The final count was 85% in favor of the package and 15% opposed.

Approximately 40% of the 1008 registered union members showed up to cast their vote on Friday. It was easily the biggest turnout for a contract ratification that the Local has ever had.

The changes that were made will begin to take effect on July 1st, 2010, which is the start of the fiscal year for the City of Phoenix.

The concessions as they were listed in the ballot proposal will be incorporated into the new Memorandum of Understanding for 2010-2012. We will have a copy of that MOU for download on the website as soon as it is written and verified by the Executive Board and our Local staff members.

Our task was not easy this year. We were asked to risk people’s jobs, absorb lost benefits and take cuts in our paychecks. And yet, as I personally watched people having to wedge their ballots into the box toward the end of the day, I noticed a funny thing. People were still managing to smile. Handshakes and hugs were passed out freely. Our brothers and sisters within the union stood firm together.

This election has provided many stories of triumph and successes across all of our departments. In the upcoming weeks while we prepare the final version of the new MOU, I hope to share the ones that I overheard with you all within these pages.

I also know that there are still lots of questions out there. Our stewards are equipped with many of the answers, and the time to start getting organized for the upcoming changes is now.

Also, feel free to general questions here, but please make them constructive. (Negative comments will be deleted; the time for negotiation is officially over.) You are most likely not alone with some of your concerns. It is the mission of the Local 2960 to do the best we can in helping you find the answers.

Note: There is a print link embedded within this post, please visit this post to print it.

Our negotiations team was not happy about agreeing to concessions, but unfortunately the City didn’t leave us a choice. If we didn’t come to an agreement with the City voluntarily then the City Council would determine what happens. In these rough economic times and with the City’s focus on saving money, they would take the concessions from whatever brought the quickest money – wage cuts, delayed merit increases or suspending longevity. The City Council can only give a one year contract so we would be back at the negotiations table next year. If the economy took a downturn or the City lost state shared revenues the City might ask for more in concessions. We tried to minimize the loss to our members with the concessions chosen. At least with a furlough day there is some benefit to the employee since they get a day off. No one is losing their merit raise or longevity pay. We also did not agree to raise the health insurance from the employee paying 20% to 25% as some other units have considered.

By settling the contract before the City Council approves the budget on March 2nd we were able to save jobs that would have been lost had we not made concessions. Those positions would be eliminated on April 5th.

By agreeing to concessions and not having them imposed on us, we are guaranteed that all wages and benefits cut or suspended will be restored on June 30, 2012. We also have language that if the economy improves a raise may be possible.

Never in my twenty-five years as President of this local has the City of Phoenix ever asked for concessions. These are challenging times. Arizona is not the only state having financial problems. Employees in other states have been faced with everything from 5% pay cuts, 35 hour work weeks and eliminating paid personal days and holidays in Ohio to 5.2% pay cuts, 8 furlough days and eliminating uniform allowances in Tulsa. Hawaii employees are paying a higher portion of their health insurance and working a four day work week. California employees are taking 104 to 156 hours of furlough time annually. Las Vegas employees took an 8% pay cut over the next two years. I am furnishing this information to you to show that we are not alone in this problem. I hope no one is selfish enough to say “Who cares what other cities are doing?”

Unfortunately, with the number of unit members we have lost over the past couple of years and faced losing this year we could not idly sit by and do nothing. Remember, the job we are saving may be yours or your co-worker’s which would affect you on a daily basis.

As always on behalf of the Executive Board, we thank you for your support.

From the President’s Desk is a featured column in the semi-annual newsletter from the Local 2960. You may download the rest of the newsletter in the PDF format from here. (Newsletter – Feb 2010 – SE.pdf)

Concessions

• 1% wage reduction
• 6 (six) 8 hour unpaid furlough days (48 hours total) each year
• Bi- annual vacation buyback freeze
• Compensatory time conversion suspended
• Linguistic Pay is reduced by 50%
• “12-hour rule” overtime benefit is suspended
• Employer deferred compensation contribution is suspended (.1%)

All concessions will be restored June 20th, 2012.

The acceptance of any concessions is a difficult undertaking. But, when faced with our brothers and sisters losing their jobs and City Council mandating cutting merit increases, longevity and wages, the board felt that having a say on how these concessions would be enacted was vital.

Contract Ratification

On February 26th, 2010 Unit III members will have an opportunity to ratify the concession package.  A 3.2% total concession package is what has been agreed upon in other units.  An estimated $6.7 million has been saved to restore city services and positions.  The package is explained below and will potentially save 70 jobs in a wide area of services.

This contract must be ratified by Union Members prior to it taking effect on July 1st, 2010.

