Monday, February 28, 2011

Chances for Local Government Union Pay Reform Good in House; Questionable in GOP Senate

Chances for Local Government Union Pay Reform Good in House; Questionable in GOP Senate [Michigan Capitol Confidential]
"Among the features that upset its critics most, the law governing binding arbitration with local police and fire unions does not allow arbitrators to first consider the ability of a local government to afford the pay raises that are being demanded by unions.
Local officials say this creates a situation where union salaries can only go up, even if the local government can’t afford it.

“There is never a ‘win’ where concessions are made in arbitration,” said Samantha Harkins, legislative associate for the Michigan Municipal League, a lobbying organization for municipalities across the state.
“It’s never a cost-going-down situation.”

Public Act 312, the law that requires binding arbitration for police and firefighter unions when they cannot agree to a contract with their municipalities, has been considered a problem for years by municipal officials and many in the GOP.
Today, with Republicans in firm control of the entire Legislature and the governor’s office, there is a serious effort brewing in the Michigan House to eliminate PA 312 altogether.

But the major obstacle may come from within the Republican Party’s own ranks.
Last week, speaking to the MIRS newsletter (www.MIRSnews.com), GOP Senate Majority Leader Randy Richardville said a repeal of PA 312 was not on his agenda."

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