty (180) days from their roll back, operation
permitting.
ARTICLE XXVIII – SEASONAL
It shall be understood and agreed that the period from October 7th of one year to the
Sunday immediately after Period 5 inventory the following January shall be designated as the
Seasonal Period for the warehouses, but no later than January 31st.
The Coachella Valley warehouse shall have a Seasonal Period from November 15 to
Easter Sunday of each year.
All Tire Centers shall have a Seasonal Period from May 1 through September 15
of each
year.
Employees hired during these periods shall be designated as Seasonal Probationary
Employees. Employees hired in this period shall be required to pay Union dues, subject to
preceding Articles. However, no initiation fee will be charged those employees unless they are
retained after the seasonal period. If the employee is so retained after the seasonal period, they
shall be required to pay the initiation fee.
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58
Pension Trust Fund contributions shall be from date of hire.
Seasonal / Probationary employees do not qualify for paid sick/personal leave until eligible
under Article XI, Holidays, Vacations, Jury Pay, seniority, minimum hours guarantee or Health &
Welfare insurance.
When a Seasonal Probationary employee continues to be employed after the seasonal
period (with no lay off) and is reclassified a regular employee, said employee’s seniority date shall
revert to the original hire date.
If a Seasonal employee is terminated after the seasonal period and then is rehired within
ninety (90) calendar days, their seniority shall revert back to their original seasonal hire date.
Any weeks worked at forty (40) hours or thirty-eight (38) hours including Sunday do not apply to
the accumulation of eight (8) consecutive weeks for promotion to full time but do apply towards
qualifying for medical coverage.
No regular employee shall suffer a lay off or reduction in hours or loss of any premium pay,
as a result of the hiring of seasonal probationary employees.
ARTICLE XXIX – LEAVES OF ABSENCE
(a)
Approval of Leave of Absence
It is understood and agreed that the leaves of absence will be honored by the Employer
only if given in writing and will normally only be granted for medical purposes. It shall be further
understood that the employee must request a leave of absence in writing and shall furnish the
Union with a copy of Employer's reply.
The employee is expected to cooperate in the leave
process by responding to any requests to clarify medical documentation within a
reasonable time.
(T/A – 1/31/25)
In some situations, it may be appropriate to provide the employee with alternative work in
lieu of granting a leave.
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59
The maximum LOA is one (1) year for all employees. Below is a chart listing the
maximum time benefits continue:
Length of Employment
Maximum Time Benefits Continue
Less than 90 Days
30 Days
Over 90 Days, But Less than 12
Months
3 Months
Over 12 Months
6 Months
Personal leave of absence (without pay, for a limited period of time) is not encouraged, but
may be granted under extraordinary circumstances, at the discretion of the Warehouse Manager,
which shall not arbitrarily be denied.
(b)
Accepting Employment While on Leave
Any employee who accepts employment elsewhere while on leave of absence may be
terminated.
(c)
Pregnancy
For pregnancy and associated leaves the employee must provide her manager with
written medical substantiation from her physician. Leave (bonding) will be granted within the
parameters of the applicable State leave act and Company policy.
(d)
Return from Leave
An employee returning from an injury or illness must furnish the Employer with a written
release from their Physician stating that they are able to perform the essential functions of the
position to which they are returning with or without reasonable accommodation. However, the
Employer reserves the right to substantiate the employee's Physician's findings.
When an employee returns from a leave of absence and subsequently returns back to a
leave of absence due to any injury within ninety (90) calendar days or less, the leave of absence
is considered continuous and unbroken.
Employees who return from any leave of absence will return to their original position. An
employee who does not return to work upon expiration of their approved leave of absence may
be terminated.
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February 8, 2025
60
(e)
Winter Leave
The Company may grant hourly employees an unpaid leave of absence in the months of
January, February and March for up to four (4) weeks. Employees must have a minimum of one
(1) year of service to be eligible. Requests will be granted depending on the needs of the business.
The following guidelines apply:
(T/A – 12/17/24)
•
Applications should be submitted in writing no later than four (4) weeks in advance.
•
Vacation scheduling and other paid time off will take precedence over Winter Leave.
•
Winter Leave may be
scheduled and
taken as single full days or in week long increments.
•
All company benefits will be maintained during Winter Leave.
(T/A 1/17/25)
(f)
College Student Retention Leave
College Student Retention Leaves shall be permitted pursuant to the Company College
Student Retention Policy.
(g)
Union Leave
An employee leaving the bargaining unit to work for the union shall be allowed a
n unpaid
leave
of absence not to exceed six (6) months duration.
This leave shall be limited to one continuous
leave per calendar year. The employee will not receive hours accruals during this time
period towards wages, extra check, sick/personal hours, and vacation hours. Based on
mutual agreement between the warehouse management and the Local Union, leaves
granted under this provision may be on an intermittent basis.
(T/A – 2/1/2025)
ARTICLE XXX - HEALTH & WELFARE
(a)
Benefit Plans
The Union agrees that the Employer will provide insurance coverage to eligible Employees,
which will include:
•
Eye care,
•
Dental care,
•
Major medical, including prescriptions,
•
Life insurance
•
Long Term Disability
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February 8, 2025
61
The exact terms of the above coverage will be as defined in the Costco Health Plan Booklet,
which may be modified during the life of this Agreement with prior notice to the Union. The
information can also be found at CostcoBenefits.com (Resources – Plan Benefits)
(b)
Eligibility
Terms of eligibility are described in the Costco Health Plan booklet.
This Article will not be subject to the Grievance and Arbitration procedure outlined in Article VI.
ARTICLE XXXI – PENSION
The Employer agrees to continue to be a party to the Western Conference of Teamsters
Pension Trust Fund for employees.
For Locals 150, 166, 542, 572, 853 and 986:
Effective the first (1
st
) payroll period after February 1, 2022, (Monday February 14, 2022) the
Employer will pay on behalf of employees for all straight time hours compensated, including
Sunday, paid vacation, sick/personal leave and holidays. The hourly contribution will be one dollar
and eighty-one cents ($1.81). This will provide a basic contribution of one dollar and seventy cents
($1.70) and eleven cents ($.11) to maintain the PEER/84.
(T/A – 2/1/2025)
Effective the first (1
st
) payroll period after February 1, 2023 (Monday February 13, 2023) the
Employer will pay on behalf of employees for all straight time hours compensated, including
Sunday, paid vacation, sick/personal leave and holidays. The hourly contribution will be one dollar
and ninety-six cents ($1.96). This will provide a basic contribution of one dollar and eighty-four
cents ($1.84) and twelve cents ($.12) to maintain the PEER/84.
(T/A – 2/1/2025)
Effective the first (1
st
) payroll period after February 1, 2024
2025
, (Monday February 5,
2024
3, 2025
) the Employer will pay on behalf of employees for all straight time hours
compensated, including Sunday, paid vacation, sick/personal leave and holidays. The hourly
contribution will be two dollars and eleven cents ($2.11)
fifty-six cents ($2.56)
. This will provide
a basic contribution of one dollar and ninety-eight cents ($1.98) and fourteen cents ($.14)
two
dollars and forty cents ($2.40) and sixteen cents ($.16)
to maintain the PEER/84.
(T/A – 2/1/2025)
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For Probationary employees, the Employer shall pay an hourly contribution of ten cents
($0.10) (including PEER/84) during the probationary period as defined in Article XXXII 1)(e), but
in no case for a period longer than ninety (90) calendar days from the employees first date of hire.
Contributions will be made on the same basis as set forth above. After the expiration of the
probationary period as defined in Article XXXII 1)(e), but in no event longer than ninety (90)
calendar days from the employee’s first date of hire, the contribution shall be increased to the full
contractual rate.
The contribution to provide for PEER/84 will not be taken into consideration for benefit
accrual purposes under the Pension Plan. The additional contribution for the PEER/84 must, at
all times, be 6.5% of the basic contribution and cannot be decreased or discontinued at any time.
The total amount due for each calendar month shall be remitted in a lump sum not later than
ten (10) days after the last business day of each month. Failure to make all payments herein
provided for within the time specified shall be a breach of this Agreement.
The Employer retains the exclusive right to modify, amend, cancel or terminate any presently
existing Employer-sponsored employee benefit plan, including any pension plan, employee
retirement or profit-sharing plan.
It is understood that this provision for a Pension Plan is being entered into upon the condition
that all payments made by the Employer hereunder shall be deductible as business expenses
under the Internal Revenue Code as it presently exists, or as it may be amended subsequent to
the date of this Agreement, and under any similar applicable state revenue or tax laws.
For Locals 210, 570
and
592 and 822:
The Employer agrees to continue to be a party to the Western Conference of Teamsters
Pension Trust Fund (WCTPTF) for employees. Effective the first (1
st
) payroll period after February
1, 2022 (Monday February 14, 2022), the Employer will pay on behalf of employees for all straight
time hours compensated for, including Sunday, paid vacation, sick/personal leave and holidays
to a maximum of 2080 per calendar year. The hourly contribution will be one dollar and eighty-
one cents ($1.81).
(T/A – 2/1/2025)
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63
Effective the first (1
st
) payroll period after February 1, 2023 (Monday February 13, 2023), the
Employer will pay on behalf of employees for all straight time hours compensated for, including
Sunday, paid vacation, sick/personal leave and holidays to a maximum of 2080 per calendar year.
The hourly contribution will one dollar and ninety-six cents ($1.96).
(T/A – 2/1/2025)
Effective the first (1
st
) payroll period after February 1, 2024
2025
(Monday February 5, 2024
3, 2025
), the Employer will pay on behalf of employees for all straight time hours compensated
for, including Sunday, paid vacation, sick/personal leave and holidays to a maximum of 2080 per
calendar year. The hourly contribution will be two dollars and eleven cents ($2.11)
fifty-six cents
($2.56)
.
(T/A – 2/1/2025)
For Probationary employees, the Employer shall pay an hourly contribution of ten cents
($.10) during the probationary period as defined in Article XXXII 1)(e), but in no case for a period
longer than ninety (90) calendar days from the employees first date of hire. Contributions will be
made on the same basis as set forth above. After the expiration of the probationary period as
defined in Article XXXII (e), but in no event longer than ninety (90) calendar days from the
employee’s first date of hire, the contribution shall be increased to the full contractual rate.
The total amount due for each calendar month shall be remitted in a lump sum not later than
ten (10) days after the last business day of each month. Failure to make all payments herein
provided for within the time specified shall be a breach of this Agreement.
