Tagged: state employee unions

Governor Rick Snyder’s administration has reached a deal with unions representing 35,000 state employees on a two-year contract beginning next year. Last week, both sides declared their negotiations were deadlocked.

The agreement averts arbitration hearings that were to begin Monday. Details on compensation, benefits and work rules are not being made public pending union ratification votes. But the tentative agreement does include some employee concessions, while the Snyder administration has agreed to examine manager-to-staff ratios and the cost of outside service contracts for possible ways to save money.

The contract will take effect in October of 2012.

The state unilaterally resolved a deadlock to come up with $265 million in savings in the current fiscal year by imposing four unpaid furlough days, and not filling 367 vacancies. About 2,000 corrections employees will also lose their jobs as the state closes a prison in Detroit.

Governor Rick Snyder’s administration has ordered that 367 unfilled jobs with the state remain vacant. The order comes as a result of no bargaining agreement with state worker unions to cut costs.

The governor’s administration will order state workers to take four unpaid vacation days in the coming fiscal year.

Some say the furlough days won’t save the state as much money as expected.

If you shut down a DHS office that just means that thousands of people aren’t getting service that they need, and that just means that things are going to pile up the next day,” said Ray Holman of UAW Local 6000, which represents workers in the state Department of Human Services.

Speaking to union members and supporters at a Labor Day rally in Detroit, President Obama says his biggest concern is to “fully restore” the country’s middle class.

The President will outline a jobs agenda to Congress on Thursday. He drew a disbelieving groan from the crowd when he said he still believes “both parties can work together.”

But Mr. Obama also said he “won’t wait around for” Republicans in Congress.

“We’re going to see if Congressional Republicans will put country before party. We’ll give ‘em a plan, and then we’ll say: do you want to create jobs? Then put our construction workers back to work re-building America.”

It’s expected that the Snyder administration will announce today whether the state will issue layoff notices to some 50,000 state employees, the Detroit News reports. The administration wants $265 million worth of concessions from state employees but state employee unions say there are other ways for the state to save money.

Negotiations have been under way between the Snyder administration and state employees since July but a deal has not been reached. From the Detroit News:

Gov. Rick Snyder met Wednesday with his top budget officials, just ahead of today's deadline for sending out notices if the state opts to lay off employees Oct. 1.

Kurt Weiss, a spokesman for the Department of Technology, Management and Budget, said internal discussions were continuing…

State officials have been told to prepare contingency plans for layoffs in case concessions can't be negotiated.

Because a 30-day layoff notice is required, the state would have to send out notices today if it wanted to achieve a full year of savings by making any layoffs effective Oct. 1.

Talks have been under way, but no progress has been made, Weiss said.

"State employee unions say state government is top heavy with managers and has too many contracts – and the Snyder administration should look those first before looking to squeeze more from frontline workers or lay them off," Lansing reporter Rick Pluta explains.