August 28, 2014

COLA for national rail contract 2011 wages

A cost-of-living adjustment will be made Jan. 1 to UTU-member wages governed by the national rail contract.

The amount of the COLA, based on a formula contained in the national rail contract, is three cents per hour.

The COLA reflects a low rate of consumer inflation. By contrast, Railroad Retirement and Social Security benefits will be frozen at the 2010 level in 2011 owing to the low-rate of consumer inflation as calculated by the U.S. Labor Department’s Bureau of Labor Statistics.

The national rail contract also provides that health care insurance cost sharing will increase slightly in 2011. Effective Jan. 1, the employee contribution will be $202.90 monthly for operating craft employees, and $202.71 for yardmasters. The difference is due to the straight-time equivalent-hours component in the national rail contract formula that determines health care insurance cost sharing.

To view the 2008 national rail agreement, click on the following link:

http://www.utu.org/worksite/PDFs/Agreements/utu_nccc_070108.pdf