UWUA Local 686, representing over 1,100 employees at Philadelphia Gas Works (PGW), recently negotiated a groundbreaking contract extension that will benefit its members through 2029.
The local, which maintains strong ties with Philadelphia’s city administration, proactively sought to extend their existing 2022 agreement well ahead of its 2026 expiration date. This strategic move capitalized on the current favorable bargaining climate and secured enhanced wages and benefits for workers at America’s largest publicly owned gas utility.
The new agreement builds upon an already robust contract, preserving crucial benefits including fully employer-paid healthcare coverage and guaranteed job security through a no-layoff clause. The extension primarily focuses on wage improvements, delivering an impressive 16% increase over the 2025-2029 period. Senior positions will see hourly rates rise by more than $7 during this timeframe.
“This extension surpasses our previous agreement, which provided 14% increases over four years,” noted Keith Holmes, Local 686’s long-serving president. “By negotiating early, we locked in exceptional wage growth while preserving our industry-leading benefits package and job security.”
The agreement includes minimum staffing requirements in operating departments and prevents any modifications to healthcare carriers or out-of-pocket costs. Members ratified with overwhelming support, recognizing its significant value in today’s economic landscape.