CR 01-021 Approve Increase in Non-Union Wages
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February 20, 2000
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Council Report 2001-21
APPROVE INCREASE IN NON-UNION WAGES
Proposed Action
Staff recommends that the Council approve the following motion: Move approval of a 3.75% increase
in the current non-union wage schedule.
This action will bring the wages of non-union employees in line with those of union employees.
Overview
The last union contract has been settled for 2001. The purpose of this wage adjustment is to bring the
non-union wage structure in line with the Hopkins Municipal Employee Association (HMEA) wage
structure. This can be accomplished by increasing the non-union wages by approximately 3.75%.
Historically the two wage structures have been similar. They were originally designed in response to the
need to bring City's salaries into compliance with the Pay Equity Law in the 1980s. Since that time the
top of the HMEA ranges and the top of the same non-union ranges have never varied by more than a
couple of cents. However, last year's settlements resulted in the HMEA ranges increasing by 4% whereas
the non-union ranges increased by 3.5%.
Failure to keep the ranges similar will have an effect on pay equity.
Primary Issues to Consider
What will this increase cost?
How does this compare with union settlements?
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'Steve Mielke
City Manager
Financial Impact: $ $50,800 Budgeted: YIN Yes Source: General Fund
Related Documents (CIP, ERP, etc.):
Notes: Amount in excess of budget will come from contingency
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Council Report 2001-21
Page 2
Analysis of the Issues
What will this increase cost?
The cost of this adjustment is approximately $10,200 above what was budgeted in 2001.
How does this agreement compare to union contract settlements in terms of wage increases?
With the proposed 2001 wage increase, the overall increase for non-union employees over the last
two years would be approximately 7.4%. Below is a comparison of union increases over the same
period of time.
Local 49 - Approximately 6.9% over the last two years.
HMEA - Approximately 7.4% over the last two years.
Police Officers and Sergeants - Approximately 8.2% over the last two years.
PSO/Dispatcher - Approximately 13% over the last two years.
(The larger increases in the police department unions were due to settlements that helped move the
City's unions more in line with the market.)
Alternatives
1. Approve the wage adjustment.
2. Do not approve the wage adjustment.
Staff recommends Alternative #1.