The Employer retains the exclusive right to modify, amend, cancel or terminate any presently
existing Employer- sponsored employee benefit plan
(
not to be confused with a multi-employer
plan such as the WCTPTF
)
, including any pension plan, employee retirement or profit-sharing
plan.
It is understood that this provision for a Pension Plan is being entered into upon the condition
that all payments made by the Employer hereunder shall be deductible as business expenses
under the Internal Revenue Code as it presently exists, or as it may be amended subsequent to
the date of this Agreement, and under any similar applicable state revenue or tax laws.
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Questions regarding Teamster Pension issues should be directed to:
Northern California:
Administrative Office
Western Conference of Teamster Pension
Trust Fund
1000 Marina Boulevard, Suite 400
Brisbane, California 94005
(650) 570-7300
Southern California:
Administrative Office
Western Conference of Teamster Pension
Trust Fund
225 South Lake Street Suite 1200
Pasadena, California 911101-3000
(626) 463-6100
ARTICLE XXXII – SENIORITY
1)
PRINCIPLE
(a)
General Application
Employer agrees that seniority shall prevail in the following situations under the conditions set
forth in this Article.
•
Layoff and recall
•
Promotions, except for lead positions
•
Weekly number of hours scheduled to work
•
Work week (to fill vacancies)
•
All job openings
In the case of Warehouse Administration Clerk, Warehouse Auditor, Maintenance II and
Marketing Representative, seniority shall prevail where skill and ability are relatively equal. In the
case of Meat Cutter, Baker and Cake Decorator, the following training periods shall be considered
as fulfilling the requisite job skills necessary to be qualified for these jobs:
1.
Employees shall be considered qualified for posted Meat Cutter positions after serving
a maximum of eighteen (18) months in the Meat Wrapper position.
2.
Employees shall be considered qualified for posted Baker positions after serving a
maximum of twelve (12) months in the Bakery Wrapper position.
3.
Employees shall be considered qualified for posted Cake Decorator positions after
serving a maximum of twelve (12) months in the Bakery Wrapper position.
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(b)
Definition
Seniority is the length of continuous employment of an employee with the Employer.
(c)
Seniority When Hire Date Same
In the event there is a dispute concerning seniority for employees who began work on the
same day, seniority shall be determined by the following criteria. The second (2
nd
) and then the
third (3
rd
) criteria will only be applied if the first (1
st
) criterion does not resolve the issue.
1.
Earliest starting time.
2.
Greatest number of hours worked during the first three (3) months of employment.
3.
Earliest date on application for employment.
(d)
Loss of Seniority
Seniority shall be broken only by the following:
1.
Quit.
2.
Discharge.
3.
Layoff exceeding: One hundred and twenty (120) calendar days during the first year of
continuous employment; six (6) months after one (1) year of continuous employment; two
(2) years after two (2) years of continuous employment. Employees participating in the
College Retention Program are exempt from this provision.
4.
Failure to return to work in accordance with the terms of a leave of absence or when
recalled after a layoff.
Bridging seniority after termination and rehire for expired work authorization shall be
considered for an employee with two (2) or more years of service, and who timely and
properly filed an application to renew their employment authorization. Timeliness
shall be defined by current government recommendations.
(T/A - 1/20/2025)
(e)
Probationary Employees
All employees shall be considered probationary employees during the initial ninety (90)
days and shall have no seniority status during said period; but having attained ninety (90) days of
employment, their seniority will date back to their original date of hire.
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2)
APPLICATION OF SENIORITY
(a)
Transfers Between Any Costco Warehouse in the United States
Employees transferring from any Costco Warehouse represented or non-represented or
stepping down from Management (either voluntary or involuntary) shall carry their Company
seniority at the time of transfer or reentry into the Bargaining Unit. The affected employee will be
placed on the Front End according to their Company seniority (unless filling a position no one bid
for) and after six (6) months (or three (3) months for East only)
at the new location will be eligible
for any posting based on their Company seniority. Employees transferring from a Union
warehouse to another Union warehouse shall be immediately eligible for any posting based on
their Company seniority. Employees transferring to any Costco Warehouse will have thirty (30)
days to return to their original warehouse
and be placed on the Front End according to their
Company seniority
.
(T/A – 1/1/2025)
Any employee who requests a transfer to another location and said location is closer to the
Employee’s primary home shall be given consideration for said transfer.
Employees who apply for job openings within their location have priority over an employee
from another location, even when that later employee has greater seniority.
(b)
Layoff and Recall and Reduction of Hours
The principle of Company seniority shall apply in the case of layoff and recall. That is, the
last employee employed shall be the first laid off, and the last laid off shall be the first recalled,
provided that the skill, ability and availability of the employees concerned to perform the work are
substantially equal. Company seniority shall also apply for reduction of hours in departments by
classification. If an employee has been with the Company for over one (1) year, said employee
can enforce seniority in the event of a layoff against employees with less seniority in other
locations in the same geographic area only after employee’s seniority has been exercised within
the employee's home location.
Union Final Voting Document
February 8, 2025
67
The last employee laid off shall be given the first opportunity to reinstatement in the former
position, if said employee presents themselves for work within ninety-six (96) hours, excluding
Saturday and Sunday, from the receipt by the Union or the employee of the Employers notice.
Mailing the notice to the employee's last known address will constitute receipt for the employee.
Failure of such employee to present themselves within the ninety-six (96) hours shall cancel their
seniority.
(c)
Claiming Weekly Schedule/Hours (Part -Time Only)
Part-time employees shall have the right to claim more hours on the basis of seniority under
the following conditions:
1.
A senior part-time employee must claim the entire weekly schedule of a junior part-time
employee that would give them more hours.
2.
Such claim must not result in the Employer not having enough employees to cover a
particular time slot.
3.
Claims can only be made on other part-time employees in the same department having
less seniority.
4.
Claims must be made within twenty-four (24) hours of the posting of the schedule.
5.
The claiming Employee must be available to work the claimed schedule on a continuous
basis for a minimum of six (6) months or as long as the scheduled hours are available.
(d)
Choice of Work Week (Full-Time only)
As openings occur, seniority shall be applied in filling openings by departments/job
classifications. Full-time employees in said department will be given their choice of work week by
seniority, provided that they have the required availability.
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As openings occur, seniority shall apply in filling the opening within the same department
by job classification. Following the filling of the position, the subsequent opening will then be
posted.
(e)
Bidding for Job Openings
The following job openings will be posted:
•
All Service Assistant jobs, except Front End Service Assistants and Food Court
employees.
•
All Service Clerk positions.
•
All full-time positions.
•
Cross Training Positions
*
.
•
Temporary Postings
( T/A - 12/11/24)
*Cross Training Postings are intended for training purposes only. Cross training
postings are for the purpose of training employees so that they can temporarily fill in
when needed. This language shall not be used to circumvent the company’s obligations
under Article XXXII.
(T/A - 12/17/24)
Such job openings will be posted for one (1) week and will be filled on the basis of seniority
with training to follow with the exceptions in this Article, provided:
Employees applying for the position must agree to meet all requirements, including
availability, for a minimum of three (3) months, and agree to be in the position for a minimum of
three (3) months. If the employee that receives the job bid returns to their old job within sixty (60)
days, the Company may then award the bid to the next senior person qualified on the original bid
sheet without the necessity of re-bidding the same job. The three (3) month restriction shall not
apply where changes of hours or scheduling within the department occur, or the ability to move
from part-time to full-time and/or Service Assistant to Service Clerk.
Union Final Voting Document
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69
The Parties agree that the job posting will be honored as long as the job remains, and the
successful bidder remains.
The Employer shall notify the Union within seven (7) calendar days of the awarded job
posting. An employee may be considered ineligible for the position if they have two (2) active
consultations for a related minor offense or a total of three (3) active minor offenses within the six
(6) month period preceding the posting, or one (1) active corrective consultation for a major
offense or suspension within the six (6) month period preceding the posting. Temporary openings
due to vacations, sickness, emergencies, seasonal period or leaves of absence which do not
exceed sixty (60) days are exempt from posting. In the case of pregnancy medical leave or
Workman’s Compensation, temporary openings which do not exceed one hundred twenty (120)
days are exempt from posting. The above-mentioned temporary vacancies must be posted as a
temporary vacancy at the expiration of this sixty (60) or one hundred twenty (120) day period.
If a temporary vacancy opens which is substantiated by leave documentation, and the
leave is expected to last longer than thirty (30) days, the vacated schedule will be offered within
the regular department by seniority. The subsequent open schedule will be posted per the
temporary posting provisions in this Article.
Any employee accepting a bid is subject to a sixty (60) day probationary period during
which the Employer may move the employee back to their prior position if management
determines that the employee is not capable of performing the job, or if the employee so desires.
When an employee bids for a new position, said position vacated may be filled as a
temporary opening for sixty (60) days before it must be bid, thereby leaving the vacancy in the
event the employee returns to their former position.
If an employee bids for a job, obtains it and then is moved back to their old job during the
probationary period by the Company, they can bid for another job at any time. However, if they
bid for a job, obtain it and then voluntarily decide within the sixty (60) day probation period that
they wish to return to their old job, said employee cannot bid again for another job for six (6)
months.
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Postings shall include days off, designation of opening/mid/closing shift, and an example
of the shift. If the posting is not specific, then the employee can exercise their seniority rights to
obtain an earlier start time after thirty (30) days in the position.
The posted job opening sheet shall have space for employees to sign up on the original
bid sheet. Employees being denied a bid will be given the reason.
The Employer shall send a copy to the Local Union of all job postings within two (2) weeks
of posting date, which shall include the names of all employees signing the posting. The Employer
shall notify the Union of the awarded posting as well as verbally notify the successful bidder within
seven (7) calendar days.
Employees awarded posted positions shall be placed into such position within fourteen
(14) calendar days , if possible.
(T/A - 1/23/25)
(f)
Seniority List
The Employer must furnish the Union with a new seniority list on February 1
st
and August
1
st
of each year
monthly,
and at the same time post in each location's lunchroom a seniority list
for that location by classification.
(T/A - 12/12/24)
ARTICLE XXXIII – RENEGOTIATION
The Employer and the Union agree that in the event any provision or provisions are so
declared to be in conflict with the law, both Parties shall meet within thirty (30) days thereafter for
the purpose of renegotiating the provisions so invalidated. The remainder of the Agreement shall
remain in full force and effect.
