Last night the BOMA/Chicago Labor Committee reached agreement with SEIU Local 1 for a new Collective Bargaining Agreement covering security personnel, which will become effective April 26, 2010 and run through April 25, 2013. Ratification of the contract by the union's rank and file is expected on Thursday this week. The economic terms call for an increase in hourly wage rates of 15¢, 20¢ and 25¢ per hour in each year of the three years of the contract term. Health and Welfare Fund payments increase by 5¢ and 10¢ per hour; and Pension Fund, by 15¢ per hour in each of the first two years of the contract. Benefits mirror the benefits package provided in the Janitorial Collective Bargaining Agreement. Benefits for the third year in this Security contract will be negotiated with the Janitorial agreement prior to its expiration.

The Labor Committee estimates that for a typical member building, the new contract would impact operating expenses by about 2.5¢ per square foot. The total economic package provided in the new contract is estimated to represent an average annual increase of 2.1%. The wage increase averages 1.3% annually. Determination of periodic wage adjustments for employees in their first four years of service has been vastly simplified. The most substantive changes in non-economic provisions include improvements with regard to grievance and arbitration intended to streamline the process for buildings and contractors.

Our thanks go out to Bob Quast and Marcia Rubenstein, the Chair and Vice Chair of the Committee, and to all the Committee members for terrific work on this important member service.