After nearly a year of intense negotiations, three UWUA locals (132, 483, and 522) and three locals of the International Chemical Workers Union Council (ICWUC), UFCW, ratified a new four-year collective bargaining agreement with Southern California Gas Company on March 31, 2025. The hard-won deal, set to expire on September 30, 2028, delivers significant wage increases, job security, and vital retirement and healthcare protections for thousands of members across Southern California.
Negotiations officially began in June 2024, ahead of the previous contract’s expiration that September. The road to ratification was anything but smooth: members rejected two earlier proposals, leading to contract extensions and a strike authorization vote in September 2024. It wasn’t until the third offer — backed by a strong majority — that the contract was approved.
Strong economic gains
The agreement guarantees annual wage increases of 5.5%, 5.25%, 4.75%, and 4.5% over the four-year term. Contractual premiums will rise alongside these wage hikes.
A major victory for members nearing retirement is the introduction of a Voluntary Retirement Enhancement Program, providing a $100,000 tax-free Healthcare Reimbursement Account for qualifying members who choose early retirement. Eligible workers — those aged 55 with at least 15 years of service or aged 65 with at least five — could opt in during a special window in April-May 2025, with retirement effective July 1, 2025.
Health and pension benefits, major points of contention during negotiations, remain unchanged despite management’s push to increase out-of-pocket healthcare costs. Union leaders emphasized that preserving these benefits was a top priority, particularly with many members approaching retirement.
Job security and premium pay
For Local 483’s 362 members who manage SoCal Gas’s transportation and storage operations, the contract delivers meaningful financial upgrades. Hourly premiums for those with Class A licenses will nearly double, from $0.27 to $0.50. Additionally, members holding a Hazmat endorsement will now earn an extra $0.75 per hour — compensation that previously did not exist.
“A third of our members hold both qualifications and will see an extra $1.25 for every hour worked,” said Ernie Shaw, Local 483’s president. Shaw also highlighted a new provision on job bidding eligibility: “This will open new career growth opportunities for logistical classifications.”
Workforce growth through in-house work
A major victory for all six locals was securing stronger language to protect in-house work. “We broadened the fenced-in classifications, meaning a wider range of jobs can no longer be outsourced,” said Bill Gilbertson, the newly-elected president of Local 132, which represents more than 3,000 SoCal Gas customer service workers. Additionally, the company agreed to shift the ratio of in-house to contracted work from 60/40 to 70/30 by the end of 2026 — a change expected to create more union jobs.
“This contract lays the foundation for a better relationship with the company, with increased engagement between us,” Gilbertson added.
Addressing member priorities
Local 522’s 400 members, who oversee gas engineering and system integrity functions, prioritized higher wages, job security, and remote work opportunities — all of which were achieved. “My members are pretty well set through the contract’s 2028 expiration,” said Raul Reyes, the local’s president.
Members will also benefit from practical improvements, such as an increased footwear allowance, which rises from $110 to $175 annually.
Looking ahead
The agreement was crafted by a joint steering committee of presidents and vice presidents from each of the UWUA and ICWUC locals, with strong support from President Slevin who was involved in the negotiations. Collaboration between the locals was key to balancing diverse interests across job classifications and regions.
With the new contract in place through 2028, Gilbertson, Shaw, and Reyes say their members are well-positioned for the years ahead — and optimistic about the tone set for future negotiations.