ARTICLE XXXIV – DURATION
This Agreement shall be in full force and effect for the period to and until January 31, 2025
2028
, and thereafter from year to year, unless terminated by either party as hereinafter provided,
sixty (60)
ninety (90)
calendar days prior through January 31, 2025
2028
, either party may notify
the other party in writing of its desire to cancel the existing Agreement or to negotiate a new
Agreement.
(T/A – 1/31/25)
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February 8, 2025
71
ARTICLE XXXV - MANAGEMENT RIGHTS
The Management of the Employer's operation and the direction of the employees are
vested solely and exclusively in the Employer and shall not in any way be abridged except as
specifically restricted by the express terms set forth in this Agreement.
The Employer shall have the right to designate where and in what manner the work of
employees shall be done, including the right to direct employees to do work for any other person,
provided that such work by employees shall be under the terms and conditions herein, including
the wages and hours as herein provided and shall be the kind and type of work generally
performed by employee pursuant to the provisions herein, including going to and from any other
place of business at the request of the Employer, and shall be paid for by the Employer in
accordance with the terms of the Agreement.
ARTICLE XXXVI – FAVORABLE ECONOMIC CONDITIONS
The Employer agrees during the term of this agreement that should it grant more favorable
economic terms to its non-bargaining unit employees then such more favorable economic terms
shall be offered to the union at the same time and in the same quantity as were granted to the
non-bargaining unit employees. Any dispute over the meaning of this provision including, but not
limited to, whether the non-bargaining unit increase was more favorable than the economic terms
in effect for the bargaining unit employees shall be resolved by the grievance and arbitration
procedures as provided for in this collective bargaining agreement.
ARTICLE XXXVII – PERSONAL APPEARANCE STANDARDS
Employees must ensure that their appearance is neat, clean, and professional and must
practice good grooming and personal hygiene habits.
Costco permits employees reasonable self-expression through personal appearance,
which includes hair color, moderate piercings and jewelry in permitted departments, and visible
Union Final Voting Document
February 8, 2025
72
tattoos. Costco will allow visible tattoos, piercings and jewelry unless they contain images or
words that are obscene, profane, racist, sexual, depict violence or are otherwise objectionable.
All attire and accessories worn in the workplace must be free of any advocacy messaging.
Advocacy messaging is defined as supporting or recommending a particular cause, public policy,
or political party. Accessories include, but are not limited to, stickers, buttons, pins, lanyards, belt
buckles, face coverings, hats, scarves, jewelry.
The following categories of workplace attire will continue to be permitted:
1)
Company-issued or otherwise approved Costco Wholesale writing or logos;
2)
Writing or logos related to Company-approved charitable initiatives;
3)
Sports team or collegiate apparel;
4)
Other Company-approved special attire events;
5)
Sportswear or fashion brand logos.
6)
Union Apparel
For safety reasons employees are prohibited from wearing open-toe or open-heel shoes or
sandals in warehouses. Employees will be required to wear composite/steel toe work shoes
and/or slip-resistant shoes as directed.
Name badges must be clean, accurate, and easy to read, with only Company-approved
attachments.
Note: If employees have specific questions regarding appropriate attire, they must ask their
Location Manager in advance. Inappropriately dressed employees are considered unsuitable to
commence work and will be sent home. Employees may be asked to return to work later the same
day in attire conforming to Company standards. Employees required to leave due to inappropriate
attire will not be compensated for any lost time. Employees may also be disciplined if they arrive
for work inappropriately dressed.
Union Final Voting Document
February 8, 2025
73
ARTICLE XXXVIII -
ANTI-HARASSMENT POLICY
Fair Treatment
The Employer does not allow or permit threats, intimidation, harassment or
coercion in violation of the ANTI-HARASSMENT POLICY, DISCRIMINATION POLICY AND
REPORTING PROCEDURE contained in this Agreement. It is agreed that all employees
are expected to be sensitive to and respectful of others whom they come in contact with
while representing or visiting Costco.
(T/A - 12/17/24)
All verbal, physical, and visual forms of harassment for employees, applicants,
independent contractors, members, guests, and suppliers is prohibited. All forms of harassment
based upon race, color, national origin, ancestry, sex (including pregnancy, childbirth,
breastfeeding, and any related medical conditions), gender, sex stereotyping, sexual orientation,
gender expression, gender identity, transgender status, religion, age, hairstyles or hair texture
commonly or historically associated with race, mental or physical disability, medical condition,
work-related injury, covered military or veteran status, political ideology or expression, genetic
information, marital status, citizenship status,
Union affiliation and the exercise of rights
covered by the National Labor Relations Act (NLRA)
, the protected status of anyone with
whom the individual associates, or any other protected status is prohibited.
(T/A - 12/17/24)
Epithets, slurs, negative stereotyping or threatening, intimidating, or hostile acts that relate
to any of the above-mentioned protected groups are prohibited. Written or graphic material
displayed or circulated in the workplace that denigrates or shows hostility or aversion toward any
of the above-mentioned protected groups are prohibited.
Sexual Harassment
Sexual harassment is unlawful sex discrimination under federal, state, and local law.
Sexual harassment on the basis of self-identified or perceived sex, sexual orientation, gender
expression, gender identity, and transgender status is prohibited. Sexual harassment includes
unwelcome conduct that is of a sexual nature, or that is directed at an individual because of that
individual’s sex, when the conduct has the purpose or effect of unreasonably interfering with work
performance or creating an intimidating, hostile, or offensive work environment, even for one who
is not the intended target of harassment.
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February 8, 2025
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Sexual harassment also occurs when the unwelcome conduct is made either explicitly or
implicitly a term or condition of employment, or submission to or rejection of the conduct is used
for an employment decision. Sexual harassment can occur between any individuals, regardless
of their sex, gender, or sexual orientation.
The Parties agree that this policy also prohibits sexual favoritism. Sexual favoritism occurs
whenever an employment decision is based upon an employee’s receptiveness to sexual
advances.
Sexual harassment is not limited to the physical workplace. Sexual harassment while
It
can occur outside the workplace, including but not limited to
traveling for business or at
Costco events is prohibited. Calls, texts, emails, and social media usage can be workplace
harassment even if they occur away from the workplace, on personal devices, or during non-work
hours.
(T/A – 12/17/24)
REPORTING HARASSMENT, DISCRIMINATION, OR RETALIATION
If an employee believes they are being subjected to harassment, discrimination, or
retaliation, or becomes aware of such conduct being directed at someone else or if an employee
believes another person has received more favorable treatment because of discrimination or
sexual favoritism, such incidents should be reported to a Manager or above as outlined in the
Open Door Policy or via the Ethicspoint site, found at
www.costco.ethicspoint.com
. This applies
to harassment, discrimination, or retaliation caused by anyone with whom an employee may come
into contact as part of their job: Managers, Supervisors, co-workers, members, independent
contractors, suppliers, or others.
All reported incidents will be investigated in the manner determined most appropriate
based on the circumstances.
Employees can also make a report in writing and provide documentation by mail to:
Confidential Submission, General Counsel, Costco Wholesale Corp., 999 Lake Drive,
Issaquah, WA 98027. Our Code of Ethics requires that we obey the law, and the Company
encourages the good faith reporting of unlawful or unethical activity.
Union Final Voting Document
February 8, 2025
75
ANTI-RETALIATION POLICY
Retaliation against those who use the Open Door or who otherwise report violations of
Costco’s policies or laws is prohibited.
Retaliation includes any action that would discourage an employee from reporting
violations of Costco policy, using the Open Door Policy, or participating in an investigation.
It also
applies when engaging with a government agency to report a violation of the law, report
an injury or illness, file a complaint, or participate in an inspection or investigation.
(T/A - 12/17/2024)
If an employee believes that they or another person has been the subject of retaliation,
they may report the matter to a Manager or above through the Open Door policy or through
Ethicspoint.
Any employee found to have violated this anti-retaliation policy is subject to corrective
action up to and including immediate termination of employment. Corrective action will depend on
the severity of the offense.
ARTICLE XXXIX – FACILITY CAMERAS
The Company may utilize camera surveillance for the purposes of security, safety, and
investigations.
Cameras shall not be used to interfere with employee rights under the
National Labor Relations Act. Due to privacy concerns, cameras will not be used in
restrooms or lactation rooms.
(T/A Deletion of L.O.U. and Moved to Body of Contract - 1/24/2025)
ARTICLE XXXX - SUCCESSOR
This Agreement as to wages, hours and working conditions, is entered into and shall be
binding on both Parties, their successors and assigns, from the date hereof until terminated as
provided herein.
In Witness whereof, the Parties hereto have executed this Agreement this __day of__2023
2025
.
FOR THE EMPLOYER:
FOR THE UNION:
Brenda Weber, Senior Vice President
Tom Erickson, International Vice-President
Human Resources
International Brotherhood of Teamsters
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February 8, 2025
76
Richard Arriola
Mike Pharris, Co-Chairperson
Labor Relations Director
Secretary Treasurer Teamsters #166
Fletcher Evans
Jaime Vasquez, Co-Chairperson
Labor Relations
Secretary Treasurer Teamsters #542
______________________________
____________________________________
Bobette Laureano
Dale Wentz
Labor Relations
Secretary Treasurer Teamsters #150
Labor Relations
Mike Brosius, Assistant Vice President
Robert Bellach
Human Resources
Secretary Treasurer Teamsters #210
Sean Cedenio
Labor Relations
Secretary Treasurer Teamsters #570
Rick Middleton
Lourdes M. Garcia
Labor Relations
Secretary Treasurer Teamsters #572
Brenda Weber, Director
Jim Smith
Human Resources
President Teamsters #592
James Wright
Labor Relations
Secretary Treasurer Teamsters #822
Steve Beck
Labor Relations
Secretary Treasurer Teamsters #853
Brenda Weber, Director
Cliff Batham
Human Resources
Business Representative Teamsters #986
Union Final Voting Document
February 8, 2025
77
APPENDIX “A” – CLASSIFICATIONS AND WAGES
(a)
Service Assistants
Stockers, Member Service, Sales Assistants, Front End Assistants, Maintenance, Meat and
Bakery Wrappers, Meat and Bakery Clean-up, Hearing Aid Assistants, Food Service Employees,
Optical Assistant, One Hour Photo, Cart Assistant, Gas Station Assistant, all employees holding
positions in Delivery Warehouse except Delivery Truck Drivers and Pharmacy Assistants.
