bozomedic
01-16-2005, 04:15 AM
Is your Union's Position on a 10% paycut final?
Your Union has said that a 10% pay cut or a DOWOP day is more or less a "done deal". Is it? The fire Union has a standing position of no wage concessions, only layoffs. (read that statement again) What are the pros and con's of layoffs as opposed to wage concessions? Let's first take a look at the City of Detroit’s proposed budget shortfall.
City of Detroit's proposed budget shortfall
The Mayor says the budget shortfall for 2005-2006 is around $250 Million, but the City Council projects this to be closer to $400 Million. That is a lot of money. The city has around 17,000 employees. Let's assume each employee makes $50,000. If you lay off 10% of the employees, that saves the city $85 Million. You now have 15,300 employees left. If you have them take a 10% pay cut, that saves the city $76.5 million. Add them together and you get a total of $161.5 million dollars, still well short of a balanced budget. Remember, this is just to balance the budget for 2005-2006. What about 2006-2007? Do you have more layoffs and more wage concessions?
Layoffs
You belong to seniority based system. That is just the way it is. You belong to a division that provides a critical service, especially in this post "9/11" time in which we live. Your division is already understaffed. If you have 250 people in your division, 10% layoffs, (which is the equivalent of a 10% pay cut across the board) will amount to 25 people. A sad proposition for those last two academy classes, but that is what seniority is all about. Since the division is already understaffed, before another academy class is considered, those laid off will have to be rehired to fill any staffing deficits.
Wage concessions
How hard is it for you to get a wage increase? How long does it take for you to settle a contract? Are you still waiting for one to be settled? Once you give up money, you will never get it back. When DOWOPS were in place before, for those of you who were around, sure, you made some money in overtime. Once the DOWOPS were cancelled, you were stuck with a 10% pay cut that took almost 10 years to recoup. Will you recoup it again?
Your personal financial situation
What if the City decides they will shut units down instead of calling in for OT. Can your current family budget handle a 10% pay cut? If you make around $60,000 a year, that is $6,000 per year gone, or about $500 per month. Can you find a way to cut $500 per month from your personal budget? Everyone can't work at Sinai-Grace. Are you a favorite of the Shift Captains to be called in for OT on a regular basis? If you take a pay cut, you have to work 1 day of OT per pay to make what you currently make now. Are you looking for OT now to pay your bills currently?
These are just things to think about. If you do not get involved in your Union, do it now! Don't let this one get passed by you to your detriment. Find out what can be done from a Union standpoint. Is your Union's position on 10% pay cut final? You owe it to yourself to find out.
Bozomedic
Your Union has said that a 10% pay cut or a DOWOP day is more or less a "done deal". Is it? The fire Union has a standing position of no wage concessions, only layoffs. (read that statement again) What are the pros and con's of layoffs as opposed to wage concessions? Let's first take a look at the City of Detroit’s proposed budget shortfall.
City of Detroit's proposed budget shortfall
The Mayor says the budget shortfall for 2005-2006 is around $250 Million, but the City Council projects this to be closer to $400 Million. That is a lot of money. The city has around 17,000 employees. Let's assume each employee makes $50,000. If you lay off 10% of the employees, that saves the city $85 Million. You now have 15,300 employees left. If you have them take a 10% pay cut, that saves the city $76.5 million. Add them together and you get a total of $161.5 million dollars, still well short of a balanced budget. Remember, this is just to balance the budget for 2005-2006. What about 2006-2007? Do you have more layoffs and more wage concessions?
Layoffs
You belong to seniority based system. That is just the way it is. You belong to a division that provides a critical service, especially in this post "9/11" time in which we live. Your division is already understaffed. If you have 250 people in your division, 10% layoffs, (which is the equivalent of a 10% pay cut across the board) will amount to 25 people. A sad proposition for those last two academy classes, but that is what seniority is all about. Since the division is already understaffed, before another academy class is considered, those laid off will have to be rehired to fill any staffing deficits.
Wage concessions
How hard is it for you to get a wage increase? How long does it take for you to settle a contract? Are you still waiting for one to be settled? Once you give up money, you will never get it back. When DOWOPS were in place before, for those of you who were around, sure, you made some money in overtime. Once the DOWOPS were cancelled, you were stuck with a 10% pay cut that took almost 10 years to recoup. Will you recoup it again?
Your personal financial situation
What if the City decides they will shut units down instead of calling in for OT. Can your current family budget handle a 10% pay cut? If you make around $60,000 a year, that is $6,000 per year gone, or about $500 per month. Can you find a way to cut $500 per month from your personal budget? Everyone can't work at Sinai-Grace. Are you a favorite of the Shift Captains to be called in for OT on a regular basis? If you take a pay cut, you have to work 1 day of OT per pay to make what you currently make now. Are you looking for OT now to pay your bills currently?
These are just things to think about. If you do not get involved in your Union, do it now! Don't let this one get passed by you to your detriment. Find out what can be done from a Union standpoint. Is your Union's position on 10% pay cut final? You owe it to yourself to find out.
Bozomedic