CONTRACT '07 Update #2
- REBUILDING GOER
The Governor's Office of Employee Relations (GOER) is the agency responsible for
negotiating collective bargaining agreements on behalf of the governor. As
reported in Update #1 Governor Spitzer has not named a Director of GOER and the
Associate Director responsible for negotiating a contract with PEF has tendered
his resignation and the position remains vacant. Making appointments to these
positions by the State is obviously critical to the process moving forward.
- PEF's TOP GOALS IN BARGAINING
As in the past, PEF negotiators will advance 250 proposals in the upcoming
negotiations. All of these proposals are not created equal. Fair across the
board raises is the one issue which ties us all together. It is the
quintessential "bread and butter" issue. Other top issues include defending
against concessions, assuring the continuation of affordable quality health
insurance, achieving mandatory overtime restrictions, improving the dental
program, expanding on the salary grade parity we achieved in the last round of
negotiations and fighting to achieve a COLA for high cost of living areas around
the state. What follows is a discussion of the COLA issue.
- CSEA and PEF PARTNER ON THE COST
OF LIVING IN NYS
PEF President Ken Brynien has met with CSEA President Danny Donohue to discuss
joint approaches to bargaining in several areas like across the boards, cola and
health insurance. These discussions have resulted in a joint CSEA/PEF request
that the New York State Fiscal Policy Institute (FPI) prepare a white paper on
the economic divides which currently exist in this state. FPI's report has been
completed and is posted on PEF's website. (Final Downstate And Mid-Hudson
Regional Cola Report
http://www.pef.org/pst2007/files/fpi_cola_final_report.pdf and
New York State Regional Wage/Salary/Cost Of Living Differentials Appendices
http://www.pef.org/pst2007/files/appendix_revised.pdf).
One of the biggest challenges in bargaining will be to effectively deal with the
cost of living differences experienced by our members depending on which part of
the State they reside. These differences significantly diminish the value of the
salaries in the high cost areas.
"In 2000, 60 percent of the homes sold on Long Island could be classified as "affordable" for families earning up to $100,000 a year, under the old rule of thumb that buyers should spend no more than 2.5 times their income on places to live. Last year, according to a new report, just 2 percent of the houses sold on Long Island were in that range for families with such earnings, which make up more than 60 percent of Long Island households."
The CSEA/PEF sponsored FPI report provides numerous indicators that confirm what we frequently hear from our members about the extraordinarily high cost of living in the downstate region. Looking only at housing affordability, the report makes clear how difficult it is for state employees living in these high cost areas.
- Median prices of a home in 2005
(FPI report page 8)
Downstate $468,371
Lower Hudson Valley - $320,219
Rest of the State - $118,899
- Average Fair market rents (2007) for a two
bedroom apartment (page 10)
Long Island - $1,356
NYC Metro (including Rockland and Putnam Counties) $1,189
Westchester county $1,395
Poughkeepsie/Newburgh/Middletown $1,060
Rest of State - $640
- Employees in the downstate region also pay significantly
higher property taxes than other
residents of the state. For example, the median tax rate for Nassau County is
over $7000 - nearly three times better than the State average (page 12).
In Governor Spitzer's first State of the State address he
recognized this problem.
"In New York, we face the twin challenges of
high home prices Downstate and deteriorating housing stock Upstate. On Long
Island, our young workforce has little choice but to move away from their old
communities. And in many of our Upstate cities and towns, once-vibrant
neighborhoods are declining as their housing stock decays.
We must address these challenges by
using every tool at our disposal: land - by calling for an inventory of our
significant public land holdings to determine which parcels can be used for
housing; capital - by exploring ways to partner with business on
employer-assisted housing programs; and zoning - by rewarding localities that
reform zoning laws to allow for increased construction of affordable homes."
http://www.ny.gov/governor/keydocs/NYS-SoS-2007.pdf
A partial answer to the problem already exists within current contracts between
the Governor's Office of Employee Relations (GOER) and other executive branch
unions. Employees covered by six uniformed services executive branch units
receive regional adjustments which are as much as 150% greater than the
adjustments ('location pay') received by the others including PEF and CSEA
members. In addition, several bargaining units within the Judicial branch have
recently received regional adjustments more in line with the differing costs of
living factors (page 39).
Since 1995 the federal government has provided its employees with locality pay.
An employee of the federal branch of government who works in downstate and mid -
Hudson counties currently receives 10.59% in locality pay over and above what a
similarly situated federal employee would earn in other parts of the country
(page 42).
The CSEA/PEF sponsored FPI analysis will be utilized in support of our
bargaining position. The facts will also be widely disseminated to our leaders,
members, policy makers and other concerned parties. The information will
continue to be posted on the PEF website.
STAY INFORMED
Regular updates on the bargaining process will be posted on the PEF website (www.PEF.org),
e mailed to those on the AIM distribution list and posted in the COMMUNICATOR.
If you do not currently receive PEF's AIM (Active Informed Member) e mail
updates sign up today at
http://www.unionvoice.org/pef/home.html
The PEF Info Hotline (1-800-553-2445) is updated every week and this too is utilized in keeping our members informed.