TITLE
Recommendation to adopt resolution approving the amendment to the Memorandum of Understanding with the International Association of Machinists and Aerospace Workers; adopt the Amendment to the October 1, 2007 through September 30, 2012 Memorandum of Understanding with the International Association of Machinists and Aerospace Workers and allow those matters that affect compensation to be implemented on the effective dates set forth in the October 1, 2007 through September 30, 2013 Amended Memorandum of Understanding with the International Association of Machinists and Aerospace Workers. (Citywide)
DISCUSSION
City management representatives and representatives of the International Association of Machinists and Aerospace Workers (lAM) have held discussions over the past few months regarding the fiscal impacts of the FY10 budget. These meetings have resulted in an agreement that provides an amendment to the October 1, 2007 through September 30, 2012 Memorandum of Understanding (MOU) with the lAM. The lAM has agreed to defer their FY10 adjustments in light of the fiscal issues facing the City in exchange for no furloughs in FY10. If it is determined that a furlough will be necessary in FY10, the City will reinstate the FY10 general salary and equity adjustment effective upon implementation of the furlough. The agreement has been ratified by the members of the Association and signed by the City Manager and other appropriate management representatives.
This matter was reviewed by Deputy City Attorney, Christina Checel, and Budget and Performance Management Bureau Manager, David Wodynski, on November 5, 2009.
TIMING CONSIDERATIONS
City Council action is requested on November 17, 2009, to ensure implementation of the amended MOU provisions as soon as possible.
FISCAL IMPACT
The existing MOU with the lAM provided for a Fiscal Year 2010 (FY 10) general salary adjustment of two percent and an equivalent two percent value for equity adjustments with an estimated cost of $3.4 million to the General Fund and $9.6 million to all funds. The lAM agreed to extend the term of their agreement through September 30, 2013 and to defer the FY 10 adjustments resulting in a savings of $3 million in the General Fund for FY 10 and $8.5 million in all funds. The cost for any scheduled step increases will be absorbed within existing approved appropriations.
SUGGESTED ACTION
Approve recommendation.
BODY
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF LONG BEACH APPROVING AMENDMENTS TO THE MEMORANDUM OF UNDERSTANDING WITH THE LONG BEACH CITY EMPLOYEES LOCAL LODGE 1930, DISTRICT LODGE 947, INTERNATIONAL ASSOCIATION OF MACHINISTS AND AEROSPACE WORKERS;
AUTHORIZING AND DIRECTING THE CITY MANAGER TO EXECUTE SUCH MEMORANDUM; AND DIRECTING CERTAIN IMPLEMENTING AND RELATED ACTIONS
Respectfully Submitted,
DEBORAH R. MILLS
ACTING DIRECTOR OF HUMAN RESOURCES
NAME |
APPROVED: |
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PATRICK H. WEST |
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CITY MANAGER |