2% Food tax

On Feb 3^rd 2010 the City of Phoenix Council passed a 2% sales tax on grocery items by a 6 to 3 vote.  The tax is expected to generate $12.5 million for the balance of the fiscal year ending June 30^th, 2010 and $50 million for the next fiscal year.  Unit III is expected to gain over 100 positions in libraries, recreation and senior centers, and civilian police positions.

Furlough Days

Among the hardest decisions that the negotiation team needed to make was the decision to concede  furlough days as opposed to a bigger reduction in wages. However, furlough days are being used to settle budget deficits in organizations around the country. The following is a list of municipalities and the number of furlough days they have scheduled or have already taken.

• Arizona State University- 15 days (2009)
• City of Tucson- 5 days Jan 1, 2010- June 1, 2010 (unsure  # after)
• City of Chicago – 15days- (2009), 24 days- (2010)
• City of Los Angeles- 26 days (2010)
• City of New Jersey- 12 days (2010)
• City of Seattle – 10 days (2010)
• State of California- 18 days (2009), 18 days (2010)
• State of Georgia- 12 days (2010)
• City of Phoenix Unit III- 6 days (2010)

Reasons for settlement

The main reason for the Executive Board to settle with these concessions was the ability to negotiate how the cuts would affect our members (furlough days instead of longevity and merit increases), safeguards that these concessions would automatically be rescinded at the end of the contract (a sunset clause), and the ability to save as many of our fellow brother and sisters’ jobs as possible while protecting longevity and merit increases.  No one is happy to lose money but in these difficult economic times it is a vital role of the union to minimize the impact to our members and to save positions.

Questions

For any questions or concerns, please click here to send an email, or call the Local 2960 Union Hall as (602) 254-3966

To continue the discussion, please leave a comment either here or in the Local 2960 Forum.

If you would like to become a union member, please register online.

As an alternative, please consider posting a comment or question in our new discussion board. Our team of stewards will respond with an answer as soon as possible.

It is likely that the sales tax will save several hundred jobs over the next few months as budget negotiations continue. In Tuesday’s meeting, Mayor Phil Gordon gave the council the option to reverse the decision after hearing from the public after the other 15 budget meetings are concluded at the end of this month.

The notion that the average City of Phoenix employee also makes $100,000 per year was challenged by members of the public and by city employees from various departments. Councilman Sal DiCccio was responsible for this benchmark being placed in the public domain. He repeatedly suggested to various news outlets that “his calculations show the average total cost per worker is more than $100,000.”

The Arizona Republic’s story on budget concerns calculated that the “records show the median annual salary for full-time city workers was $57,000.” Additionally, AFSCME Members as well as other union members who rallied in support of the grocery tax on Tuesday evening expressed exactly what services that they provided for the members of our town.

We make Phoenix happen, one service at a time, one customer at a time. For those that expressed your support of the grocery tax, thank you. We would also like to encourage you to leave a comment about your experience.

By unanimous vote, Natasha Nimmer was reelected to her position as Trustee.

The Trustee Board consists of Natasha Nimmer, Mark Long and Karen Poe. Together, they are responsible for conducting an audit of the financial records for the Local 2960 affiliate of the AFSCME union. Quoting from the union’s main web site,

“The Trustees are thereby charged with the responsibility to see that an audit of all the funds of the affiliate is performed, either by an independent auditor or the Trustees themselves. It is then their duty to report any findings to the membership and to the Executive Board.”

Of course, all three members of our Trustee Board contribute more than just  a yearly audit. Each is a respected union member in good standing for at least one year. They are stewards in their respective departments, handling the day to day negotiations that allow us to provide top notch levels of service to all of our Phoenix communities. They are outstanding outstanding leader, and their efforts are well appreciated.

Mailed separately earlier this week was a packet including your 2010 calendar  and holiday party invitation. I would like the stewards to post their copy of the letter on their union bulletin board at work for everyone to see.

We recently had a representative from AFSCME International hold a training session at our office.  The local is starting an organizing drive to sign up 200 new members by July 2010.  I want to thank the stewards who attended this training session on a Saturday.     Remember – the local gives each member who signs up a new member an organizing bonus.  Just ask your co-workers if they belong to the union – if they don’t, offer them a sign up card.  Only members have a say in our next contract and whether it is ratified or not.

Once again I thank you for your membership in AFSCME Local 2960 and wish everyone a very happy 2010.

1. Increase Wages
2. Increase Deferred Comp
3. Increase Leave Time
4. Increase Longevity
5. Holiday / Vacation Time

If you still have a survey that you have not turned in, please mail it in ASAP, or contact your union representative. As we prepare for negotiations, we will continue to accept your feedback through the end of November. However, the sooner the information is submitted, the sooner we will be able to act.

If you did not receive a survey by mail, it is likely that the Union Hall does not have your correct address on file. If this is the case, please call the Union Office directly to update this information. Additionally, please contact your union steward and he or she can provide you with a copy of the survey to fill out and turn back in.

