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Home My WebLink About12-17-07 Item 4B Union Agreement ~ ~HILLS Request for Council Action Prepared By: Dept.: Council Mtg. Date: Final Action Needed By: MW Administration _______ - - ___n__ _ _ __ ____ 12/17/2007 12/17/2007 Agenda Item: _________________~oval of Bargaining Unit A~~~!~~!_~h_!_~_~!l:~_N_~._1~ Budgeted Amount: Actual Amount: Funding Source: 4.B. YllTi_()_I,Is_Gitr__"F_l1ll_~S agl'eement (2008-2010). r~!~'ftoj,{~;f9m.pf~'D,~~;~:9:flfE:;:}!!(j;nHE:,mmijiill::H:KEE___________________________________________________________________________________________________________________ . Staff recommends approval of the proposed tentative agreement dated 11/29/2007 with IUOE Local 49 for a 3-year bargaining unit agreement (2008-2010). Memorandum from Michelle Wolfe dated 12/17/2007 No.: No.: Flecorrunendation: Flecommendation: Memorandum Understanding \\Metro-inet.us\ardenhills\Admin\Human ResouTces\Personnel Information\BARG UNInUnion\2007\11-29-07 Tentative Agreement Request for Council Action Form.doc ~ ~~HILLS MEMORANDUM DATE: TO: FROM: December 17, 2007 AGENDA ITEM: 4.B. Mayor and City Council Michelle Wolfe, City Administrator ~ SUBJECT: Approval of Bargaining Unit Agreement with Local No. 49 Attached is the tentative agreement that was approved by the O&M Bargaining Unit on Wednesday, December 12. This is tentative agreement package is unchanged from what was reviewed and discussed with City Council at the most recent closed session. This was a short and productive negotiations process. The contract includes new language in four areas, plus a few minor clean-up items and one new Memorandum of Understanding: . Group Insurance (Article XXII) . Call Back and Standby (Article X) . Wages (Appendix A) . Term of Agreement Three Years (Article XXX Duration) . Three minor housekeeping changes including: o Change title of Article XIX to "Personal Time Off Conversion" o Article XXVII, Section 27.1 include a cross-reference to Section 19.1 o IncOlporate Memorandum of Understanding dated 1-24-05 which clarifies when holiday pay (i.e. double time) is paid (actual versus observed holiday) In addition to agreement language changes, the City and Union tentatively agreed to: . Memorandum of Understanding regarding Commercial Drivers License ACTION REQUIRED: By motion approve the proposed tentative agreement dated 11-29-07 with mOE Local 49 for a three year bargaining unit agreement (2008-2010). Once approved, staff will prepare a final bargaining unit agreement for signature by both parties. Attachment MW \\metro-inetlardenhillslAdminIHuman ResourceslPersonnel Information\BARG UNITlUnion\2007\12-12-07 Approval of BU AgreemenLdoc Memorandum of Uuderstanding City of Ardeu Hills and IUOE Local 49 Commercial Driver's License The purpose of the Memorandum of Understanding is to assist both Labor and Management in applying the new rules for Commercial Drivers License (CDL) holders. The following conditions will apply to no more than one (1) Public Works employee in the Local 49 Bargaining Unit at any given time, allows only one revocation per person, and shall only apply to employees with a minimum of fifteen (15) years of service. I. If an employee temporarily loses his/her driver's license and CDL, the employee must obtain a valid work permit that allows them to drive non-commercial vehicles during work hours. An employee that has no valid license may be required to use paid leave until they are able to obtain a valid work permit. An employee who does not obtain a driver's license within ninety (90) days will be terminated. 2. In the opinion of the Department Head, there must be sufficient bargaining unit work that does not require a CDL and the impacted employee shall possess the skills and abilities to successfully undertake those tasks. 3. If there is sufficient work, the Employer will accommodate an employee who temporarily loses his/her CDL license for a period not to exceed one (I) year. The one (I) year period begins as of the date of his/her license revocation. If the employee does not have their CDL reinstated within one (I) year, the employee will be terminated. 4. If the temporary loss of a driver's license is the result of an alcohol-related offense, the employee will be required to comply with the recommendations of a Substantive Abuse Professional. Proof of compliance with the Substance Abuse Professional's recommendations must be provided to the Employer. 5. This agreement applies to driving violations outside the work place. This agreement does not include positive test results from the Department of Transportation's required random testing and does not supersede any existing policies. 6. A twenty-five percent (25%) decrease in pay will begin as of the revocation date. Any lost wages during the revocation of the employee's driver's license/CDL will not be reimbursed regardless of the outcome of any subsequent contesting of the revocation. This Memorandum of Understanding will remain on effect from January I, 2008 through December 31, 2010. As of January 1, 2010 the Memorandum may be eliminated at the request of either party. \ Imetro-inetlardenhills !Admin IHuman Resources IPersonnel Information \BARG UNIT! Union \2007\MOA Commerecial Drivers License.doc Union/City Proposals November 28, 2007 Pagel Labor Agreement Between the City of Arden BiJ1s and the International Union of Operating Engineers Local 49 City Proposal 11-29-07 1) ARTICLE X- CALL BACK AND STANDBY Change Section 10.1 to read: 10.1 The Employer will establish a seven (7) day rotating schedule of standby assignments. The employee on standby status will be available during that period for call backs and the Employer will call that employee first should any call backs be necessary. For each twenty-four (24) hour