March
1, 2003
Unions Predict Fight, Not Deal, From
City's Budgeting Tack
By STEVEN GREENHOUSE
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city's municipal labor unions warned yesterday that Mayor Michael
R. Bloomberg was heading for a collision with them if he continued
to insist that they agree to $600 million in concessions as a condition
for holding wage talks.
Union leaders also announced that they had agreed to set up three
committees with the Bloomberg administration to find ways to save
the city $600 million, not necessarily through concessions, but
perhaps through less painful means, like early retirement incentives.
Many union leaders said they remained adamantly opposed to the
mayor's proposed cuts in benefits, like increasing co-payments for
doctors' visits. The union leaders said the cuts would further squeeze
pocketbooks for workers already faced with higher property taxes
and transit fares.
Mayor Bloomberg has made little headway in persuading Albany to
provide more money to close the city's $3.4 billion budget deficit,
and his administration has made unions the current focus of its
efforts to cut the deficit.
Labor leaders said that the proposed $600 million in givebacks
would cost municipal employees an average of $2,400 each. "It's
absolutely a pay cut when you cut any of our benefits, health benefits,
pension benefits," said Patrick Lynch, president of the Patrolmen's
Benevolent Association, which represents rank-and-file police officers.
"We need to speak in one voice to defeat these draconian proposals."
The Bloomberg administration is threatening further cuts in agency
budgets and an unspecified number of workers to be laid off if the
unions do not agree to $600 million in givebacks by April 1. In
a budget report last November, the mayor threatened to lay off 12,000
workers if the unions did not accept $600 million in concessions.
The administration has also said it would not negotiate new contracts
with the city's unions until they agree to a $600 million concessions
package.
Carl Haynes, president of Teamsters Local 237, which represents
20,000 city workers, said, "It's not fair that the mayor wants
$600 million and then he wants another round of concessions because
he's saying any raises you get in the future you're going to have
to pay for with productivity increases. It's a double hit, and we're
not going to take a double hit."
Randi Weingarten, the teachers' union president and chairwoman
of the Municipal Labor Committee, which coordinates bargaining for
the city's unions, said she was trying to find some middle ground
between the Bloomberg administration and some of the harder-line
unions.
"You can very easily get into an impasse with the mayor saying,
`We're not going to begin negotiations until you agree to the $600
million,' and the unions saying, `We're not going to think about
the $600 million unless we engage in negotiations over everything
at the same time,' " she said. "If we both stick to these
positions, no one will get anywhere and most importantly, the public
will lose."
The Bloomberg administration said it was pleased that the unions
had agreed to establish three committees in which union leaders
and city officials would seek to agree on ways to trim the deficit.
One committee will focus on health, one on pension and retirement
issues, and one on ways to lobby more effectively in Albany and
Washington to obtain more revenues.
Jordan Barowitz, a City Hall spokesman said, "We are pleased
that our labor leaders understand the magnitude of the city's fiscal
crisis. And we look forward to working with them over the coming
months to achieve the necessary productivity gains in order to balance
the budget."
On Jan. 31, the Bloomberg administration gave the city's unions
21 proposals for concessions, including establishing unpaid holidays,
creating a furlough program for workers and instituting employee-paid
premiums for all health plans.
"The things proposed to reach $600 million would be painful
to our members," said Lillian Roberts, executive director of
District Council 37, the municipal union representing 125,000 workers.
"Our members are low paid, they average $29,000 a year, and
these cuts would be a real sacrifice for them."
Ms. Weingarten said labor unions hoped as much as possible to avoid
concessions that take money out of workers' pockets.
She said the city could save $100 million a year by furnishing
retirement incentives that persuade 2,500 experienced teachers,
averaging about $80,000 a year, to retire and then replacing them
with new teachers, averaging $40,000 a year. She said $200 million
a year could be saved if the incentives persuaded 5,000 of the city's
80,000 public school teachers to retire.
"It's very easy to paint the unions as the bad guys who are
resisting budget cuts," she said. "But people forget a
lot of the proposed concessions will hurt union members. There's
no sentiment to give back hard-won gains, but at the same time there
are some things that can be explored."

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