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September 6, 2000 9:29 AM, EDT

Airborne Express is seeking new contract terms for its Teamsters-represented pick-up and delivery drivers to pave the way for an expansion of ground-based package delivery services.

The proposed contract would create a two-tier wage scale in which new hires would be paid less than existing drivers and significantly less than wages paid to drivers at United Parcel Service and most major national less-than-truckload carriers, according to Teamsters sources.

A spokesman for the Seattle-based air freight company declined to discuss specifics of the contract proposal, but said plans for the new ground services are dependent on the outcome of talks with the Teamsters over new contract terms for its pick-up and delivery drivers.

About half of Airborne’s drivers are represented by the Teamsters, mostly in major cities such as San Francisco, Detroit and Cleveland. The rest are independent contractors.

For the full story, see the Sept. 4 print edition of Transport Topics. .