Local 39 Bargaining Update, Jan. 4, 2024

To our engineers,

Today, Kaiser Permanente’s bargaining team met with IUOE Local 39 representatives again to continue negotiating toward a mutually beneficial agreement.

During the session, the union countered our latest 6-year improved offer presented at the bargaining table on Dec. 22 with a 3-year agreement. We responded by improving our 6-year proposal further – increasing the maximum lump-sum payment to each of our engineers, based on their date of hire, to $16,000 from the previously proposed $15,000.

As a reminder, our 6-year proposal, with a backdated start date of Sept. 18, 2021, and end date of Sept. 18, 2027, also includes:
• Upon ratification of the agreement, you will receive a compounded wage increase of 12%, representing 4% increases for 2021, 2022, and 2023. An annual 5% wage increase will follow each year in 2024, 2025, and 2026.
• An annual increase of 4% in pension contributions for the term of the agreement
• Your retiree medical coverage will remain the same for this period as well.

Our bargaining team remains committed to reaching a deal with Local 39 as soon as possible. We are awaiting a response from Local 39 representatives on the date of the next bargaining session.

Thank you for everything you do every day to help Kaiser Permanente deliver on its mission of providing high-quality, affordable health care to our members, patients, and local communities.