(T/A – 2/1/25)
(b)
Service Clerks
Cashiers, Forklift Operators, Membership, Membership Refunds Cashier
,
Marketers, Meat
Cutters, Bakers, Cake Decorators, Deli, Volume Shopper Coordinators, Receiving Clerks,
Receiving Secretary, Warehouse Administrative Clerk, Maintenance II, Electric Pallet Jack
Operators, Delivery Truck Drivers, Licensed Pharmacy Clerks, Return to Vendor, Delivery Payroll
Clerk, Tire Center Employees, Delivery Forklift Drivers, Inventory Auditor, Photo Lab Clerk
(certified),
Pharmacy Cashier, Sushi Clerk, Sushi Fish Cutter
and Self-Checkout.
(T/A – 2/1/25)
•
Warehouse Administrative Clerk = Warehouse office staff including the Vault.
•
Maintenance II = Doing skilled electrical, plumbing or carpentry in excess of 50% of their
time.
(c)
Wages
Employees attaining the hours needed for a step raise shall receive the monetary increase
immediately and begin accumulating hours toward the next goal increase.
Employees, members of the Reserves of the Armed Forces or National Guard who are
required to attend an annual Active-Duty Training period, shall continue to accumulate hours
toward their next pay bracket while on such annual training. Such accumulation shall not exceed
two (2) weeks per year.
The Parties agree to continue to recognize and maintain employee rights as required by
USSERA and/or applicable State or Federal statutes and/or regulations.
Union Final Voting Document
February 8, 2025
78
APPENDIX “A” - WAREHOUSE WAGES
Appendix “A-1” Wages
(New Scales for 2025-2028 CBA)
SERVICE ASSISTANT RATES
Hired On or Before 1/31/25
Level
2/25
2/26
2/27
next 1040 Hours
5
$20.00
$20.00
$20.00
next 1040 Hours
6
$21.00
$21.00
$21.00
next 1040 Hours
7
$22.00
$22.00
$22.00
next 1040 Hours
8
$23.00
$23.00
$23.00
next 1040 Hours
9
$24.00
$24.00
$24.00
next 1040 Hours
10
$25.00
$25.00
$25.00
Top Step
11
$30.20
$31.20
$32.20
*Effective the first full pay period in February of the respective year listed above.
*Any employee on the scale above, who is below the level five (5) rate of $20.00/hr. after ratification of this agreement, will be
moved to level five (5) and retain all goal hours.
Hired On or After 2/1/25
Level
02/25
02/26
02/27
First 1040 Hours
1
$20.00
$20.00
$20.00
next 1040 Hours
2
$21.00
$21.00
$21.00
next 1040 Hours
3
$22.00
$22.00
$22.00
next 1040 Hours
4
$23.00
$23.00
$23.00
next 1040 Hours
5
$24.00
$24.00
$24.00
next 1040 Hours
6
$25.00
$25.00
$25.00
next 1040 Hours
7
$26.00
$26.00
$26.00
next 1040 Hours
8
$27.00
$27.00
$27.00
next 1040 Hours
9
$28.50
$28.50
$28.50
Top Step
10
$30.20
$31.20
$32.20
Effective the first full pay period in February of the respective year listed above.
Union Final Voting Document
February 8, 2025
79
SERVICE CLERK RATES
Hired On or Before 1/31/25
Level
2/25
2/26
2/27
next 1040 Hours
5
$21.00
$21.00
$21.00
next 1040 Hours
6
$22.00
$22.00
$22.00
next 1040 Hours
7
$23.00
$23.00
$23.00
next 1040 Hours
8
$24.00
$24.00
$24.00
next 1040 Hours
9
$25.00
$25.00
$25.00
next 1040 Hours
10
$26.50
$26.50
$26.50
Top Step
11
$31.90
$32.90
$33.90
Effective the first full pay period in February of the respective year listed above.
*Any employee on the scale above, who is below the level five (5) rate of $21.00/hr after ratification of this agreement,
will be moved to level five (5) and retain all goal hours.
Hired On or After 2/1/25
Level
02/25
02/26
02/27
First 1040 Hours
1
$21.00
$21.00
$21.00
next 1040 Hours
2
$22.00
$22.00
$22.00
next 1040 Hours
3
$23.00
$23.00
$23.00
next 1040 Hours
4
$24.00
$24.00
$24.00
next 1040 Hours
5
$25.00
$25.00
$25.00
next 1040 Hours
6
$26.00
$26.00
$26.00
next 1040 Hours
7
$27.00
$27.00
$27.00
next 1040 Hours
8
$28.50
$28.50
$28.50
next 1040 Hours
9
$30.00
$30.00
$30.00
Top Step
10
$31.90
$32.90
$33.90
Effective the first full pay period in February of the respective year listed above.
Union Final Voting Document
February 8, 2025
80
MEAT/FISH CUTTER RATES
Hired On or Before 1/31/25
Level
2/25
2/26
2/27
next 1040 Hours
5
$21.50
$21.50
$21.50
next 1040 Hours
6
$23.00
$23.00
$23.00
next 1040 Hours
7
$24.50
$24.50
$24.50
next 1040 Hours
8
$26.00
$26.00
$26.00
next 1040 Hours
9
$27.50
$27.50
$27.50
Top Step
10
$33.40
$34.40
$35.40
Effective the first full pay period in February of the respective year listed above.
*Any employee on the scale above, who is below the level five (5) rate of $21.50/hr after ratification of this agreement,
will be moved to level five (5) and retain all goal hours.
Hired On or After 2/1/25
Level
02/25
02/26
02/27
First 1040 Hours
1
$21.50
$21.50
$21.50
next 1040 Hours
2
$22.50
$22.50
$22.50
next 1040 Hours
3
$23.50
$23.50
$23.50
next 1040 Hours
4
$24.50
$24.50
$24.50
next 1040 Hours
5
$25.50
$25.50
$25.50
next 1040 Hours
6
$27.00
$27.00
$27.00
next 1040 Hours
7
$28.50
$28.50
$28.50
next 1040 Hours
8
$30.00
$30.00
$30.00
next 1040 Hours
9
$31.50
$31.50
$31.50
Top Step
10
$33.40
$34.40
$35.40
Effective the first full pay period in February of the respective year listed above.
Union Final Voting Document
February 8, 2025
81
BUSINESS DELIVERY - TRUCK DRIVER RATES
Hired On or Before 1/31/25
Level
2/25
2/26
2/27
next 1040 Hours
5
$25.00
$25.00
$25.00
next 1040 Hours
6
$26.00
$26.00
$26.00
next 1040 Hours
7
$27.00
$27.00
$27.00
next 1040 Hours
8
$28.00
$28.00
$28.00
next 1040 Hours
9
$29.00
$29.00
$29.00
next 1040 Hours
10
$30.50
$30.50
$30.50
Top Step
11
$35.90
$36.90
$37.90
Effective the first full pay period in February of the respective year listed above.
*Any employee on the scale above, who is below the level five (5) rate of $25.00/hr after ratification of this
agreement, will be moved to level five (5) and retain all goal hours.
•
Above rates include a $4.00 Delivery Driver premium at each step.
H
ired On or After 2/1/25
Level
02/25
02/26
02/27
First 1040 Hours
1
$25.00
$25.00
$25.00
next 1040 Hours
2
$26.00
$26.00
$26.00
next 1040 Hours
3
$27.00
$27.00
$27.00
next 1040 Hours
4
$28.00
$28.00
$28.00
next 1040 Hours
5
$29.00
$29.00
$29.00
next 1040 Hours
6
$30.00
$30.00
$30.00
next 1040 Hours
7
$31.00
$31.00
$31.00
next 1040 Hours
8
$32.50
$32.50
$32.50
next 1040 Hours
9
$34.00
$34.00
$34.00
Top Step
10
$35.90
$35.90
$35.90
Effective the first full pay period in February of the respective year listed above.
•
Above rates include a $4.00 Delivery Driver premium at each step
Union Final Voting Document
February 8, 2025
82
APPENDIX “B” EXTRA CHECKS
2025 / 2026 / 2027
Service Assistants
0-9 Years
10-14 Years
15-19 Years
20-24 Years
25+ Years
April
October
April
October
April
October
April
October
April
October
$2,400
$2,400
$2,700
$2,700
$3,250
3,250
$3,900
$3,900
$4,400
$4,400
Service Clerks/Meat Cutters/Drivers
0-9 Years
10-14 Years
15-19 Years
20-24 Years
25+ Years
April
October
April
October
April
October
April
October
April
October
$2,450
$2,450
$2,900
$2,900
$3,500
$3,500
$4,150
$4,150
$4,650
$4,650
(T/A - 2/1/25)
Extra Check Measurement Period end dates, and required hours:
Required Hours
Hired prior to 2/1/13-9200 Hours
Hired on or after 2/1/13-12,400 Hours
Measurement Period
Paycheck
Year
End Date
March 16
March 21
2025
September 14
October 3
2025
March 15
April 3
2026
September 13
October 2
2026
March 14
April 2
2027
September 12
October 1
2027
(T/A – 2/1/25)
Union Final Voting Document
February 8, 2025
83
EXTRA CHECK ELIGIBILITY
Employees actively employed on the paycheck date listed above, who have been paid the
required number of hours though continuous employment, will be eligible for an Extra Check. The
initial Extra Check will be prorated based on the number of hours paid after reaching the required
number of hours. The check will be received on the paycheck dates listed above.
To qualify for the entire payment, you must have been paid a minimum of one thousand
(1,000) hours in the six (6) month period immediately preceding the Extra Check measurement
period end date. An accelerated accrual for hours worked on Sunday by full-time employees will
be applied towards the one thousand (1000) paid hours.
If you work less than 1,000 hours in the six (6) month period preceding the measurement
period end dates, you will receive a prorated Extra Check based on hours paid. The formula will
be:
Accumulated hours worked divided by one thousand (1,000) X entire Extra Check amount =
amount due employee. Years of continuous service are determined as of April 1 for the March
Extra Check payment, and as of October 1 for the September Extra Check payment.
Union Final Voting Document
February 8, 2025
84
APPENDIX “C” - PREMIUMS
In addition to any other premiums found in the agreement, the following also applies:
Forklift / Electric Pallet Jack Premium
Employees will receive a $1.00 per hour premium in addition to their normal rate of pay for all
time spent operating a forklift or EPJ.
Upon ratification, the Forklift/EPJ Premium pay shall be retroactive to February 1, 2022
(T/A Housekeeping – 1/31/25)
Pharmacy Technician Premium
Pharmacy Technician employees will receive a $2.00
$3.00
per hour premium in addition to
their normal rate of pay.
