First Student to Ensure Teamsters in New Hampshire Act in Best Interests of Employees

CINCINNATI, Aug. 26, 2024 /PRNewswire/ -- As school begins to resume this week in New Hampshire, First Student remains committed to reaching a new contract agreement with Teamsters Local 633, the union that represents drivers at locations in Derry, Nashua, North Hampton, Plaistow, Rochester and Swanzey. The company wants to provide employees with enhanced benefits that are truly in their best interests and not in the best interests of the union.

Local Teamsters 633 claims First Student has repeatedly refused to offer a contract that includes a pension out of a "matter of principal." They have stated the pension would not increase the company's costs or expose it to additional liability.

In fact, First Student's advocacy for employee participation in the Teamsters Savings and Investment Plan 401(k), over the Teamsters' pension fund, is because it offers a more secure and beneficial path forward for employees and their families. First Student's preference for the Teamsters' 401(k) plan is not rooted in cost savings.

The Teamsters' 401(k) retirement plan provides employees with greater stability and flexibility to immediately manage, control and access their investments, as opposed to a critical and declining pension fund that also subjects employees to pension vesting requirements. First Student's continued participation and increased contributions to the Teamsters' 401(k) apply to all eligible employees and is based on a non-elective plan, which means employees are not required to contribute any money to their retirement plan in order to receive company contributions.

Local 633 leadership has received two contract proposals from First Student, one on April 10 and another on June 28. To date, Local 633 has not responded to those proposals. Both include participation in the fully funded Teamsters' 401(k), competitive wage increases and continued health insurance coverage.

First Student is eager to return to the bargaining table on September 10 and 11. The company looks forward to working with Local 633 leadership and its employee committee to reach an agreement that truly benefits employees. First Student wants to avoid the disruptive strike the union is threatening. It will only harm employees and their families, and school districts and students across New Hampshire.

About First Student
As a leading school transportation solutions provider in North America, First Student strives to provide the best start and finish to every school day. With a team of highly trained drivers and the industry's strongest safety record, First Student delivers reliable, quality services, including full-service transportation and management, special-needs transportation, route optimization, and scheduling, maintenance, and charter services with a fleet of about 44,500 buses. For more information, visit firststudentinc.com.

CONTACT
Frank McMahon
401-487-7740

SOURCE First Student