LA city workers’ union, Bass take steps toward new labor agreement

Thousands of unionized city workers would receive wage increases as high as 22% through 2028 under a tentative labor agreement reached with the city, it was reported Friday.

The proposed labor agreement was negotiated last month between Mayor Karen Bass and the Coalition of L.A. City Unions, the Los Angeles Times reported. The proposal still needs union ratification and must be approved by the City Council.

The proposal would provide seven “cost-of-living” pay increases, according to a summary of the tentative agreement that was shared with union members, according to The Times.

The deal would include minimum wage adjustments for city workers represented by the Coalition of L.A. City Unions — increasing the minimum wage to $25 per hour in 2026.

Additionally, as part of discussions, workers may benefit from sick leave payout, a pilot program intended to provide 100% payout of unused sick leave pertaining to both annual payouts and upon retirement, The Times reported. Another pilot program for paid parental leave would increase the paid time off to 12 weeks for new parents.

Part-time employees may receive medical benefits as well, according to The Times. The summary noted that the two parties will concurrently meet and confer to work out any logistical barriers related to providing part-time employees who work more than 400 hours in a 12-month period, single-party Kaiser health benefits.

The parties will continue to meet and discuss potential alternative arrangements for housing-related issues, such as possibly providing mortgage/rent reduction benefits for employees who live in the city or are otherwise housing burdened or spend more than 30% of their income on housing, or adding social housing or permanent supportive housing units on city-owned property, or establishing a Housing Development Committee to address housing needs.

David Green, president of Service Employees International Union Local 721, one of the coalition’s six unions, told The Times that union members are “enthusiastically going to vote yes on this, because it is the best deal that city workers have ever gotten.”

City Administrative Officer Matt Szabo told the paper the total cost of the proposed labor agreement is uncertain because aspects of the contract are still being discussed between the two groups. But the agreement will most likely cost the city more than $100 million in the 2024-25 fiscal year, covering salary increases and healthcare benefits.

Councilman Bob Blumenfield, who chairs the council’s budget committee, told The Times he expects “city leaders will need to eliminate some vacant city positions to help cover the cost of the coalition deal.”

In August 2023, city leaders approved a four-year contract through 2027 with the union representing Los Angeles Police Department officers, detectives and lieutenants, with a series of bonuses and pay raises intended to address issues of retention and recruitment.

That contract is estimated to cost the city nearly $400 million, which is dependent on whether the city makes strides in hiring new officers, Szabo previously reported. But other city leaders had said they expected the contract’s new raises, bonuses and other incentives will consume a combined $1 billion over the life of the agreement.

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