(T/A – 1/24/25)
Upon ratification, Pharmacy Technician Premium pay shall be retroactive to February 1, 2022
(T/A Housekeeping – 1/31/25)
ADD: Nationally Licensed Immunizing Pharmacy Technician employees will receive a
$4.00 per hour premium in addition to their normal rate of pay. (Not currently available in
New York or New Jersey)
(T/A – 1/31/25)
Union Final Voting Document
February 8, 2025
85
APPENDIX “D” - DELIVERY / BUSINESS CENTER PROGRAM
(a)
Business Delivery
Classifications of employees working in a Business Delivery warehouse are as follows:
1.
Service Clerk - Delivery Drivers, Payroll Clerks and Forklift Drivers
2.
Service Assistant - All other hourly union employees regardless of job assignment.
(b)
Business Center
A Business Center Warehouse is one that contains both Business Delivery functions in addition
to job classifications found in traditional Costco Wholesale Warehouses. Although a Business
Center is open to the public it is designed more for the business member.
1.
Classifications unique to the Business Center warehouse are as follows:
2.
Service Clerk: Account Representative, Accounts Receivable
3.
Service Assistants: Order Takers, Pickers (utilizing an electric pallet jack), Copy Center
and Delivery Router. It is understood that all other Classifications listed in Appendix “A”
of the Collective Bargaining Agreement apply to the Business Center except as
provided above. As such, when a Business Delivery location is transitioned to a
Business Center, the following Business Delivery Service Assistant positions will
become Service Clerk: Receiving Clerks, Administration (i.e., Sales Audit, Vault, and
Inventory Auditor).
4.
The Account Manager is considered a salaried non-union position.
(c)
Delivery Drivers
Delivery Drivers and Back-up Delivery Drivers are considered posted positions under the following
provisions:
1. Postings are awarded by seniority in the following order:
(a)
Current Back-up Drivers
(b)
Other employees meeting the minimum qualification requirements
Union Final Voting Document
February 8, 2025
86
(d)
Bidding
When for any reason an employee transfers into Business Delivery as a Delivery Driver,
said employee will maintain seniority for all purposes except for route bidding purposes, for
which their transfer in-date will be the effective date for route bidding.
2. Minimum Qualification
(a)
Must have Commercial Driver's (Class “B”) Permit. (This authorizes an employee
to drive a Class “B” vehicle provided the employee is accompanied by a fully qualified
and licensed individual.)
(b)
Must pass state pre-trip and driving test for Class “B” license within thirty (30)
calendar days of posting into the position. The pre-trip and driving test must be
scheduled for the first available appointment with the local office of the State Department
of Motor Vehicles.
(c)
If the employee fails the state pre-trip and driving test, the employee may be
returned to his/her former position and the posting will be offered to the next qualified
applicant.
(d)
Company will reimburse employee for direct expenses involved in obtaining the
Class “B” License including the recurrent DOT physical once the employee is awarded
a Driver position and obtains the full Class “B” License.
3. Probationary Period for Drivers:
One hundred twenty (120) days.
4. Class “A” Drivers:
Drivers that are Class “A” certified will receive an additional one
dollar and fifty cent ($1.50) an hour premium while performing the work in equipment in
excess of 26,000 pounds (Class “A” requirement).
In the time leading up to delivery trucks leaving, salaried, Picking Manager (Business
Delivery), Assistant Picking Manager (Business Delivery) may perform hands on bargaining unit
work in the area of preparing the truckloads for departure.
Union Final Voting Document
February 8, 2025
87
In the event that a driver tests positive based on the D.O.T. required, random testing
program, the Company agrees that said driver shall be eligible for a one-time reinstatement if said
driver completes an approved rehabilitation program.
The driver shall remain off of the job until such time as completion/enrollment in an
approved plan allows for the driver to perform his/her duties.
The Company reserves the right to offer this program to a Business Delivery driver based
on all factors involving said driver's overall work performance.
(e)
Bidding
In January and July, start times for drivers will be rebid. Start times will be associated with
a geographic area as determined by management. Specific assignments within the geographic
area will be made at management’s discretion. The posting for the rebid will include the start time
and the associated general geographic area. The bid period shall be announced, and all drivers
must rebid within ten (10) days of the time the rebid is posted. Start times will be awarded by
seniority. Start times will be implemented in February and August respectively. Generally, drivers
will remain in the geographic area associated with their start time and shall be moved only when
business needs occur that would necessitate going outside of their geographic area.
It is the Company’s intention to maintain regular start times based on geographic route
groupings. However, times may be adjusted based on business volume fluctuations due to such
things as holidays and cyclical order patterns.
(f)
Open Bids
In the event that it is determined that additional regular drivers are needed for a specific
start time, the open start time will be posted. The posting shall include the start time and
associated geographic area. Postings will be awarded by seniority.
Union Final Voting Document
February 8, 2025
88
Letter of Understanding
Between
Costco Wholesale
And
Teamsters Local 853
(T/A – 1/31/25)
This Letter of Understanding shall serve to resolve grievances filed by Teamsters Local 853 on
behalf of Costco Delivery Drivers working in the Hayward, San Fransico, and San Jose
locations.
Drivers are required to report all accidents, either immediately, or as soon as possible to the
dispatcher. Depending on the severity of the damage (if any), the driver may be picked up on
the route, or allowed to finish the route and finish out the day.
The following procedures shall be utilized in accessing
assessing
the need, if any, for discipline
where the driver has had an accident.
If a drug test is required, the driver shall work in the warehouse at his/her regular rate of pay.
Accidents, where there is no obvious fault of the driver, such as being rear-ended, or hit by
another vehicle obviously at fault, or damage occurring through no fault of the driver, shall not
be subject to this procedure.
If the test is negative, the driver shall immediately be reinstated to his/her driving duties. The
accident, if it exceeds the damage level, or involves injury, shall be submitted to the Accident
Panel, made up of_____________________, for determination of fault. If the driver’s is found
to be at fault, progressive discipline, as described herein, shall be enforced. If no fault is found,
or if the determination is inconclusive, no action shall be taken against the driver.
A positive test given as a result of an accident shall result in immediate termination.
The following disciplinary progression will be utilized if a driver is involved in a Major at fault
accident. Major accidents are defined as:
An at-fault accident where there is no personal injury and all property damage damage is
$2,000
$5,000
or more.
An at-fault accident where there is personal injury regardless of property damage.
Union Final Voting Document
February 8, 2025
89
Major Accident $ Threshold
$2,000
$5,000
Rolling Window
24 Months
1
st
Major at fault
Verbal CC and Warning
2
nd
Major at fault
3 month
2 month
suspension from driving,
loss of driving premium, reassigned to
Warehouse
3
rd
Major at fault
6 month
3 month
suspension from driving,
loss of driving premium, reassigned to
Warehouse
4
th
Major at fault
Termination or indefinite removal from
driving, reassignment to warehouse, Driver
premium shall be reduced
Exceptions can be made for long service employee with an excellent previous record
The Company reserves the right to immediately suspend or terminate an employee at any
stage of the progression for gross negligence.
Accidents which involve unusual or extraordinary circumstances shall be reviewed the
manager and the union representative, and if a decision on how or if discipline is warranted,
the level shall also be discussed. If the parties are unable to come to agreement, the issue
shall revert to the grievance procedure in the CBA.
In the event a driver is required to perform driver duties during the time of any suspension
,
his suspension will end but any discipline will remain in the employee’s file as outlined in
the CBA.
Reaffirmed this ___________________ day of __________________________, 2023 2025.
For the Employer:
For the Union:
Brenda Weber, Senior Vice President
Tom Erickson, International Vice-President
Human Resources
International Brotherhood of Teamsters
Richard Arriola
Mike Pharris, Co-Chairperson
Labor Relations Director
Secretary Treasurer Teamsters #166
Fletcher Evans
Jaime Vasquez, Co-Chairperson
Labor Relations
Secretary Treasurer Teamsters #542
________________________________
Bobette Laureano
Labor Relations
Union Final Voting Document
February 8, 2025
90
LETTER OF UNDERSTANDING – BUSINESS DELIVERY FLEET CAMERA SYSTEM
(TA - 1-31-25 425PM)
It is understood by the parties that the language in this letter of understanding applies
solely to the Business Delivery Fleet Camera System.
The Company and the Teamsters agree to the use of a fleet camera system on Company
Business Delivery trucks for the purpose of
exonerating Drivers for situations in which they
are not at fault
, holding Drivers accountable
and
for
verifying
traffic violations, accidents, and
other incidents involving property damage (hereafter referred to as “incident”)
.
and to exonerate
Drivers for situations in which they are not at fault. The system may be used to capture 360 degree
footage outside the truck. Any camera(s) in the truck cab shall be forward-facing
and not capture
images of the driver.
Drivers shall not be videoed while in the cab.
Management shall not monitor the camera system for the purpose of surveilling Drivers without
cause. Should a possible incident occur that is captured by the system, an automated alert shall
be sent to Management. Alerts shall be sent for incidents such as, but not limited to, speeding,
running a red light, and failure to sufficiently obey a stop sign, as defined by Company policy.
Such alerts shall provide camera footage limited to the time of the alleged incident only. In the
case of an incident resulting in property damage that does not result in an alert, Management may
review relevant footage to determine whether the Driver was at fault, and to what degree.
Should the camera system capture an incident that is cause for discipline, the Driver may be held
accountable under the relevant Minor and Major offenses noted in this collective bargaining
agreement.
Reaffirmed this ___________________ day of __________________________, 2023 2025.
For the Employer:
For the Union:
Brenda Weber, Senior Vice President
Tom Erickson, International Vice-President
Human Resources
International Brotherhood of Teamsters
Richard Arriola
Mike Pharris, Co-Chairperson
Labor Relations Director
Secretary Treasurer Teamsters #166
Fletcher Evans
Jaime Vasquez, Co-Chairperson
Labor Relations
Secretary Treasurer Teamsters #542
________________________________
Bobette Laureano
Labor Relations
Union Final Voting Document
February 8, 2025
91
LETTER OF UNDERSTANDING – BUSINESS CENTER DRIVERS
Costco Business Delivery, Hayward, South San Francisco, San Jose
On an as-needed basis, Hayward, South San Francisco (SSF), and San Jose drivers
may be shifted from one facility to another on the basis of seniority, or if possible, drivers can
volunteer to work at the other facility if it is in need of drivers.
Other non-driver SSF and San Jose employees, such as stockers and order pickers, may
be utilized as drivers on an as-needed basis. In the event that a San Jose or SSF employee
works a total of 800 hours in the capacity of a fill-in driver in the prior twenty-six consecutive pay
periods, the most senior SSF employee that works in this same fill-in driver capacity, shall be
promoted to a driver, and will become part of the existing bargaining unit.
