New Era Cap Co. and the local teamsters union have reached a deal at the company's 118-worker distribution center in Mobile, AL. This deal marks the first contract for the warehouse, where workers voted 57-53 on July 12 for union representation. Recent accusations of racial discrimination led to major media play for the situation with advocates for civil rights and worker rights becoming involved.

The agreement arrived at a deadline set by the union and the National Association for the Advancement of Colored People after which they promised to pressure Major League Baseball to take action against New Era.

The contract provides a comprehensive package that includes hourly wage increases and enhanced health insurance coverage for the workers, while allowing New Era to bring best practices to its Mobile DC to increase efficiency. Importantly, the contract also addresses the worker rights issues raised by the NAACP in a report released last month, including a strong diversity policy.

The collective bargaining agreement is being recommended by the Teamsters Local Union 991 New Era Bargaining Committee for ratification by 95 workers in New Era's Mobile distribution center.

“This agreement represents a culmination of a substantial effort on both sides. We feel confident that New Era Cap is committed to providing a diverse workplace where everyone is respected, supported and provided with opportunity. The proposed contract will provide a framework that will benefit New Era workers and the company's growth,” said Teamsters general president, Jim Hoffa.