All four Kent city unions as well as a group of non-represented employees voted to take pay cuts for the rest of the year to save the city about $1.3 million and avoid layoffs.
“We’ve got 100 percent participation by employees to help the city through this turbulent economic time,” said Kent Mayor Suzette Cooke after the Kent Firefighters Union Local 1747 voted Thursday to take a 3 percent cut in salary for the remaining nine months of 2009.
The city’s three other unions already had voted during the last few weeks to take pay cuts. Those unions are the Kent Police Officers Association, Teamsters Local 117 that represents public works, parks and facilities employees, and Local 2617 of the American Federation of State, County and Municipal Employees (AFSCME) that represents administrative staff, corrections workers and building inspectors.
The city’s nearly 230 non-union workers also agreed to take less pay.
“This is huge,” Cooke said. “The fire union joined AFSCME, police, Teamsters and our non-represented employees. They all have taken cuts in pay so employees do not have to be laid off.”
Kent has been one of the few cities in the state where employees have agreed to salary cuts.
“I’m impressed,” said John Hodgson, city chief administrative officer. “I don’t know of another city or agency doing this. It’s great news. And the employees are the ones who pulled it off.”
The cutbacks will save the city about $1.3 million, Hodgson said.
“The reason is to save jobs,” said Mark Jones, president of the Kent Firefighters Union, representing 165 employees. “The firefighters want to save union and city jobs of those not in a bargaining unit. We looked at the economy, and we wanted to give back and help where we can.”
Firefighters agreed to an average pay cut of about $200 per month for the final nine months of this year. That will save the city about $297,000.
City officials found out last month they needed to cut about $4 million in the general fund in 2009 based on the revenue shortfall from sales taxes and permit fees predicted for the rest of the year.
The city already has slashed $2.1 million from the general fund through hiring freezes, delays in filling positions, military leave, transfers to non-general fund positions and pending separations. City officials saved another $370,000 through operating budget cuts. About 20 open positions with the city will remain unfilled indefinitely.
The actions by the more than 800 employees helped the city reach the $4 million in budget cuts. The $1.3 million in reduced pay saves about two dozen jobs.
The city’s nearly 130 police officers agreed to let the city keep its monthly contribution to a deferred compensation package for officers for a savings of about $210,000.
Nearly 160 AFSCME members voted to take 48 hours of furlough before the end of the year. The missed pay for those days off will be spread out over paychecks for the rest of the year for a salary cut of about 3 percent. That will save the city about $194,000.
“City employees are caring and giving,” said Kathleen Etheredge, a city senior financial analyst and AFSCME president. “They’ve been through layoffs before and wanted to do everything in our ability to avoid future layoffs.”
The 120 to 130 members of the Teamsters union voted to give up 2.56 percent of their pay for the rest of the year in exchange for five days off to save the city about $300,000. At the start of 2009, the union already had agreed to a 2.8 percent cut in the scheduled 5.6 percent cost-of-living adjustments.
“We’re trying to do what we can,” said Greg Slaughter, business representative for Teamsters Local 117. “Basically, we’re giving up the COLA for the year.”
The non-represented employees are taking five furlough days to save nearly $300,000.
City staff might be a little thin because of the furlough days, but minimal impact is expected to city services.
“There might be less mowing (at parks) or less people in an office on certain days,” Hodgson said.
Despite all of the savings, if revenues drop even more than projected, city officials might have to lay off employees in 2010.
“This doesn’t guarantee there will not be layoffs if the economy continues to tank,” said Etheredge, the AFSCME president. “But as it stands now, it should see us through 2009 without any unforeseen changes.”
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