Last month I saw the Western Union fee jumped up by a lot at some point, but they sent me a coupon for 50% off the fee. Right now, the fee seems to be back to reasonable range again, and they emailed me a coupon for a free transfer. The rate is now ~1:404.
The lesson here seems to be that their fees fluctuates wildly and you should keep an eye out for coupons they might send you. Their rates look pretty good even after accounting for their transfer fees.