Should a driver be demoted, either involuntarily or voluntarily, they will have the option of
demoting into the bargaining unit at the Hayward facility under Article XX
I
- Promotions &
Demotions of the existing collective bargaining agreement or be considered for a transfer into
the non-represented portion of the San Jose or SSF facility under the provisions of the
Employee Agreement.
Bidding of routes shall be limited to each facility independently and will not be cross-bid
between facilities. The Employer shall have the right to move routes and decide which facility
will service which geographical areas.
Any further operational issues that have not been covered shall be worked out by the
parties and incorporated into this letter of understanding.
Reaffirmed this ___________________ day of __________________________, 2023 2025.
For the Employer:
For the Union:
Brenda Weber, Senior Vice President
Tom Erickson, International Vice-President
Human Resources
International Brotherhood of Teamsters
Richard Arriola
Mike Pharris, Co-Chairperson
Labor Relations Director
Secretary Treasurer Teamsters #166
Fletcher Evans
Jaime Vasquez, Co-Chairperson
Labor Relations
Secretary Treasurer Teamsters #542
________________________________
Bobette Laureano
Labor Relations
Union Final Voting Document
February 8, 2025
92
LETTER OF UNDERSTANDING - PHARMACY
Effective February 1, 1998, the Pharmacy Department shall consist of Licensed Pharmacy
Clerks and Pharmacy Assistants. Licensed Pharmacy Clerks shall no longer receive a $1.00
premium. All Licensed Pharmacy Clerks receiving the premium on February 1, 1998 shall be
grandfathered and continue to receive the premium. All non-licensed Pharmacy Clerks classified
as Service Clerks on February 1, 1998 shall continue to be Service Clerks.
Licensed Pharmacy Clerk is a posted position and classified as Service Clerk subject to
current rates and progression. To qualify, employees must be licensed by the State of California.
Such employees are permitted by Board of Pharmacy Regulations to perform expanded functions
with respect to assisting the Pharmacist in the filling of prescriptions.
In the case of staffing a new Pharmacy operation, Pharmacy Clerk and Pharmacy Assistant
positions will be posted. However, the Company will announce openings and position
requirements in order to "solicit interest" from existing employees. Those existing employees with
similar past experience will be considered before anyone from outside the Company.
In established Pharmacies, the position of Pharmacy Assistant will be a posted position,
subject to testing similar to the Warehouse Administrative Clerk. The Pharmacy Clerk position
shall be posted with the minimum qualifications as stipulated above. The Company may hire from
outside if there are no qualified current employees.
The parties agree that to insure
ensure
proficiencies exist in all aspects of the Pharmacy
operations; some shifts may be switched to familiarize employees with all the Pharmacy
operations from time to time.
Reaffirmed this ___________________ day of __________________________, 2023 2025.
For the Employer:
For the Union:
Brenda Weber, Senior Vice President
Tom Erickson, International Vice-President
Human Resources
International Brotherhood of Teamsters
Richard Arriola
Mike Pharris, Co-Chairperson
Labor Relations Director
Secretary Treasurer Teamsters #166
Fletcher Evans
Jaime Vasquez, Co-Chairperson
Labor Relations
Secretary Treasurer Teamsters #542
______________________________
Bobette Laureano
Labor Relations
Union Final Voting Document
February 8, 2025
93
LETTER OF UNDERSTANDING - ATTENDANCE POLICY
(T/A Housekeeping Deletion – 1/21/25)
Conversion to New Attendance Policy
The parties agree that the current attendance policy will be modified to the proposed
Attendance Policy on February 1, 2023. At that time all current instances of absenteeism, and
any discipline that may be associated with them, will be removed from the employee’s file.
Employees will start with zero instances of absenteeism on this same date.
Affirmed this ___________________ day of __________________________, 2023.
For the Employer:
For the Union:
Brenda Weber, Senior Vice President
Tom Erickson, International Vice-President
Human Resources
International Brotherhood of Teamsters
Richard Arriola
Mike Pharris, Co-Chairperson
Labor Relations Director
Secretary Treasurer Teamsters #166
Fletcher Evans
Jaime Vasquez, Co-Chairperson
Labor Relations
Secretary Treasurer Teamsters #542
Union Final Voting Document
February 8, 2025
94
LETTER OF UNDERSTANDING - 401(k)
The following schedule of changes shall be made to the 401(k) Plan for Union Employees.
Employees must meet the eligibility requirements for the 401(k) Plan to receive the following
contributions and matching funds. Please refer to the Summary Plan Description for specific rules
and guidelines.
2025/2026/2027
Employees who are actively employed with the Company on December 31, 2025, and
each subsequent year listed below, who are eligible for participation in the Company's
401(k) Plan, shall receive a contribution into their 401(k) Plan based on all straight time
hours paid from January 1, 2025, through December 31, 2025, and each subsequent time
period for the years listed, including Sundays, up to a maximum of one hundred seventy-
three (173) hours per month as follows:
401(k) Hourly Contributions
Service Assistants/ Service Clerks
Meat Cutters / RX Assistants/Sushi
Fish Cutter/ Sushi Clerk / Drivers
Year 1
2025
Year 2
2026
Year 3
2027
0 to 4 years
$0.05
$0.05
$0.05
5 to 9 years
$0.15
$0.15
$0.15
10 to 19 years
$0.37
$0.37
$0.37
20 plus years
$0.47
$0.47
$0.47
Reaffirmed this ___________________ day of __________________________, 2023 2025.
For the Employer:
For the Union:
Brenda Weber, Senior Vice President
Tom Erickson, International Vice-President
Human Resources
International Brotherhood of Teamsters
Richard Arriola
Mike Pharris, Co-Chairperson
Labor Relations Director
Secretary Treasurer Teamsters #166
Fletcher Evans
Jaime Vasquez, Co-Chairperson
Labor Relations
Secretary Treasurer Teamsters #542
______________________________
Bobette Laureano
Labor Relations
Union Final Voting Document
February 8, 2025
95
LETTER OF UNDERSTANDING Elimination of Article XXI,
(c) East Coast Contract (Promotions to Service Clerk)
The Company and the Union have endeavored to correct discrepancies in pay for employees who
are receiving pay that may be out of compliance with those rates listed in Appendix “A” of the Agreement.
In order to standardize and adjust pay rates to be in compliance with Appendix “A”, the Company will notify
the member and the Union of the pay discrepancy. For a period of no less than sixty (60) days, the
Company will work with the employee to place said employee in a position commensurate with the rate of
pay the employee was receiving at the time of the notification. During this period of time the employee will
maintain the rate of pay that was in place at the time of notification. If after sixty (60) days the employee
cannot be placed into a position commensurate with their pay rate, the employee may exercise their rights
under Article XXVII, (b). If the employee declines to exercise said rights, the employee will be reduced to
the appropriate rate as a Service Assistant. Employees declining Service Clerk work will be paid at the
lower classification.
Employees who have earned their Clerk classification through Article XXI, (c) East Coast Contract
(Promotions to Service Clerk), and are still in a Service Assistant position, are grandfathered with Service
Clerk classification pay rate unless they should bid into another job that has a lower rate of pay.
Additionally, employees who were in a Service Clerk position and moved by the Company and allowed to
keep their Service Clerk status are grandfathered and shall maintain the Service Clerk rate of pay unless
posting into a different position within a different classification.
Affirmed this ___________________ day of __________________________,
2023 2025
.
For the Employer:
For the Union:
Brenda Weber, Senior Vice President
Tom Erickson, International Vice-President
Human Resources
International Brotherhood of Teamsters
Richard Arriola
Mike Pharris, Co-Chairperson
Labor Relations Director
Secretary Treasurer Teamsters #166
Fletcher Evans
Jaime Vasquez, Co-Chairperson
Labor Relations
Secretary Treasurer Teamsters #542
______________________________
Bobette Laureano
Labor Relations
Union Final Voting Document
February 8, 2025
96
LETTER OF UNDERSTANDING – CAMERAS
(T/A Deletion Moved to Body of Contract – 1/24/25)
The Company may utilize camera surveillance for security, safety and investigations. The
Union may notify employees through a posting on the Union Bulletin Board under the provisions
of Article XXVI (b), Bulletin Boards.
Reaffirmed this ___________________ day of __________________________,
2023
For the Employer:
For the Union:
Brenda Weber, Senior Vice President
Tom Erickson, International Vice-President
Human Resources
International Brotherhood of Teamsters
Richard Arriola
Mike Pharris, Co-Chairperson
Labor Relations Director
Secretary Treasurer Teamsters #166
Fletcher Evans
Jaime Vasquez, Co-Chairperson
Labor Relations
Secretary Treasurer Teamsters #542
Union Final Voting Document
February 8, 2025
97
LETTER OF UNDERSTANDING
February 1, 2025
This LOU shall serve to confirm the understanding reached between the
undersigned parties that, upon NLRB certification, after a valid vote on representation,
that an IBT Local Union represents Costco employees in an appropriate unit, a separate
vote will be conducted by the FMCS or an impartial arbitrator, to determine if these
employees desire to become participants in the Western Conference of Teamsters
Pension Fund or remain in the Costco 401K. If by a majority vote, these employees
choose to become participants in the Western Conference of Teamsters Pension Fund,
the unit will become part of the National Agreement. Both parties agree to be professional
and courteous during the campaign and will be allowed to express their views about
unionization while strictly avoiding any form of coercion, intimidation, threats, promises,
or undue influence toward employees, ensuring they are aware of their right to choose
whether or not to join a union. This LOU only covers Costco retail locations open to
Costco members.
Affirmed this ___________________ day of __________________________, 2025
For the Employer:
For the Union:
Brenda Weber, Senior Vice President
Tom Erickson, International Vice-President
Human Resources
International Brotherhood of Teamsters
Richard Arriola
Mike Pharris, Co-Chairperson
Labor Relations Director
Secretary Treasurer Teamsters #166
Fletcher Evans
Jaime Vasquez, Co-Chairperson
Labor Relations
Secretary Treasurer Teamsters #542
______________________________
Bobette Laureano
Labor Relations
Union Final Voting Document
February 8, 2025
98
LETTER OF UNDERSTANDING – Combo Classification
Effective February 1, 2022, it will be recognized that the “Combo” is not a contractual
posting/position and will no longer be utilized for scheduling or posting provisions. All current
“Combo” positions shall be reassigned to a specific home department, and the employee will be
eligible to utilize their seniority under all provisions of the CBA.
