ArcBest Corp. of Fort Smith and the International Brotherhood of Teamsters released details Thursday of the five-year deal the two sides tentatively agreed to earlier this month.
The deal, if approved by each local union involved, would go into effect July 1 and run through June 2028. The contract covers approximately 8,500 union members who work for ABF Freight, ArcBest’s less-than-truckload subsidiary.
The highlights of the agreement include an immediate $3.50 hourly raise beginning at the start of the contract. A total of $6.50 in hourly raises will be implemented over the course of the five-year contract.
The agreement also prohibits the use of what the Teamsters called “invasive technology,” including inward driver-facing cameras, recorders and body sensors. The use of automated tractors is also prohibited without the presence of a driver-operator.
The company will be required to increase its contribution by $4.46 an hour to the union health and pension funds. Martin Luther King Jr. Day, held on the third Monday of January, is now a paid holiday for union members, who also will have their sick days increased from five to seven.
“With this new agreement, we have reset the standard and charted a new course for the entire freight industry,” Teamsters General President Sean M. O’Brien said. “The gains made at the table are a testament to our strength and commitment to revamp and rebuild the freight division.”