First of four Phila gov’t worker labor contracts approved

The first of four city unions has reached a contract with the City of Philadelphia.
An arbitration panel has ruled on what the Fraternal Order of Police will receive over the next five years. The award includes three percent wage next year and in 2011, but the deal also includes restructuring of the pension and health plans that will save the city money.

The first of four city unions has reached a contract with the City of Philadelphia.

Listen:
[audio: 091218tmfop.mp3]

An arbitration panel has ruled on what the Fraternal Order of Police will receive over the next five years. The award includes three percent wage next year and in 2011, but the deal also includes restructuring of the pension and health plans that will save the city money.

Mayor Michael Nutter says the wage increases will cost the city over $100 million dollars.

Nutter: there is no question and we should be very clear that the economics of the award the financial package of the award absolutely presents a fiscal challenge in an already fiscally challenged environment.

The city also won the right to furlough police officers for up to 30 days per year.

Something the FOP calls an empty threat.

The award also gives veteran officers eligible for the early retirement program the ability to move out of the city, but they will have to remain in Pennsylvania, a decision that makes the policeman’s union happy.

Contracts must still be reached with Philadelphia’s blue and white collar unions and its firefighters. Police and firefighters are not allowed to strike but reach labor agreements through arbitration.