Blue Bird Workers Ratify First Union Contract in Georgia

In a significant milestone for labor relations in the Deep South, workers at Georgia-based school bus manufacturer Blue Bird Corp. have ratified their first union contract. This decision comes a year after they voted to unionize, marking a notable victory for organized labor in a region historically resistant to such movements.

On Thursday, May 23, 2024, the United Steelworkers (USW) union and Blue Bird Corp. announced the approval of a three-year contract by union members at Blue Bird’s assembly plants and warehouse in Fort Valley, Georgia. This contract will affect approximately 1,500 workers, granting them substantial wage increases, enhanced benefits, and improved working conditions.

The newly ratified contract guarantees at least a 12% raise for all covered workers, with the lowest-paid employees receiving wage increases exceeding 40%. Additionally, Blue Bird will contribute to a retirement plan for workers, implement a profit-sharing scheme, and bolster health and safety measures at its facilities.

This development has attracted attention from the highest levels of government. President Joe Biden’s administration, which has been monitoring the negotiations closely due to Blue Bird receiving $40 million in federal aid for electric school bus production, praised the successful outcome. Acting Labor Secretary Julie Su played a pivotal role in facilitating the agreement, emphasizing the administration’s commitment to fostering good-paying union jobs while achieving clean energy goals.

Blue Bird CEO Phil Horlock expressed optimism about the new contract, highlighting the collaborative nature of the negotiations and the anticipated positive impact on the company’s workforce. He stated that the improved pay, benefits, and career development opportunities would enhance Blue Bird’s appeal as an employer in the region, contributing to a high-performance, unified corporate culture.

Founded in Macon, Georgia, Blue Bird is one of the three major school bus manufacturers in the United States, alongside Thomas Built Buses and IC Bus. With approximately 2,000 employees, Blue Bird is the largest private employer in Peach County. The company’s decision to embrace unionization, despite initial resistance, represents a significant shift in labor dynamics in the area.

The unionization at Blue Bird is a noteworthy achievement for labor activists in the South. United Steelworkers District 9 Director Dan Flippo emphasized the importance of federal investments in giving workers a voice at the table. “Our union has a long history in the South fighting for better wages and working conditions in a variety of industries, but for too long, corporations and their political cronies have tried to characterize the South as a place where they could run away from unions, cut corners and pay workers less,” he said.

Nationally, union membership has been declining, with only 10% of workers unionized as of last year, according to the U.S. Bureau of Labor Statistics. In the private sector, union membership is even lower, at just 6%. In Georgia, the percentage is smaller still, with only 4.4% of workers belonging to unions. This context makes the success at Blue Bird particularly significant, highlighting a potential shift in labor relations in the state.