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The original item was published from 10/26/2015 4:15:28 PM to 11/12/2015 12:00:00 AM.

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Menlo Park City News

Posted on: October 26, 2015

[ARCHIVED] City, SEIU reach tentative agreement on new labor contract

After 10 bargaining sessions, the City has reached a tentative agreement on a new labor contract with the 148 non-sworn employees represented by Service Employees International Union (SEIU) Local 521. The new contract expires June 30, 2017, and includes the following key changes in compensation and benefits for employees represented by SEIU:

  • A 3 percent increase in base salaries effective the first full pay period following ratification.
  • A 3 percent increase in the City’s contribution to the IRS Section 125 cafeteria plan effective Jan. 1, 2016. In addition, employees will receive a $500 per year contribution to the cafeteria plan beginning Jan. 1, 2016 and ending Dec. 31, 2017. The cafeteria plan is used by most employees to procure medical insurance.
  • A conversion of existing child care and recreation benefits to an increase in the City’s contribution to the IRS Section 125 cafeteria plan effective Jan. 1, 2017. This change is cost neutral.
  • City-paid vision insurance coverage, pending approval by all other represented employees.
The new contract also establishes a three-month time limit to negotiate changes in salary ranges for individual employee job classifications following the release of the City’s classification and compensation study expected in first quarter 2016. The study is a comprehensive review of the duties performed by city employees and the market-rate compensation for those duties. If agreement cannot be reached on changes to individual classifications within the three-month time limit, all employees will receive a default salary increase of 2 percent in July 2016.

Pursuant to City Council policy regarding public input and outreach pertaining to labor negotiations, the staff report is being released 15 days in advance of the regular City Council meeting agenda packet. Full details of the proposed contract between the City and SEIU employees is now available on the City’s website. The City Council will consider the new contract as a regular business item at its meeting Nov. 10, 2015, at 7 p.m.

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