Unionized employees at the four Sheraton hotels in Waikiki ratified a new, four-year contract that includes the workers' highest wage increases in more than 15 years.

Wednesday's ratification of the contract — which covers about 2,500 workers — follows months of negotiations, as well as union rallies and pickets. The union, UNITE HERE Local 5, said 99 percent of the workers who voted chose to ratify the contract but didn't disclose how many voted.

Unionized employees at the Hilton Hawaiian Village Beach Resort & Spa are expected to ratify a contract today that covers more than 1,500 workers.

The Sheraton contract includes a $2.40 an hour wage increase for non-tipped workers over four years. Wages for tipped employees would increase by $1.20 an hour over the same period. The average unionized hotel worker earns about $14 to $15 an hour, according to Local 5.

The wage increases are considerably higher than those awarded in the 2002 contract, which was negotiated when the visitor industry was working to recover from the Sept. 11 terrorist attacks. Hotels have since rebounded and are enjoying record room rates and revenue, and this year Local 5 was set on getting workers their fair share of the industry's success. The union said the wage increases in the new contract are the highest since at least 1990.

The contract covers workers at the Royal Hawaiian Hotel, the Sheraton Moana Surfrider, the Sheraton Princess Kaiulani Hotel and the Sheraton Waikiki Hotel.

The contract also includes increases in company contributions to employees' pension and medical and welfare funds, double-time sick leave for tipped workers, an easing of housekeeper workload requirements, and benefits for domestic partners, Local 5 said.

The Sheraton properties may still subcontract services — one of the key issues for Local 5 — but no current food and beverage employee will be laid off as a result of subcontracting, the union said.

The union also conceded to a limited number of kiosk vendors at the properties.

"We weren't able to get everything that we would have liked, but the overall package agreement is something we're very pleased with," said Local 5 spokesman Cade Watanabe. "Our goal was job security and we feel very confident that we met that goal."

Watanabe also said the agreement ensures employees will be "protected" during any redevelopment projects.

The contract also allows "card check recognition" for newly managed or owned Sheraton properties on O'ahu, which could be helpful in growing union membership.

Under the card check process, the employer agrees to recognize a union if a majority of employees sign pledge cards, bypassing the traditional federally supervised secret ballot vote. Unions rarely lose with the card check process.

Sheraton management was pleased with the ratification.

"Both sides are very happy with the terms of the agreement, and it gives us a foundation with a four-year contract to move forward during these very competitive times," said Starwood Hotels & Resorts spokesman David Uchiyama. "The strength of our organization is with our associate group, so this allows us to unify our organization and move forward."

The Sheraton and Hilton unionized employees have been without a contract since June 30 and voted in August to authorize the union to call a strike.

Local 5 still has to negotiate contracts for members at five other hotels, including the Hyatt Regency Waikiki Resort & Spa, the Waikiki Beach Marriott Resort & Spa, the Ilikai, the Kahala Hotel & Resort, and the Ala Moana Hotel.

Reach Lynda Arakawa at larakawa@honoluluadvertiser.com.