© Reuters. FILE PHOTO: People form a long queue as they wait for the Costco wholesalers to open in Manchester, Britain March 15, 2020. REUTERS/Phil Noble
(Reuters) – The Teamsters union, representing more than 18,000 workers, said it had ratified on Friday a national contract with Costco Wholesale Corp (NASDAQ:).
The first-ever national agreement provides members with significant wage improvements over the next three years and a substantial increase in pension contributions by Costco, the International Brotherhood of Teamsters said in a statement.
In June, the union had rejected the company’s initial contract offer by a vote of 93%, the union said.
“This is an earth-shaking win for Costco workers and the American labor movement. Corporations like Sysco (NYSE:), UPS, and Amazon (NASDAQ:) remain on notice,” Teamsters General President Sean O’Brien said.
The contract, which was ratified by a vote of 72% of the membership, also provides for higher semi-annual bonuses and a more flexible attendance policy, alongside other workplace benefits.
Costco did not immediately respond to a Reuters request for a comment.