Reaffirmed this ___________________ day of __________________________,
2023 2025
For the Employer:
For the Union:
Brenda Weber, Senior Vice President
Tom Erickson, International Vice-President
Human Resources
International Brotherhood of Teamsters
Richard Arriola
Mike Pharris, Co-Chairperson
Labor Relations Director
Secretary Treasurer Teamsters #166
Fletcher Evans
Jaime Vasquez, Co-Chairperson
Labor Relations
Secretary Treasurer Teamsters #542
______________________________
Bobette Laureano
Labor Relations
Union Final Voting Document
February 8, 2025
99
LETTER OF UNDERSTANDING – TEMPORARY MANAGERS
(T/A – 1/23/25)
The Company may utilize union members, on a temporary basis, to perform work as a
temporary manager. The union member must replace a specific identified manager who is out
on a leave of absence and will not be able to perform bargaining unit work (unless allowed in
the Agreement e.g., Bakery Manager, Center Manager). The Temporary Manager will remain an
active union member, work in their home warehouse, and not have the ability to hire/fire/issue
discipline.
Management will notify both the Local Union and Labor Relations in writing
, prior to starting
the modified work,
of who is affected, who and what position is being replaced, and the start
and anticipated end date.
The Company will provide a monthly update on all Temporary
managers.
The parties shall meet no later than 90 days from the execution of this LOU to discuss the
duration and number of managers over an agreed-upon duration of time.
Affirmed this ___________________ day of __________________________,
2023 2025
For the Employer:
For the Union:
Brenda Weber, Senior Vice President
Tom Erickson, International Vice-President
Human Resources
International Brotherhood of Teamsters
Richard Arriola
Mike Pharris, Co-Chairperson
Labor Relations Director
Secretary Treasurer Teamsters #166
Fletcher Evans
Jaime Vasquez, Co-Chairperson
Labor Relations
Secretary Treasurer Teamsters #542
______________________________
Bobette Laureano
Labor Relations
Union Final Voting Document
February 8, 2025
100
LETTER OF UNDERSTANDING – LOT SECURITY PREMIUM
This letter shall serve to confirm the understanding reached by the undersigned parties
regarding the establishment of a $1.50 per hour premium for employees who use their
personal vehicle while monitoring the lot. Employees will need to job transfer at the time clock
to "Lot Security" before performing lot security work.
Affirmed this ___________________ day of __________________________,
2023 2025
For the Employer:
For the Union:
Brenda Weber, Vice President
Tom Erickson, International Vice-President
Human Resources
International Brotherhood of Teamsters
Richard Arriola
Mike Pharris, Co-Chairperson
Labor Relations Director
Secretary Treasurer Teamsters #166
Fletcher Evans
Jaime Vasquez, Co-Chairperson
Labor Relations
Secretary Treasurer Teamsters #542
______________________________
Bobette Laureano
Labor Relations
Union Final Voting Document
February 8, 2025
101
LETTER OF UNDERSTANDING – APPEARANCE STANDARD POLICY
The Union and the Company agree to meet thirty (30) days after ratification to
establish the procedure for a sub-committee to meet to discuss the policy below. In the
thirty (30) days following the establishment of the committee, the committee shall develop
a Personal Appearance Standard Policy. The Personal Appearance Standard Policy shall
then be implemented sixty (60) days following the date of ratification or as soon as
practicable thereafter.
Affirmed this ___________________ day of __________________________,
2025
For the Employer:
For the Union:
Brenda Weber, Vice President
Tom Erickson, International Vice-President
Human Resources
International Brotherhood of Teamsters
Richard Arriola
Mike Pharris, Co-Chairperson
Labor Relations Director
Secretary Treasurer Teamsters #166
Fletcher Evans
Jaime Vasquez, Co-Chairperson
Labor Relations
Secretary Treasurer Teamsters #542
______________________________
Bobette Laureano
Labor Relations
Union Final Voting Document
February 8, 2025
102
EMPLOYEE ATTENDANCE POLICY - ATTENDANCE & TARDIES
ATTENDANCE
When an employee is absent from work for four (4) or more
unpaid
occasions in a
twelve (12) month period, the employee will be subject to the following progressive
discipline:
Progressive Discipline Steps
Action Taken
1
st
unpaid instance
No Discipline
2
nd
unpaid instance
No Discipline
3
rd
unpaid instance
No Discipline
4
th
unpaid instance
Verbal
5
th
unpaid instance
Written 1
6
th
unpaid instance
Written 2-with suspension
7
th
Unpaid instance
Written 3-with suspension pending termination
Corrective Consultation will be valid from twelve (12) months of the occurrence.
Union Final Voting Document
February 8, 2025
103
TARDY
When an employee is tardy on three (3) separate occasions of four (4) minutes or more
and/or two (2) occasions of thirty (30) minutes or more in a rolling thirty (30) day period this will
be considered excessive tardiness. Progressive discipline will be as follows:
Progressive Discipline Steps
Number of Tardies in a
rolling thirty (30) day
period
Action Taken
Step One (1)
Three (3) tardies in a
rolling thirty (30) day
period
Verbal Corrective Consultation
Step Two (2)
Three (3) tardies in a
rolling thirty (30) day
period
Written Corrective Consultation
Step Three (3)
Three (3) tardies in a
rolling thirty (30) day
period
Written Corrective Consultation
and possible suspension and/or
Termination
Corrective Consultations are valid six (6) months from the date of issuance.
Example:
•
Tardy on 2-17-22 six (6) minutes late (1
st
tardy)
•
Tardy on 2-22-22 four (4) minutes late (2
nd
tardy 5 days after 1
st
tardy)
•
Tardy on 3-15-22 four (4) minutes late (3
rd
tardy 27 days after 1
st
tardy)
This is subject to a verbal corrective consultation and will be valid for six (6) months from the day
of issuance.
Union Final Voting Document
February 8, 2025
104
ERROR PERFORMANCE STANDARDS
The below information is provided for informational purposes only and is not intended to be subject
to collective bargaining.
POLICY AND OBJECTIVE
Prior to termination (for reasons other than for sufficient and proper cause) a course of
progressive disciplinary action will be pursued for hourly employees for standard performance
errors. This policy is to ensure employees understand the requirements of their job and are given
an opportunity to correct their errors.
To define standard performance error progression and related disciplinary action, including:
•
Register/Terminal Transaction Errors
•
Administration Performance Errors
•
Warehouse Performance Errors
•
Forklift and Power Equipment Accidents/Incidents
DEFINITIONS
Transaction Error
- Includes, but not limited to, cash overages or shortages, charge card
processing errors, over-ring / no-ring errors, void or drop errors, mis-tendered checks, unsigned
or improperly written checks, invoice errors, adjustment errors, or other register-related
responsibilities.
Corrective Consultation
- All formal documented consultations for performance related
offenses, violations of policies, procedures, or rules using a Corrective Consultation form.
Informal Consultation
- A work violation discussion performed by a Manager at the outset of a
performance problem. It is intended to educate and caution employee prior to initiating
documented progressive discipline (verbal or written corrective consultation). This dialogue must
be noted in a Communications Log, or by using a Corrective Consultation form clearly marked as
an “Informal Consultation”.
Window Week
- Any five (5) consecutive work day period.
Union Final Voting Document
February 8, 2025
105
REGISTER/TERMINAL TRANSACTION ERRORS
Employees affected include, but are not limited to, those performing work using cash registers
and terminals.
I.
Overages/shortages, or cashiering errors that result in loss to the Company.
A
.
Major shortages resulting in a loss to the Company and audited to reveal procedural
violations, may result in removal from the register and/or discipline up to termination
on a first offense. An employee removed from the register for such a discrepancy
shall be reduced to Service Assistant and be assigned to the front end and shall not
be assigned to cashier responsibilities.
B.
The progression of errors and actions to be taken for each level of offense are as
follows:
TYPE OF ERROR
ACTION
1 error of $20 or more, or a
combined error total of $20 or
more (less than $100) in a
rolling window week
1 error of $100 or more,
or a combined error total
of $100 or more, in a
rolling window week
1st
Informal Corrective
Consultation
2nd
1st
Verbal Corrective Consultation
3rd
Written Corrective Consultation
4th
2nd
Written Corrective Consultation
& formal retraining
5th
3rd
Termination (or suspension*)
* A
30-day suspension from ringing
may be imposed at the Company’s discretion in lieu
of termination based on the nature of the transaction errors.
C.
Nothing in the above policy restricts the Company from terminating any employee
for dishonesty or gross negligence.
Union Final Voting Document
February 8, 2025
106
D.
Example 1
$125 short
1st offense > $100 Verbal Consultation
$25 over
2nd offense > $20 Written Consultation
$115 over
3rd offense > $100 Written Consultation + training
$75 short
4th offense > $20
Termination
II.
Other Transaction Errors include but are not limited to:
Charge card processing errors
Mis-tendered / unsigned checks
Over rings
Invoice errors
Void or drop errors
Door audits
Other register related responsibilities as procedures evolve.
Note: Any transactions errors, resulting in a loss to the Company, will also be subject to discipline
as described for cash overages/shortages (Section I of these procedures).
A.
Major shortages resulting in a loss to the Company and audited to reveal procedural
violations may result in removal from the register and/or discipline up to termination on a
first offense. An employee removed from the register for such a discrepancy shall be
reduced to Service Assistant and be assigned to the front end and shall not be assigned to
cashier responsibilities.
B.
The progression of errors and actions to be taken are as follows:
4 OR MORE ERRORS
IN ONE WINDOW WEEK
ACTION
1st
Informal Corrective Consultation
2nd
Verbal Corrective Consultation
3rd
Written Corrective Consultation
4th
Written Corrective Consultation & formal retraining
5th
Termination (or suspension*)
*A 30-day suspension from ringing
may be imposed at the Company’s discretion in lieu
of termination based on the nature of the transaction errors.
Note: When a consultation reaches the six-month window “drop off” point, the whole consultation,
and all of the errors involved in that consultation, shall be removed (as opposed to removing
the occurrence of a specific error and regrouping).
Union Final Voting Document
February 8, 2025
107
ADMINISTRATION PERFORMANCE ERRORS
Employees affected include but are not limited to: Admin Clerks (i.e., Inventory Auditors,
Vault Clerks, Payroll Clerks, EDP Operators), and Tire Center Employees (or any other employee
involved with invoices).
A.
