All general employees agree to concessions

Mayor James Ellison called a special City Commission meeting Wednesday to approve three more tentative agreements containing concessions.

Members of Service Employee’s International Local 517M (SEIU); Foremen & Supervisors’ Association; and Department Head/Deputy Department Head Association ratified the tentative agreements on September 13 and 14.

Concessions that are universal to all groups include a 2.5 percent reduction in pay; a wage freeze in the second year; moving all members to one health care plan with higher deductibles and more out of pocket costs; mirroring health care at retirement with health care for active employees; decreasing their pension multiplier; and a 20 percent health care contribution for employees hired on or after July 1, 2011.

AFSCME, the Professional and Technical Employees Association and Executive Department Heads previously agreed to the same concessions.

Ellison commended the employees.  “We asked them for concessions again, and again they gave concessions. It demonstrates their dedication to the City of Royal Oak, to the residents, and to their jobs. I want to express my heartfelt thanks to each and every one,” he said.

City Manager Donald E. Johnson echoed the Mayor.   “I know these concessions were difficult for these employees to make, but they will result in major savings in our health care and pension costs,” he said. “This means all of our non-uniformed employees have stepped up.  We still need to work out agreements with the Police and Fire bargaining units.”

The SEIU bargaining unit is comprised of 46 members who work in the Department of Public Service (DPS). The four-member Foreman and Supervisors’ Association supervises the DPS employees, and the 12 Department Head/Deputy Department Head Association members manage and/or supervise the Police, Planning, Building, Treasurer and Finance Departments, as well as the Library.

The City has now obtained significant concession agreements from all the non-uniform groups.

There have been no concession agreements with police and fire unions to date.

Contact: Donald E. Johnson,
City Manager
Ph. (248)

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