UPS 2013 Annual Report Download - page 22

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Employees
The strength of our company is our people, working together with a common purpose. We had approximately 395,000
employees (excluding temporary seasonal employees) as of December 31, 2013, of which 318,000 are in the U.S. and 77,000
are located internationally. Our global workforce includes approximately 71,000 management employees (37% of whom are
part-time) and 324,000 hourly employees (48% of whom are part-time).
As of December 31, 2013, we had approximately 253,000 employees employed under a national master agreement and
various supplemental agreements with local unions affiliated with the International Brotherhood of Teamsters ("Teamsters"). In
April 2013, we reached a tentative agreement with the Teamsters on two new national master agreements in the U.S. Domestic
Package and UPS Freight business units, both of which are retroactive to August 1, 2013 and will remain effective through July
31, 2018. Before expiration of the existing national master agreements, the Company and the Teamsters agreed to extensions
of both existing five-year national master agreements and all supplemental agreements. The extensions are open-ended and can
be terminated by either party on thirty days' notice.
UPS Teamster-represented employees in the U.S. Domestic Package business unit subsequently voted to approve the new
national master agreement in June 2013, while several local U.S. Domestic Package supplemental agreements require
additional negotiation and approval before ratification occurs. As of February 2014, there were a total of six supplemental
agreements that still have to be approved before ratification. We anticipate that the remaining agreements will be voted upon in
the coming months.
The UPS Freight business unit ratified its national master agreement in January 2014.
We have approximately 2,600 pilots who are employed under a collective bargaining agreement with the Independent
Pilots Association (“IPA”), which became amendable at the end of 2011. In February 2014, UPS and the IPA requested
mediation by the National Mediation Board for the ongoing contract negotiations.
Our airline mechanics are covered by a collective bargaining agreement with Teamsters Local 2727, which became
amendable on November 1, 2013. In addition, approximately 3,100 of our ground mechanics who are not employed under
agreements with the Teamsters are employed under collective bargaining agreements with the International Association of
Machinists and Aerospace Workers (“IAM”). Our agreement with the IAM runs through July 31, 2014.
The experience of our management team continues to be an organizational strength. Nearly 37% of our full-time
managers have more than 20 years of service with UPS.
We believe that our relations with our employees are good. We periodically survey all our employees to determine their
level of job satisfaction. Areas of concern receive management attention as we strive to keep UPS the employer-of-choice
among our employees. We consistently receive numerous awards and wide recognition as an employer-of-choice, resulting in
part from our emphasis on diversity and corporate citizenship.
Safety
Health and Safety is a core value at UPS and an enduring belief that the wellbeing of our people, business partners, and
the public is of utmost importance. We train our people to avoid injury to themselves and others in all aspects of their work. We
do not tolerate unsafe work practices.
We use an all-encompassing Comprehensive Health and Safety Process ("CHSP") to prevent occupational illnesses,
injuries, and auto crashes, as well as promote wellness through the development of workplace programs. The foundation of this
process is our co-chaired employee and management health and safety committees. Together they conduct facility and
equipment audits, perform work practice and behavior analysis, conduct training, and recommend work process and equipment
changes.