Complaint filed with Washington State Labor & Industries after Costco refuses to pay workers wages owed

Months after a ratified contract should have immediately raised wages for a group of Costco fleet drivers, Teamsters Local 174 filed multiple official complaints with the Washington Department of Labor & Industries to combat Costco’s ongoing refusal to pay workers the money they are owed. The contract, ratified by fleet drivers in April of 2025, guaranteed raises retroactive to September 2024, but Costco has refused to pay workers what they are owed and appears ready to continue to do so until forced by the State.

“Costco has a reputation for being a fair and decent employer, but our members’ experience has unfortunately been very different,” said Teamsters Local 174 Secretary-Treasurer Rick Hicks. “This company has thus far given zero reasonable explanation for their refusal to pay workers what they are owed, and unsurprisingly that will not work for us and it will not work for our members. We will keep up the fight until every last dime has been paid to everyone who is owed their contractually negotiated wage increases.”

The group of about 150 fleet drivers transport the products to be purchased by Costco’s members at warehouses from the Distribution Center in Sumner Washington, and are the first drivers in the nation to organize with the Teamsters. The group ratified their first Teamster contract in September with the understanding that negotiations would immediately begin on a second contract with the choice of becoming part of the National Costco Master Agreement between them and the International Brotherhood of Teamsters. Any wage increases negotiated nationally would then be retroactive back to September, which Costco management is currently refusing to do.

“We expect this situation to be resolved immediately before we need to escalate this complaint with the State of Washington any further,” Hicks continued. “Our motto is ‘a fair day’s work for a fair day’s pay,’ and until that happens, Costco will be hearing a lot from the Teamsters Union.”

Founded in 1909, Teamsters Local 174 represents 8,400 working men and women in the Seattle area. “Like” us on Facebook at www.facebook.com/TeamstersLocal174

Teamsters Local Union No. 174