Most Union City employees accept pay cut

Union City just sent out a press release announcing that virtually all non-sworn, civilian employees (not the cops) have agreed to a 4.5 percent reduction in pay, most of which will come thorugh unpaid furlough days.

The city has also agreed with its non-sworn unions to lower pension benefits for future workers. The new system will be “2 percent at 60,” which means if you work there for 35 years and retire at 60, you’d get a pension equal to (2 times 35 years equaling 70 percent of your final salary). Again, this will only apply to future workers. I guess you can’t roll back pension benefits under California law.

The press release doesn’t mention the Police Department. Union City police officers don’t contribute to their pensions.

Matt Artz

One Comment

  1. I guess you can’t roll back pension benefits under California law.

    A city can decide to not renew employee contracts, and offer them a job with a 403b retirement plan. Cities would save a bundle over continuing contracts with current city employees, especially those younger than 50.

    I think the term “reduction in pay” is being used loosely. Their pay rate remains the same, it’s the amount of work available that has changed.

    Regardless it is sad how the boomers shamelessly eat their young. The incoming generation of workers are taking it from every end, and I feel sorry that such a selfish and self entitled generation has had such a profound effect on the livelihoods of the two generations that proceeded them.

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