Sacramento Valley Union Labor Bulletin

Owned and Published by the Sacramento Central Labor Council and the Sacramento-Sierra’s Building & Construction Trades Council, official councils of the AFL-CIO

LABOR BULLETIN

Teamsters strike pharmaceutical giant for fair pay

By Sheri Williams

More than 100 Teamsters are striking at a local pharmaceutical giant after months of negotiations have failed to win a new contract.

Employees at Cencora (formerly known as AmerisourceBergen) began striking in mid-March and continued to walk the picket line as of publication.

The 124 warehouse workers are members of Teamsters Local 150 and went on strike after months of contentious negotiations for a contract that addresses years of concerns on the job. The warehouse workers are seeking a fair wage progression, lower health care costs, stronger seniority rights, and paid time off, the union said.

“While Cencora executives rake in millions, hardworking Teamsters are left fighting for scraps,” said Dale Wentz, Secretary-Treasurer of Local 150. “Workers deserve fair wages, affordable health care coverage, and adequate paid time off. It’s time for this company to prioritize the well-being of their employees over corporate profits.”

Politicians including Sacramento Mayor Darrell Steinberg have visited the picket line, along with leaders and allies from the Sacramento Central Labor Council.

“All we want is a fair deal that improves our workplace, addresses our health care concerns, and fixes our outdated wage progression,” said Chris Simpkins, a 33-year warehouse worker at AmerisourceBergen. “This used to be a good place to work, but corporate greed has taken over and the company has lost its way. We perform an important job that people depend on, and we deserve more.”

Cencora’s CEO Steven H. Collis took home $138 million over the past four years, including $43 million in the past year alone—570 times what the median employee earns, according to the union. On the same day Local 150 members went on strike, top executives received millions of dollars in special retention awards, including $2 million for the Chief Human Resources Officer and $3 million for CFO James F. Cleary Jr, Teamsters said in a statement.

AmerisourceBergen is the third largest pharmaceutical wholesale and distribution company globally and ranks 11th on the Fortune 500 list of the wealthiest companies in the U.S.

Local 150 has filed an unfair labor practice charge with the National Labor Relations Board for the company’s improper and retaliatory behavior. The labor dispute could extend to other Teamsters-represented distribution centers in Seattle, Columbus, Ohio, Amityville, N.Y., and Puerto Rico.

The strike comes after 10 months of contentious contract negotiations.

With a current starting rate of $16.50 an hour and a six-year wage progression topping out at $26 an hour, Teamsters seek an improved wage progression to better retain workers and prevent turnover.

Local 150 members are also striking over the high costs for health insurance. The average worker pays 25 percent of their monthly health insurance premiums, which can result in more than $6,000 per year, in addition to out-of-pocket expenses and copays.

“It’s shameful that a health care company can’t provide its workers with an adequate and affordable health plan,” said Dale Wentz, Secretary-Treasurer of Local 150. “Our members are fed up with the hypocrisy and greed, and they will fight to get the pay, benefits, and working conditions they deserve.”

On February 24, in a great display of solidarity, AmerisourceBergen members voted unanimously to authorize the strike. The Local 150 members and the negotiation committee are demanding management get back to the table and negotiate a fair offer.