An arbitration panel recently awarded a five-year contract to the city police union (FOP) that provides officers with a 7 percent raise. But the deal includes benefit changes that the city says will save major cash in the long haul.
The City is now facing a massive bill for police raises, but will win long-term savings through the addition of a lower-cost retirement plan for new hires and changes to the way health-care bills are paid. But the pain down the road in terms of cuts to benefits and health care were offset by the large raises and a concession on the part of the city regarding residency.
The contract provides wage increases in July 2010 and July 2011 that combined add up to seven percent.
According to the FOP this is a win win situation.
Members win: 7% raise
Union runs health insurance paid by the City
Abolishment of residency
City wins: Two tier pension (new hires pay more for less)
Approval to impose 30 furlough days a year
New Health plan cost City less
Holy Shit! Things must be horrible in Philadelphia for the union to believe this was a win win situation. The above quotes were from an article in American Police Beat
As for our own hell, I will not be surprised when the City pushes for a two tiered pension system. However, how much will be saved when the City continues to underfund existing fire and police pensions.
Those Philly raises are earmarked for July 2010 and July 2011, their contract expired in July 09 therefore no retro. I can certainly see the City making a case with the arbitrator for our raises to be "end loaded", in essence, no retro. So if your raise wasn't for 2007, 2008 or 2009 but maybe for 2010 and 2011 there would be no percentage owed you retroactively.
Well our brothers and sisters in Philly got something, the right to live where they want, hopefully they can afford to do just that.