Wednesday, June 22, 2011
Union Concessions Approved
Union Concession Packages Complete
Agreements with municipal unions will save the town almost $1.5 million.
By Kathleen Ramunni | 1:18am
The last of the municipal union concessions for the next fiscal year have been negotiated and approved, saving the town almost $1.5 million for the fiscal year that starts July 1.
At a special meeting Monday and after two executive sessions, the council approved the packages with the unions representing workers in the Government Center, crossing guards, the library and the police and fire departments. It had earlier approved concessions from the Public Works, Recreation and Supervisor's unions.
The Town Hall, crossing guards and library unions agreed to take four unpaid furlough days, as well as postpone their 2 percent raises until Jan. 1, rather than getting them July 1 of this year.
New language in the workman's compensation sections of the agreements also reduces the percentage of pay the town is responsible for, Chief Administrative Officer Curt Leng said, which will save the town money. Rather than paying 100 percent of wages, it will now pay 80 percent, he said.
Workman's comp wages aren't taxable, Leng said, so those receiving it actually received more since the taxes aren't taken out, leaving little incentive for those on it to return to work.
The Fire Department employees won't get a raise this year, Leng said, but will get this year's and next year's raise -- 4.5 percent -- next year. As a guardian service, they can't take furlough days, he said, but have agreed to give up four paid holidays.
The Police Department employees will get their 2.5 percent raises but agreed to give up 13 paid holidays, Leng said, and will have higher medical copays.
Both the police and fire departments also can take part in a sick pay buyback, Leng said. Under their contracts, upon retirement they can cash in up to 97 banked sick days, resulting in large payouts at retirement. Under the buyback, they can exchange those days for pension credits -- 45 days for one year, 90 days for two years and 140 days for three years.
"That reduces the payout of sick time," Leng said, and when they retire those hired to replace them are hired at a lower rate.
The concessions extend the contracts by two years, Leng said, and in September, town officials will begin negotiations with the unions over changes to the medical insurance and pension provisions in the contracts that he said are unsustainable into the future.
"If we don't do some changes, we will be in the same situation next year," Leng said.
"I would like to say thank you to all of the unions for coming to the table and helping out in these tough economic times," council member Kath Schomaker said.
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