Academic journal article Monthly Labor Review

Bloomingdale's Contract Extended

Academic journal article Monthly Labor Review

Bloomingdale's Contract Extended

Article excerpt

For the second time in 2 years, some 2,600 employees at Bloomingdale's flagship store in Manhattan and at two New York City area warehouses will be working under a 1-year extension of their current collective bargaining agreement. The bargaining unit--which includes sales personnel, stockers, display employees, and warehouse workers represented by Local 3 of the Retail, Wholesale and Department Store Union--previously worked under a 5-year settlement that was originally set to expire in March 1994, but subsequently was extended last year. The latest extension was agreed to because Bloomingdale's parent company, Federated Department Stores, continued restructuring after Bloomingdale's emerged from bankruptcy protection.

Terms of the pact increase wages by $8 to $35 per week, with the amount depending on an employee's length of service. The hourly rate for workers with 5 years of service is raised to a minimum of $10 on April 1, 1995, as the result of a $25,000 contribution from Bloomingdale's to an "upgrading fund," and the rate for new hires increases to $5.50 per hour. The contract eliminates Sunday premium pay for employees hired after the ratification date, but continues time and one-half pay for the fifth work day in a week and double time for work on the sixth day in a week for current employees. …

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