UNIVERSITY PARK, Pa. — Leadership from Penn State and Teamsters Local 8 have reached a tentative agreement on a new four-year contract that, if ratified, will enhance employment and economic security for the University’s approximately 2,500 technical service employees working at Penn State locations across the commonwealth. This tentative agreement continues Penn State’s 50-plus-year history of good-faith bargaining and reaching mutually acceptable agreements with Teamsters Local 8.
“Our technical service employees are valued members of our community, and their contributions are greatly appreciated. This tentative agreement recognizes and rewards their important contributions to Penn State that allow us to continue advancing the University’s mission and providing the exceptional education for which our University is known,” said Penn State President Neeli Bendapudi.
The contract, which will be retroactive to July 1, 2024, and would run through June 30, 2028, will be voted upon by Local 8 union members in the coming weeks. The contract includes salary increases for union-represented employees that are similar to other recent agreements reached in the last year or so with state employees in the Service Employees International Union Local 668 and the American Federation of State, County and Municipal Employees (AFSCME) Local 13 union.
“These are the employees who keep Penn State operational,” said Jennifer Wilkes, vice president for Human Resources and chief Human Resources officer. “They maintain our facilities and grounds, provide food and services for our students, and clear the snow and ice during weather emergencies. During the COVID-19 pandemic, they were essential workers, serving on the frontlines while the rest of the University was working remotely — and a portion of those technical service workers who didn’t have work during the pandemic were temporarily furloughed, receiving only 50% of their normal salary.”
Since 1967, Local 8 members have served the University in various units such as the Office of Physical Plant; Auxiliary and Business Services; Intercollegiate Athletics. The average job tenure of a union member working at the University is 11 years; with the average years of service at retirement being 25 years.
“This agreement reflects our commitment to these employees and our appreciation for the work they perform at all of our campus locations,” said Sara Thorndike, senior vice president for Finance and Business/treasurer. “Much like the $60 million we invested in staff salaries in the Compensation Modernization Initiative, this agreement makes our technical service wages more competitive and better aligned with the market.”
The Compensation Modernization Initiative concluded in March and included a new job classification system and new market-informed salary grades for staff. In addition, for faculty, the University is investing more than $4 million a year in promotion and tenure salary increases, in addition to the annual 3% merit increases. Further, based on a proposal from the Faculty Senate, Penn State has begun funding a new program that will provide substantive professional development opportunities for non-tenure-line teaching and clinical faculty.