Local 1-2 reached a new four-year agreement on June 21 that brings substantial wage increases and an accelerated wage progression schedule for the local’s 8,000 members who provide electric, gas and steam services to 10 million residents in New York City and Westchester County. Local 1-2 represents the full spectrum of occupations at Con Edison, from field crews to engineers to customer service.
The settlement, reached on the eve of the prior contract’s expiration, narrowly averted a strike during a record-breaking summer heat wave. James Shillitto, Local 1-2’s president, said, “We were very close to walking out. Strike captains had prepared the troops, and we were ready to do whatever was needed to reach a contract that acknowledged our members’ vital contributions to the company.”
With the new agreement, members achieved both of their primary contract goals: higher wages and a shorter progression to top tier wages. The 17.83%, 4-year compounded wage increase is among the highest seen in the utility industry in recent years. It includes a first-year wage increase of 4.5%; second- and third-year increases of 4%; and a fourth-year increase of 4.25%. Regarding the wage progression, Shillitto reported, “We cut two years off by reducing it from 15 to 12 steps. By the end of this contract, members will be able to reach top pay in 5.5 to 6 years instead of the prior 7.5 years.”
Importantly, the union achieved enhanced contract language that protects members as the industry changes, requiring the company to negotiate the introduction of new technologies that could impact union work. “We know changes are coming but not exactly how and when. The language is broad enough to protect members for whatever comes,” Shillitto shared.
For the first time, there were no changes to the medical plan. The contract introduced a new three-tier plan option — single, employee plus one, and family — offering greater flexibility for members. Despite this added option, there are no increases in copays, deductibles or co-insurance for the majority of members. Additional healthcare enhancements include a higher match on the Health Savings Account (HSA) essential plan, an improved dental plan, and four hours of paid leave annually for wellness visits.
Beyond wages and healthcare, the contract also brings improved maternity leave, increased paid excused time for family bereavement, higher shoe and meal allowances, and the addition of Juneteenth as a holiday without losing any existing holidays, personal days, or vacation days.
The contract also maintains several key provisions that the company had proposed modifying or eliminating. These include no changes to sick pay, no increase in overtime thresholds, the retention of vacation carryover and payouts, and the preservation of the current pension eligibility and cash balance options. In addition, the union resisted management’s demands for higher medical plan costs, a split in general wage increases, and the transition of specific union titles into management roles. Shillitto proudly reported, “We had not a single giveback.”
The lead negotiating committee included President Shillitto, Vice President Bill Smith and three senior business agents: Frank Morales, Tom Martin and Darryl Taylor. Shillitto said the team was glad to have UWUA President Slevin, who is still a 1-2 member, join them at the table.
A larger committee of 15 bargained 25 new letter agreements tailored to various occupations and departments. Highlights include call center workers securing the ability to continue working remotely at least two days a week and streamlined pay structures and clarified job titles for both underground and overhead workers.
Members completed the ratification process on August 5, with 92% endorsing the new agreement — a record margin of approval.