After many delays and the closure of nearly all the other drug stores on the former Northwest Employee Relations (NERI) multi-employer union contract, an agreement has been drafted between UFCW 3000, Ostrom's Drug, and Katterman's Pharmacy. The Letter of Understanding will allow (with a ratification vote of the members at both pharmacies) Katterman's Pharmacy employees to merge with the Ostrom's Drug union contract. This will replace the now-expired NERI contract and accept most of the terms of the Ostrom's Drug contract.
Most notably, the pension plan will change from the old legacy plan, the Sound Retirement Trust, to the current Sound Variable Annuity Pension. The new plan will allow newer members vesting credit if they have been with Katterman's less than five years so that they do not have to begin their vesting period again, and automatic vesting for those already past the five-year mark on the Sound Retirement Trust.
Most workers on the old pension voted in favor of this change in 2019 and moved over to the new plan in the following year. The variable annuity pension is structured in such a way to allow market trends to not have such dramatic impacts on pensions, as happened with many in the wake of the 2008 global financial crash.
Ratification Vote
Your Union Representative Aaron Bailey will be on site with the UFCW 3000 negotiator Daniel Cobb on July 23 to hold this ratification vote and answer any questions you may have. Aaron can be reached at 206-436-6631 if you have clarifying questions.