Roanoke Times Copyright (c) 1995, Landmark Communications, Inc. DATE: WEDNESDAY, February 9, 1994 TAG: 9402090081 SECTION: BUSINESS PAGE: C-7 EDITION: METRO SOURCE: Journal of Commerce DATELINE: LENGTH: Medium
An angry and baffled UPS spent most of Tuesday attempting to repair the harm to its system and tallying the financial losses resulting from Monday's unprecedented walkout. The company said it plans to sue the international union for monetary damages, although it hasn't determined the amount it will seek.
As part of a settlement reached late Monday, UPS withdrew its request for $5 million in damages arising from the union's defiance of Friday's federal court order blocking a strike but didn't surrender its right to sue for damages resulting from the strike, the company said.
UPS also was preoccupied Tuesday with soothing the frayed psyches of its shippers, many of whom have, over the past four years, endured the anxiety of two near-strikes as well as Monday's job action. While many remain loyal to UPS and have few kind words for the union, the impact of the unceasing tug-of-war has taken its toll.
For the Teamsters, it was time to claim victory for their 165,000 UPS members. The union struck over UPS' refusal to delay a plan raising its package weight limit, to 150 pounds from 70 pounds, until it could be negotiated. Under Monday's settlement, no union worker will be required to handle shipments weighing more than 70 pounds without aid from another union employee.
"The courage of Teamsters members won this agreement," said Ron Carey, Teamsters president. "No corporation has the right to break workers' backs just to make another buck."
Industry observers, however, say the union may have won a hollow victory. The settlement essentially reaffirms the safe-handling policies UPS had initiated before Monday's launch date. In fact, union and industry sources said that as recently as last week Teamsters officials willingly worked with UPS to smooth out any wrinkles.
"What we agreed to Monday is what we agreed to do all along," said Ken Sternad, a company spokesman.
Carey, meanwhile, has been criticized by other Teamsters for calling an illegal strike and jeopardizing members' jobs over a service that UPS says represents one-tenth of 1 percent of its volume. The union said 90,000 drivers stayed away on Monday; UPS said it was closer to 37,000.
by CNB