Performance Errors include, but are not limited to:
Cash deposit errors
Encoding errors
Recording errors
Input errors
Adjustment errors
Note: Any transactions errors, resulting in a loss to the Company, will also be subject to discipline
as described for cash overages/shortages (Section I of these procedures).
B.
Major shortages resulting in a loss to the Company and audited to reveal procedural
violations, may result in removal from the position and/or discipline up to termination on a
first offense. An employee removed from the position for such a discrepancy shall be
reduced to Service Assistant and be assigned to the front end and shall not be assigned
to cashier responsibilities.
C.
The progression of errors and actions to be taken are as follows:
3 OR MORE ERRORS IN ONE
WINDOW WEEK
ACTION
1st
Informal Corrective Consultation
2nd
Verbal Corrective Consultation
3rd
Written Corrective Consultation
4th
Written Corrective Consultation & formal retraining
5th
Termination (or suspension*)
*A 30-day suspension from the position
may be imposed at the Company’s discretion
in lieu of termination based on the nature of the performance errors.
D.
Nothing in the above policy restricts the Company from terminating any employee for
dishonesty or gross negligence.
Union Final Voting Document
February 8, 2025
108
WAREHOUSE PERFORMANCE ERRORS
Employees affected include, but are not limited to: Stockers, Markers, MPU Clerks,
Delivery Pickers, Receivers, Forklift/Electric Pallet Jack Operators RTV Clerks, and other
employees involved in the pricing of product.
A.
Performance Errors include, but are not limited to:
Mismarks
Misships
Damage
Mislinks
Misreceivings
MPU errors
Missigned bills
Mispicks
B.
Major shortages resulting in a loss to the Company and audited to reveal procedural
violations, may result in removal from the position and/or discipline up to termination on a
first offense. An employee removed from the position for such a discrepancy shall be
reduced to Service Assistant and be assigned to the front end and shall not be assigned
to cashier responsibilities.
C.
The progression of errors and actions to be taken are as follows:
3 OR MORE ERRORS IN ONE WINDOW
WEEK
ACTION
1st
Informal Corrective Consultation
2nd
Verbal Corrective Consultation
3rd
Written Corrective Consultation
4th
Written Corrective Consultation & formal
retraining
5th
Termination (or suspension*)
*A suspension from the position
may be imposed at the Company’s discretion in lieu of
termination based on the nature of the performance errors.
D.
Nothing in the above policy restricts the Company from terminating any employee for
dishonesty or gross negligence
Union Final Voting Document
February 8, 2025
109
FORKLIFT AND ELECTRIC PALLET JACK - ACCIDENTS / INCIDENTS
Employees affected include but are not limited to drivers and operators of forklifts and electric
pallet jacks.
A.
Performance errors include accidents, incidents, or safety violations.
B.
In the event of an accident, incident, or safety violation involving another individual, the
employee will be suspended from driving immediately pending investigation.
1.
Service Clerk Drivers/operators who are removed from their position will be
reassigned to the Front End per all of the provisions of Article XXI (b)1. of the
Collective Bargaining Agreement, except the first sentence of that Article. Business
Delivery Service Clerk Drivers/operators will be dealt with on a case-by-case basis.
2.
Service Assistants who perform as temporary drivers/operators will be suspended
from driving immediately and remain in their home department working in their
regular capacity.
C.
Employees removed from the forklift or electric pallet jack through the progressive
discipline process shall be subject to a 30-day suspension and then returned to their former
position. Further violations will be subject to review with the Warehouse Manager and
Union official.
D.
Employees involved in a serious incident, including but not limited to driver neglect or overt
violation of driving policy will be removed from the lift indefinitely. Any future return to a
driving position shall be subject to review between the Warehouse Manager and Union
official.
E.
Nothing stated above shall restrict the Company from immediately terminating a forklift
driver/pallet jack operator whose violation of a safety procedure/policy causes an accident
or injury or exempting them from any further driving. Such decisions will be made on a
case-by-case basis pursuant to the specific facts of the case.
F.
Violation of spotter and truck dock lock safety procedures will result in removal from
position and possible termination on the first offence.
Union Final Voting Document
February 8, 2025
110
COMPANY RULES AND REGULATIONS
The below information is provided for informational purposes only and is not intended to be subject
to Collective Bargaining.
MINOR OFFENSES
The following are examples of offenses, which are normally cause for disciplinary action: Verbal
Warning, Written Warning. It is also possible; if the offense is serious, enough, that discharge
could occur.
VIOLATION OF ANY OF THE FOLLOWING MAY BE CONSIDERED CAUSE FOR
DISCIPLINARY ACTION OR DISCHARGE, DEPENDING ON THE SERIOUSNESS OF THE
VIOLATION:
1.
Repeated tardiness or absenteeism, even though reported.
2.
Soliciting or collecting contributions for any purpose during actual working hours without
permission of your supervisor or manager
3.
Unsatisfactory work performance: not meeting Company requirements on quality,
accuracy, quantity of general work performance.
4.
Presenting the Company with a personal check which cannot be cashed by the Company
due to insufficient funds, closing of account, etc.
5. Repeated garnishments, attachments, or other creditors actions
6.
Participation in a business enterprise in direct competition with the Company’s operations
7.
Loafing or other abuse of time during working hours
8.
Interfering with any employee’s performance of duties by talking or other distractions
9.
Any act or conduct which might endanger the safety of others.
10.
Failure to report an injury or accident immediately.
11.
Use of unauthorized parking areas, warehouse entrances and exits.
12.
Malicious gossip or derogatory attacks on fellow employees
13.
Making unnecessary noise or demonstration which might cause a disturbance.
Union Final Voting Document
February 8, 2025
111
14.
Smoking
, vaping, or use of chewing tobacco
in an unauthorized area, or at times not
permitted
.
(T/A - 12/17/2024)
15.
Distributing or posting written or printed matter of any description at any time in the working
areas of Company premises without written permission
.
16.
Violations of Company Policy or Procedure which have been given to the employee,
posted, or read to the employee.
17.
Defacing Bulletin Boards or notices posted thereon.
18.
Any action which is detrimental to the orderly conduct of the business
19.
Excessive failure to consistently or accurately swipe in or out at beginning and at end of
shift, at beginning and at end of meal period, including swiping in early from your meal
period
or failure to consistently or accurately swipe in or out of premium pay,
including Clerk time or Forklift / Electric Pallet Jack premium.
(Three (3) separate
failures to swipe consistently or accurately in a thirty (30) day period is considered
excessive.)
(T/A – 1/22/25)
20.
Failure to begin your meal period no later than the end of the 5
th
hour of work. Three (3)
separate failures in a 30-day period is considered excessive.
21.
No Call. Except in emergencies, failure to call out within two hours after the start of the
scheduled shift.
22.
No show. Failure to report for a scheduled shift within two hours of the start of the
scheduled shift.
23.
Failure to call out at least one hour prior to the start of the scheduled shift, or at the start
of the shift if this is the first (1st) shift of the day.
THIS LIST IS NOT INTENDED TO BE ALL INCLUSIVE
Union Final Voting Document
February 8, 2025
112
MAJOR OFFENSES
The following are examples of what may be termed Major Offenses. These are willful and/or
deliberate violations of safety rules or Company rules to such a degree that continued employment
is not desirable. Discharge will be the normal action taken. However, a written warning or a
disciplinary suspension could be used if there are mitigating circumstances, such as a long service
employee with an excellent previous record.
VIOLATION OF ANY OF THE FOLLOWING MAY BE CONSIDERED CAUSE FOR IMMEDIATE
DISCHARGE:
1.
Acts of dishonesty towards the Company, customers, fellow-employees, or organizations
servicing the Company (Add: including but not limited to grazing. Grazing includes, but is
not limited to shelf stock, RTV merchandise (including merchandise being destroyed for
credit) merchandise returned at membership, and any packages that become opened by
either members during the course of the day or damaged while merchandising (i.e., blade
cut, defective seams, etc.) Also included are Food Court and Fresh food products and any
ingredients used in their preparation
or discarded as waste,
or micro-market items.
(T/A – 2/1/25)
2.
Willfully falsifying any records, including employment applications or bond applications
3.
Marking the time sheet of another or falsifying a time card or time sheet, or failure to
conform to scheduled rest periods or lunch periods.
4.
Leaving the Company premises during working hours without permission of a supervisor
5.
Deliberately abusing, destroying, damaging, or defacing Company property, equipment,
merchandise, or the property of others on Company premises
6.
Creating or contributing to unsanitary or immoral conditions
7.
Removal from office or warehouse of any Company merchandise or Company property
unless paid for, or with the signed authorization from Management.
8.
Fighting, striking, or attempting to strike another person, or any act or threat of violence
occurring on Company premises or Company time.
9.
Bringing liquor, narcotics or dangerous drugs into the Company premises or consuming
liquor or using narcotics or dangerous drugs on Company premises or reporting for duty
under the influence of liquor, narcotics or dangerous drugs
Union Final Voting Document
February 8, 2025
113
10.
Carrying firearms or other dangerous weapons on Company premises
11.
Gambling, in any form, on Company premises
12.
Failure to return to work on expiration of vacation or leave, or after release by a doctor.
13.
Insubordination – willful refusal to follow instructions of a supervisor.
14.
Absence from work without authorized leave (unless due to a bona fide illness supported
by a doctor’s certificate) of five (5) or more consecutive shifts.
15.
Conviction for a violation of any criminal law
16.
Failure to strictly follow the required cashier check stand and receiving procedures or other
similar policies and procedures established by the Company.
17.
Going into restricted areas without authorization, or unauthorized presence on Company
property outside of regular warehouse hours
18.
Misusing or removing from the premises without written authorization, Company tools,
equipment, employee lists, Company records, or confidential information of any nature
19.
Willful, deliberate or repeated violations of safety, fire, or sanitary regulations
20.
Accepting gratuities (gifts, presents, money, trips, etc.) from vendors, suppliers, customers,
etc.
21.
Violation of Company Policy prohibiting harassment or discrimination towards co-workers,
vendors, members including, but not limited to sexual harassment and/or discrimination.
22.
Failure to produce and/or maintain required licenses and/or proper work authorization.
23.
Failure to fully cooperate in a Company investigation.
24.
Rude or insolent conduct toward customers
25.
Use of profane, abusive or threatening language toward fellow employees, Company
officials, or customers
26.
A proven violation of the Company’s Drug Free Workplace Policy (DFWP)
27.
Any purposeful action that results in members not having proper access to
merchandise, including but not limited to hiding merchandise.
(T/A – 2/1/25)
THIS LIST IS NOT INTENDED TO BE ALL INCLUSIVE