Acrimonious standoff between Hayward and city employees reaches a conclusion

Hayward city employees during a three-day
strike in August 2013.

Union members get 4.5% wage bump over 3 years

HAYWARD CITY COUNCIL | Following a protracted labor dispute between the City of Hayward and over 300 of its employees that included a unilateral five percent wage decrease last year, both sides are set to agree Tuesday night on a new contract that extends through July 2018.

“The tentative agreement is one of shared contribution and flexibility,” said a city staff report. The City Council will approve the new three-year deal at Tuesday night’s meeting.

The new contract will increase the city’s budgeted costs by $4 million over the $10 million it projected over the next three years. Hayward’s economic projections, however, have tended to be on the conservative side in recent years.

Under the deal, city workers will pay up to 12.5 percent toward employer’s CalPERS costs, but will not see increases in their monthly premiums for health care to Kaiser Permanente and other lower priced plans. There is also no financial increases for employees toward the city’s retirement benefit costs.

Employees will also earn wage increases of 4.5 percent over the life of the contract. Starting July 1, wages will rise by 1.5 percent every year of the next three years.

One-time cash payout to city workers of 2.5 percent are included in the deal. The city says that averages $1,730 for full-time employees; $865 for eligible part-time employees.

Hayward’s long and often acrimonious labor fight came at a time when the city was challenged by budget shortfalls that reached $20 million. But union members represented by the Service Employees International Union Local 1021 pushed back, saying its members helped the city by forgoing pay raises for more than five years, while already paying more toward their retirement.

Negotiations, however, reached an impasse in 2013 and in February 2014, the City Council imposed wage cuts to the dissatisfaction of the union and labor leaders publicly threatened strong challenges to their political futures.

On June 11, following an all-night bargaining session, the city and bargaining group reached the tentative agreement to be approved by the City Council this week.

Categories: agreement, budget, CalPERS, collective bargaining, contracts, Hayward, Hayward City Council, imposition, negotiations, SEIU Local 1021, unfunded liabilities, wages

9 replies

  1. Hayward”s Mayor and Council forget the value of all City Workers. Lead by Fran David, they did a money grab from their employees and used the Great Recession as an excuse to take more from their lowest paid workers. I wonder how much money they spent pocket checking workers? Earlier this year, revenues were up, and the City quickly put the money into an overtime fund for police and fire. Oops! There went most of the profits.


  2. That's still cheaper than the new 21st Century Library and Hayward City Workers contribute to the economy by shopping Hayward. If Hayward hadn't have lost Gillig, local businesses wouldn't suffer as much. Hayward can't attract businesses, let alone keep the ones they have.


  3. By MW:

    Hayward's mayor, City Council, and Fran David should all prove that they are great and real liberals, and not just phonies and windbags who pretend to be liberals, by giving themselves a five hundred percent raise, and while simultaneously and at the same time slashing the wages of all other Hayward city employees by ninety-five percent.


  4. Fran David's goal has been to make “classic” employees leave and get new employees who “cost less.” You get what you pay for and Fran gets another raise. So do her cronies. Council gets their pet projects realized at the taxpayers expense. City Workers get pay cuts and the public gets told a tale about pension costs ballooning because they quote Borenstein. These same council members have approved expensive contracts for police and fire. Transparency, Hayward style!


  5. Fran David should have been let go couple years ago. She has pushed Hayward back to the 19th century. What a loser!


  6. Greg Jones started to run Hayward into the ground and split before he was going to get fired. Fran took over to finish the job. Budgeting out 10 year into the future, predicting that the sky is falling, ending up with extra revenue and throwing lesser paid City Workers under the bus for their pension costs. City Workers pay more into their own pensions than almost $300,000.00 a year Fran does. Fran says “Don't look at my pension costs, look at what the peons will make.” She's got a sweet deal. Fire Fran and hire a 21st Century City Manager who cares about Hayward and not self-promotion. If Council cut her pay, they could put that money towards public services or fancy new buildings instead of raising taxes and service fees all the time.


  7. I don't even live in Hayward but realize that the unions must be broken. They are a pox on our society and seek to divide and conquer. Whores such as these rob the public blind, pick their pockets clean, and do it in the libelous name of 'working people!'

    They're working to bankrupt our society. Take what you're given, shut the the hell up, or quit. Life has choices. Avail yourself of them.


  8. @8:45, its time for your medication.


  9. Fire Fran David.


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