Proposed labor agreement for some city employees includes wage increases; longevity pay

Commissioners will consider a two-year labor agreement with the Montana Public Employees’ Association, Inc., covering a number of city employees.

The agreement covers employees such as: accounting technicians, administrative secretaries, animal control officers, box office specialists, building inspectors, code enforcement, court clerk, emergency services dispatchers, housing specialist, library clerk, police evidence technician, utility dispatcher, among others.

The new contract, if approved, would be effective as of July 1, 2017 and run through June 30, 2019.

The financial impact for each year for the increased wages is $93,8000 for the first year when a 3.25 percent increase is effective as of July 1, 2017; and $104,500 for the second year when a 3.5 increase is effective July 1, 2018. Longevity pay addition is expected to have a financial impact of around $15,000 per year, according to the city and the health insurance costs are expected to rise $49,000 for the first year.

The wage increase for the first year is a 3 percent cost of living adjustment and 0.25 percent market adjustment. For the second year, it’s a 3 percent COLA and 0.5 percent market adjustment.

The full labor agreement is available here.

Longevity pay time will be computed starting July 1, 1987 and begins after the completion of 10 years of consecutive full-time employment under the Montana Public Employees’ Association. Longevity pay will be paid to the eligible employees in a lump sum annually in December for any pay earned as of the previous June 30. Other labor agreements for city employees include longevity pay, according to the staff report.

The longevity pay is:

  • After 10 years, through the end of the 15 year is $20 per month;
  • After 15 years, through the end of the 20th year is $40 per month;
  • After 20 years, through the end of the 25th year is $60 per month;
  • After 25 years, through the end of the 30th year is $80 per month;
  • After 30 years or more is $100 per month.