4/22/2004

NYC SETTLES WITH ITS LARGEST UNION
Source: New York Daily News
April 21, 2004

Mayor Bloomberg reached a tentative deal with 121,000 member District Council 37 - the city's largest municipal union - for a new contract that gives workers a retroactive 3% raise and a $1,000 bonus.

The contract covers a 36-month period from July 1, 2002, through June 30, 2005.

The main components of the deal include:

A one-time lump sump cash payment per employee effective upon ratification.

A 3% general wage increase effective as of July 1, 2003.

A 2% general wage increase effective starting July 1 of this year, which will be funded by productivity improvements and other operational savings.

An additional 1% will be paid over the final year of the contract subject to a future agreement between the city and the union on productivity savings, which could include a reduction in sick-leave and work-rule changes.

One concession the city won will not affect current employees but will have a dramatic effect on new hires: The salary for new employees will be cut 15% for their first two years.