Senate Pro Tem troubled by reported tactics
Source: editor@cslea.com
Date: 6/4/2010
In a letter delivered to Gov. Arnold Schwarzenegger June 3, Senate President Pro Tem Darrell Steinberg urged his administration to bargain in good faith with the 21 state labor organizations over the next 30 to 60 days in order to reach new collective bargaining agreements. The letter was in response to feedback Steinberg has received from the leaders of the various state labor organizations with whom he met last week to discuss likely scenarios to address the looming budget deficit.
In the letter, Steinberg also conveyed his dismay over reports that the Department of Personnel Administration (DPA) had been introducing last-minute proposals and subject matter not within the scope of bargaining, thereby derailing the efforts of labor groups to finalize a deal. One of the proposals targeted specifically by Steinberg was the commitment from labor to not oppose legislative changes to the actuarial assumptions utilized by CalPERS.
CSLEA has been engaged in sincere dialogue with the DPA in an effort to arrive at a conceptual agreement which satisfies both parties' interests. CSLEA and DPA again met June 2 and are scheduled to return to the table on June 17. Both DPA and CSLEA have passed formal proposals designed to achieve reasonable pension reform, provide there are incentives for CSLEA members to relinquish some existing benefits. Although the parties remain close to reaching agreement, as pointed out by Senator Steinberg, it remains uncertain whether Governor Schwarzenegger truly intends to bargain in good faith in an effort to reach an agreement.
The landscape for good faith bargaining is also complicated by the following:
- The governor has indicated an intention to impose the federal minimum wage on state employees effective the August pay period unless there is a budget in place
- Senate Bill 919, a proposal introduced by Sen. Dennis Hollingsworth, remains pending in the Legislature and calls for pension formula modifications to 2.7%@57 for Peace Officer/Firefighters and 2%@60 for all other state employees and increases in employee contribution rates
- In an appeal from a decision of the Orange County Superior Court, the Orange County Board of Supervisors is arguing that any retroactive change in pension benefits constitutes an illegal gift of public funds
- The governor has motive to achieve pension reform by way of legislation because he can avoid agreeing to other tradeoffs which would be necessary to get a tentative agreement ratified by labor
On the federal minimum wage front, CSLEA continues to be integrally involved in the appeal of the superior court ruling which authorized the governor to impose federal minimum wage when the state was without a budget. Last June, CSLEA intervened in the state court litigation and successfully removed the case to federal court, thereby biding time for the Legislature to enact a budget.
On June 21, 2010, CSLEA-retained counsel Carroll, Burdick & McDonough will participate in oral argument, (along with attorneys representing the State Controller and several other labor organizations), before the California Third District Court of Appeal. CSLEA Chief Counsel will also be in attendance in an effort to gage the court's receptiveness to the issues raised on appeal. It is hoped that a favorable decision will be rendered before the August pay period should the state remain out of budget.
CSLEA will continue its efforts to guard against unreasonable implementation of cuts to Unit 7 members' wages and benefits. It is hoped a tentative agreement will be reached which will allow the parties to address these issues where they should be addressed--at the bargaining table.
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