period on standby status, the employee will be paid an amount equal to two hours at one and one-half (1.5) hours ofthe base pay rate. City Response: The union's proposed change would be to increase standby pay from one hour to two hours for each 24-hour period on standby status at 1.5 hours of the base pay rate. As part of our package proposal the City would be willing to agree to one hour at time and one-half on weekdays and two hours at time and a half on weekends/holidays. lUGE Local 49 Response: The Union tentatively agrees to the City's response (November 6, 2007). TENTATIVE AGREEMENT 2) ARTICLE XXVIII - UNUSED SICK LEAVE PAY 27.1 Regular full-time employees who have completed ten (10) or more years of continuous service with the Employer and who leave in good standing will receive 50% of unused, accumulated sick leave upon their separation. Regular full-time employees who have completed twenty (20) or more years of continuous service with the Employer and who leave in good standing will receive 100% of unused, accumulated sick leave upon their separation. To qualify for this benefit an employee must have an established sick leave bank resulting from the conversion to the PTO program. Any benefit paid under this Article shall be paid into the employee's ICMA retirement account. City Response: We made a change in this language when we negoiated the current contract. Previously, employees who completed ten or more years of continuous service were eligible for 33-l/3% of the employee's unused accumulated bank up to a maximum benefit of 320 hours. We agreed for the current agreement on new language that provided for employees of 20 or more years to receive 50% of unused sick leave upon separation. The City would not agree to any further changes in this language. lUGE Local 49 Response: The Union has dropped this request (November 6, 2007). Union/City Proposals November 28, 2007 Page2 3) ARTICLE XXII - GROUP INSURANCE 22.1 Effective January I, 2008, the Employer will contribute the same contribution as approved for non-union employees to the Operating Engineers, Local 49, Health and Welfare Administrators for Group Health and Dental Insurance. In 2009 and 20 10 the Employer will provide the same increase in contribution as approved for non-union employees. City Response: As part of our package proposal, we would agree to this language. lUGE Local 49 Response: The Union tentatively agrees to the City's response (November 6, 2007). TENTATIVE AGREEMENT 4) APPENDIX A - WAGE AND CLASSIFICATIONS Increase all wage rates 5% for 2008. Increase all wage rates 4% for 2009. Increase all wage rates 4% for 2010. City Response: As part of our package proposal, the City proposes 2.5% per year. lUGE Local 49 Response: The Union has countered at 4% each year, 2008, 2009 and 2010 (November 6,2007). THE CITY PROPOSES 3% PER YEAR, WITH A ONE-TIME $0.48 PER HOUR MARKET ADJUSTMENT EFFECTIVE JANUARY 1, 2008. 5) NEW ARTICLE TO READ Commercial Driver's License The following conditions will apply to no more than two (2) Public Works employees in the Local 49 Bargaining Unit at any given time. A. If an employee temporarily loses his/her driver's license and CDL, the Employer will accommodate the employee by assigning him/her to duties that do not require a driver's license/CDL, not to exceed twelve (12) months during the employee's tenure with the City, and not to exceed two (2) revocations as a result of driving violations. B. If the temporary loss ofa driver's license is the result of an alcohol-related offense, the employee will be required to comply with the recommendations of a Substance Abuse Professional. Proof of compliance with the Substance Abuse Professional's recommendations will be provided to the EMPLOYER. C. The application ofthis agreement will begin for an individual as of the date of his/her license revocation regardless of subsequent procedures contesting revocation. Union/City Proposals November 28, 2007 Page3 D. This Memorandum of Understanding applies to driving violations outside the workplace. E. This Memorandum of Understanding does not include positive test results from the Department of Transportation's required random testing. City Response: As part of a package, the City would agree to language regarding temporary loss of a CDL. We are interested in language similar to that negotiated in Burnsville, but applying to employees with 15 years of service or more, and accompanied by a 25% reduction in pay. JUGE Local 49 Response: The Union has requested that the 15 years be lowered to 10 years or more (November 6,2007). THE CITY PROPOSES LANGUAGE IN A MEMORANDUM OF UNDERSTANDING; SEE ATTACHED DRAFT City Proposals: In addition to responding to the Union's proposals, the City has the following additional proposals: . Three-Year Term for the agreement. JUGE Local 49 Response: The Union will accept a three-year contract (November 6, 2007). TENTATIVE AGREEMENT . Discussion regarding uniform allowance. JUGE Local 49 Response: The Union has agreed to discuss the uniform issue with the City. A sub-group of Aaron, Joe, Greg and Noah will convene soon to discuss. If the "changes" are minor, they can be addressed as an amendment or MGU (November 6, 2007). TENTATIVE AGREEMENT . The City is proposing several "clean up" items. They would not result in substantive changes to the contract. o Change the Title of Article XIX to "Personal Time Off Conversion" o In Article 27.1, include a cross-reference to Section 19.1. o Incorporate Holiday MOU dated 1-24-05 regarding when double time gets paid. JUGE Local 49 Response: The Union has agreed to the City's requested changes (November 6, 2007). TENTATIVE AGREEMENT I \Metro-inet. us lardenhillslAdmin IHuman Resources IPersonnel Information IBARG UNIT! Union \2007\1 1- 29-07 Tentative Agreement. doc