Your opinion is important to us and has a direct impact on the way that we present ourselves to the City management when we start the negotiation process in January. If you have any questions please let us know?

Tomorrow is my first day as City Manager.  I am deeply honored and proud to help you serve one of the greatest cities in the country.  With Frank Fairbanks’ leadership over the last two decades, it is no wonder we were named All-America City and the best run city in the world during his tenure. Having begun my career with this organization, I have had the opportunity to learn, grow and be mentored by the best.  I thank Frank Fairbanks for that. I also would like to recognize Alton Washington for his many years of serving the public.  Alton truly is a champion of the residents of Phoenix, always focused on providing the best possible service to all of our customers.  I also would like to thank Mayor Phil Gordon and the City Council for their support.  They had a tough decision to make, and I appreciate their vote of confidence in our management team.

We have unprecedented challenges ahead of us as we continue to serve the community.  As you know, the economic downturn still looms as the city’s sales tax revenue decreases. However, I am confident that we will work together to provide solutions to these challenges.

You can expect a few more changes as the city reorganizes its executive management team.  I am pleased to announce that Ed Zuercher will be named as the Assistant City Manager effective immediately.  Attached is the new organization chart outlining some changes in the management team and the reporting structure.  This organization chart is temporary.  We plan to appoint an interim Deputy City Manager in the next few weeks to handle some of the workload. At that point, we will make some additional reassignments of departments. In the meantime, most departments that reported to me or Ed will continue to do so. I appreciate your patience during the transition.

As our community continues to evolve, so does the need for innovative ideas and creative solutions to solve everyday issues. We are asking employees to do more with less and to continue to strive for excellence. I know all of you are up to the task.  In light of this need for continuous improvement, I am pleased to announce a citywide Innovation and Efficiency Task Force that will assist us in the future by identifying specific recommendations for improvements in areas including customer service, alternative delivery methods and revenue enhancements. I have asked Aviation Director Danny Murphy and Public Transit Director Debbie Cotton to co-chair this important initiative.

Once again, I want to thank each and every one of you for the work and service you provide every day.  I love this city and I commit to you that I will work hard along with our Mayor, City Council members, executive management team and you, our dedicated employees. I welcome and encourage your feedback, ideas and suggestions. Your dedication to serving the public sets this city apart, and I look forward to working with you as a team.

-David Cavazos

It is very sad for me to be sending my last message to you.  I have truly enjoyed working with you.  You have supported me during tough times and given me joy during our victories.  We have done great things together.

I have always believed that regardless of position, the work of each City employee is just as important as the work of any other.  Some of us work with our hands and some with our ears and voices.  Some of us work outside and others work in offices.  Some of us work directly with the public and some of us serve other City workers.  But all of us contribute equally to making our community a better place to live.

One of our weaknesses is that we don’t celebrate our successes enough.  We focus on getting the job done well today and figuring out ways to do the job better, easier, faster and with less cost.  Now we must do more with fewer workers and we focus on doing all we can.

But I want to take a minute to thank you for making Phoenix the best City in the country.  The city of Phoenix is outstanding.  We often are visited by cities across the country and around the world to find out how we do it.  Most of our departments are among the very best departments of their type in the country.  We are the leading innovators in local government.  We are the best!

I am so proud of, and humbled by, our success. This success is not because of me, it is because of you. Our success is because of our teamwork.

Our team begins with the community. Our residents are the reason we are here.  Today, more than ever, they are our partners in everything we do.

The Mayor and City Council are the leaders of our team.  Over the years I’ve worked with excellent mayors and city councils, and Mayor Phil Gordon and the current City Council are among the very best.   The Mayor is incredibly energetic and creative.  The City Council is dedicated to making this a better community.  They work a huge number of hours to achieve excellence.  All of them care deeply about City employees.  I thank them all for the tremendous support, patience and partnership they have shown me personally.

I know you will support David Cavazos as your new City Manager.  He will do such good work that in a year or so, they will say “Frank who?”

Yet I really believe that the future of the City is as much in your hands as his.  It is your commitment to serving the public, innovation, teamwork and integrity that will build the future.   It is your work that will create excellence.  I have faith in David and in each of you.

I also believe that one of the most important things we can do is to support and care for one another.  I regret that the tough times are not over.  But I am confident that a better future is coming.  Until then, it is especially important that we all support each other.

Before I go, I want to apologize if I have done anything that is insensitive or uncaring or if I have done anything to harm you in any way.  I want you to know that it was never my intention.

The last thing I want to say is Thank You .  It has been wonderful working with you.  It has been great to reach the heights working hand in hand.  More importantly, many days when I was down, you put a smile on my face and hope in my heart.

We have been a band of sisters and brothers dedicated to serving the community.   I am proud to have worked along side you.

Thank you!
–Frank