GREEN: The administration and the union representing city employees must resume negotiations after the membership rejected a fact-finder’s recommendation by a single vote and Mayor Dick Norton withdrew an acceptance resolution from City Council’s agenda Tuesday night.
After an executive session on the matter, Norton withdrew the fact-finder’s nonbinding recommendation that if approved by both sides would have given a 2 percent wage increase in each of the contract’s three years to the 48 members of American Federation of State, County and Municipal Employees Local 2741. An agreement would have been retroactive to April 16, when the previous contract expired, and continued through April 15, 2016.
The recommendation also called for modest increases in employees’ insurance premiums.
Human Resources Manager Jeanne Greco and Norton said the sides will go back to the bargaining table to negotiate the contract’s two sticking points: compensation and premiums for health care and life insurance.
Norton said the actions by both sides “now permits us to go back to the table and rehash some of the issues. I don’t know what the time lines are, but we’re not very far apart.” He said there could be action as early as council’s next meeting, scheduled for Sept. 10.
“I would say that I think it’s a very rational, fair and generous offer,” Norton said of the city’s position, “and I am shocked that they didn’t accept the fact-finder’s decision. I’m very surprised by that.”
Local 2741 President Mike Young on Wednesday said his only comment is that “we’re still negotiating.”
The city wanted Highway/Service Department employees plus city office and clerical staff to increase their insurance contributions from the current 5 percent to 10 percent the first year, 12.5 percent the following year and 15 percent in the third year.
Raises of 1.5 percent annually were included in the city’s offer.
AFSCME sought a new employee health-care compensation rate increase of 6 percent of the COBRA rate the first year and 10 percent each of the next two years. The union asked for 3 percent wage increases each of the three years.
Fact-finder Robert Stein said in his 16-page report that the union believes the city’s financial position is very strong, and “unlike other municipalities across the county, the city of Green steadily grew its reserves throughout the economic downturn” and can afford the union’s positions on the two sticking points.
The report noted that the city’s ending balance in fiscal 2012 of $22.6 million exceeds 100 percent of the city’s cash expenditures in fiscal 2012.
Regarding the insurance premiums, Stein recommended the union pay 6 percent this year, 8 percent next year and 10 percent in the contract’s third year.
The union also noted that nonbargaining-unit employees this year received merit raises that mirror the union’s proposed general wage increase.
The city, meanwhile, credited its sound financial position to fiscally responsible management. The administration said no city employees were subjected to loss of work days through furlough nor were there wage or benefits reductions.
George W. Davis can be reached via email at mediaman@sssnet.com.