Previous prebudget bargaining updates

Nov. 5, 2004: The unions' prebudget negotiations team met with the governor's representatives on November 4, 2004 in order to respond to Governor Martz's last economic offer.

The unions' team met in caucus in the morning and discussed the governor's offer of a 3 percent salary increase and their members' response to that offer.

Without exception, the unions' team members expressed that the governor's 3 percent does not go far enough to make up for the 18-month salary freeze and the miserable 25-cent raise in January.

The team members stressed that, especially with the current budget surplus, there is money to pay for more and the governor should make it a priority in her budget.

The unions' counterproposal
The team members crafted a counterproposal and issued it to the governor's representatives. The union counterproposal was for the following:

1. A 6% base pay raise for each year of the biennium with a minimum floor of grade 12 midpoint implemented on October 1, 2005, for all employees hired before September 30, 2005.

2. An increase in the employer health insurance premium of $46 in January 2006 and $51 in January 2007. (Both parties have tentatively agreed to this item.)

3. 2,000 hours of union leave time.

4. A $75,000 budget allocation to continue the labor-management training initiative. (Both parties have tentatively agreed to this item.)

The governor's representatives reported that the governor has put all the money on the table that she is willing to offer state employees. That proposal was for 3 percent across the board and did not address the unions' concern for the lower grades and the guaranteed minimum salary increase.

What happens next
The governor's representatives said they did not want to meet again unless either party is willing to move. Therefore, the November 9 negotiating session has been cancelled.

The unions will now start communicating with Governor-elect Brian Schweitzer and incoming legislators about the importance of an adequate salary increase for state employees.

It is now more important than ever to be active in state employee mobilization efforts. Read more about these efforts below.

Get active! Get mobilized!
Mobilization efforts need to intensify. Learn more.

Keep an eye on this web site, MEA-MFT Today, and the MEA-MFT State Employee Alert for up-to-date progress reports and bargaining schedule information.

Got questions? E-mail MEA-MFT Field Consultant Todd Lovshin at tlovshin@mea-mft.org with your questions about state employee prebudget negotiations. Thank yo for your support!

Prebudget bargaining begins

Oct. 27, 2004: Your prebudget bargaining team and the governor's representatives meet on Monday, October 25 and Tuesday, October 26, 2004. Over the two long days of bargaining, the unions' team was able to stay steadfast in its resolve to win adequate raises for state employees.

The unions' team started the bargaining session by holding firm to its original economic proposal, stating that the governor's proposed 2 percent didn't go far enough.

In addition, the unions' team clarified its health insurance premium proposal to include the recommendations made by the State Employee Group Benefits Advisory Council (SEGBAC) on October 21, 2004. The unions' proposal for an increase in employer premium increase was $46 per month in January 2006 (for a total of $506 per month) and an additional $51 per month in January 2007 (for a total of $557 per month).

This proposal would cost the state an additional $8,351,885 in general fund money ($20,672,982 in all funds) or the equivalent of a 1 percent salary increase.
The state countered the unions' proposal with a 2.5 percent salary increase and agreed to the health insurance proposal.

The unions' latest offer
Throughout the bargaining session, the unions' team made some strategic moves in order to get as much money in the governor's economic proposal as possible by the end of the day on Tuesday. The unions' final offer on the table was:

1. A base salary increase of 8 percent effective October 1 for all employees in the 2006 fiscal year and 7 percent effective October 1 for all employees in the 2007 fiscal year (with the minimum salary increase set at a grade 12 midpoint).

2. An increase in the employer health insurance premium of $46 in January 2006 and $51 in January 2007 (this item has been tentatively agreed to by both parties).

3. Withdrawing the unions' longevity proposal and keeping current statute.

4. 2,000 hours of union leave time.

5. Training initiative to be funded at least at $50,000 over the biennium.

The governor's counterproposal
At the end of the day on Tuesday, the governor's representatives submitted a counterproposal to the unions' last proposal as described above. The governor's last proposal on the table was:

1. A base salary increase of 3 percent each year of the biennium effective October 1 for all employees hired prior to September 30, 2005. All employees hired after September 30, 2005 will receive the raise on their hire date. This proposal costs $21,477,322 in general fund costs ($53,161,688 in all fund costs).

2. An increase in the employer health insurance premium of $46 in January 2006 and $51 in January 2007. (This item has been tentatively agreed to by both parties.)

3. $75,000 to fund the labor management training initiative over the next biennium.

The governor plans to release her proposal above at the same time she releases her budget later this week.

The unions' team did not counter the governor's proposal but will meet again with state negotiators on November 4, 2004.

How you can help
Your support is helping at the prebudget bargaining table. Please keep wearing your buttons to show our strength. After our November 4 meeting, we will provide talking points to every member. It is critical to remain united so the bargaining team has the freedom to make the best decisions possible on your behalf.

Put a "Work That Matters" poster up in your community to let Montanans know what important work you do. If you have not received a button or a poster, contact your MEA-MFT field consultant.

Governor offers initial proposal

October 20, 2004: MEA-MFT is working hard to win a decent pay increase for state employee members in the next biennium.

The "prebudget negotiations" process is now in full swing. This is the process in which state employee unions bargain with the state before the governor's budget is transmitted to the legislature. The goal is to reach an agreement before the legislature convenes and to bring a joint bill to the legislature for state employee salaries.

MEA-MFT's partner unions in this process include the Montana Public Employees Association and AFSCME.

After a few preliminary meetings, the unions' bargaining team presented its initial proposals to the governor's representatives. The unions' initial proposal included:

1. An 8 percent salary increase effective on July 1 each year of the biennium.

2. Increasing the employer's contribution to insurance to maintain the full single premium.

3. Changing longevity increments to every four years.

The bargaining team met with the state again on September 21 and decided to keep issues related to salaries for state employees on the table. The team indicated to the state that it would not pursue leave provisions and retirement incentive interests in this bargaining round.

The governor's representatives said they will respond to the unions in October once they have a better understanding of the budget forecast. Bargaining meetings have been scheduled for October and November in an attempt to reach agreement before the budget is due on November 15.