TO: Mayor and City Council
THROUGH: Keith Stahley, City Manager
FROM: Krishna Namburi, Deputy City Manager/Enterprise Services Director
Michele Bennett, Human Resources Assistant Director
SUBJECT:
title
Collective bargaining agreement between the City of Salem and the Salem Police Employees’ Union - Sergeants.
Ward(s): All Wards
Councilor(s): All Councilors
Neighborhood(s): All Neighborhoods
Result Area(s): Good Governance
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SUMMARY:
summary
During the 2024 Oregon Legislation session, a law was passed allowing police sergeants to form a union for collective bargaining purposes. On April 19, 2024, the police sergeants of the Salem Police Department filed a petition for certification without an election to be represented. On May 14, 2024, the Employment Relations Board certified the petition to recognize the bargaining unit of the Salem Police Employees’ Union - Sergeants (SPEU-S). The City began negotiations with SPEU-S on June 25, 2024, for an initial collective bargaining agreement. A final tentative agreement for a three-year agreement was reached during negotiations on September 4, 2024. The employees represented by SPEU-S ratified the agreement on October 4, 2024.
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ISSUE:
Shall City Council approve a new three-year collective bargaining agreement between the City and Salem Police Employees’ Union - Sergeants (SPEU-S), for a period from July 1, 2024, through June 30, 2027?
RECOMMENDATION:
recommendation
Approve a new three-year collective bargaining agreement between the City and Salem Police Employees’ Union - Sergeants (SPEU-S), for a period from July 1, 2024, through June 30, 2027.
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FACTS AND FINDINGS:
The principal features of the new agreement are as follows:
1. Term of Agreement: Three years commencing on July 1, 2024, through June 30, 2027.
2. Wage Increase:
a. Year 1:
• Effective July 1, 2024, each step of the salary schedule for SPEU-S members will be increased by three percent (3.0%).
• Effective July 1, 2024, each SPEU-S classification will receive a market adjustment of four percent (4.0%).
b. Year 2:
• Effective July 1, 2025, each step of the salary schedule for SPEU-S members will be increased by four percent (4.0%).
c. Year 3:
• Effective July 1, 2026, each step of the salary schedule for SPEU-S members will be increased by an amount determined during mid-year bargaining for wages only.
3. Health Insurance: Effective for plan year January 2025, the employee contribution will change from five percent (5%) per pay period to $65 per pay period for cost of health insurance.
4. HRA VEBA: Beginning January 1, 2025, changing the employer’s contribution to an employee’s VEBA trust account from two percent (2%) monthly base pay to $85.00 per month.
5. PORAC: Employer-paid contribution to PORAC Early Retiree Health Trust account of $229.00/month.
6. Extra Duty/Special Team Pay Incentives: Sergeants assigned the extra duty of Field Training Officer (FTO) will receive eight percent (8%) extra duty pay, an increase from five percent (5%). One Sergeant position will be assigned as FTO Sergeant Lead and will receive five percent (5%) special pay only (this position will not be eligible to receive the FTO extra duty pay).
7. Uniform Allowance: For eligible sergeants required to wear non-issued clothing, allowance increases from $24 to $28 per pay period for length of assignment.
8. Collective Bargaining Agreement: The FY 2025 - 2027 agreement is posted under “Labor Contracts - SPEU-S” online at: Pay Plans and Labor Contracts | Salem, Oregon (cityofsalem.net)
The approximate financial impact of this recommended settlement for the duration of the agreement is as follows:
Year 1: $532,802
Year 2: $794,838
Year 3: $805,370
The approximate total financial impact is $2,133,010. It is anticipated the Police Department will absorb the additional first year cost in its FY 2025 budget.
Allison Pavelek
Sr. Human Resources Analyst
Attachments:
1. None.