Suozzi Calls New PBA Arbitration Award a ‘Radical Break’ From Business-As-Usual Police-Union Awards

-- Officers to Receive Average 2.9% Pay Increase in

6-Year Award That Keeps Raises Below Inflation Rate

      -- Sets New Pattern for Other Long Island Labor Contracts with Potential Savings of Millions for Taxpayers

 

Mineola, N.Y. – Nassau County Executive Thomas R. Suozzi today announced that the County’s new arbitration award with the Police Benevolent Association will save taxpayers approximately $90 million during the next six years. The savings result from wage increases below the rate of inflation, limits on termination pay, the relaxation of minimum staffing requirements and the elimination of wasteful duplicate health insurance benefits.

Suozzi said the award is a radical break from “business as usual” labor agreements and presents an historical opportunity for Long Island by establishing a new bargaining pattern –potentially saving area taxpayers millions.

The award, handed down by an independent arbitrator after the county and union submitted proposals, grants patrol officers an average raise of 2.96% through 2012. The increase is below the average rate of inflation of 3.64%, and is also well below the wage increases of other local municipal police forces, which range between 4% and 5%. When  union ‘givebacks’ are factored in, the average cost of the award is 2.75% per year.

The award freezes officers’ first-year salary at $34,000 until 2012, and creates a new   second pay “step” that also freezes annual salary for two-year veterans at $45,000. For years three through eight of service, officers receive an annual 1% wage increase. At nine years and above, the annual raise is 4%. The contract also stipulates that wage increases are delayed until April 1 of each year – producing a significant savings to the county.

“While we did not achieve everything we sought, we accomplished more than anyone expected andI commend my labor relations team for making the case that we can no longer afford business as usual,” Suozzi said. “I commend the PBA leadership and the arbitrators for recognizing that sticking to past practices would financially harm the County and our already overburdened taxpayers. I would always like to see more benefit for the taxpayers but this award is better for taxpayers than just about any in region."

Suozzi congratulated the county’s top labor negotiator, Dan McCray, and PBA President , Gary DelaRaba, for their work during the arbitration process.

The award recognizes the escalating cost to the county of providing health insurance. It establishes a Health Insurance Cost Containment Committee of union and county officials that will work during the next six months to deliver a “more economical way to provide comparable health coverage…”

In a significant move forward for taxpayers, the award caps termination pay. Currently, officers receive termination pay for unused sick and vacation days that can cost the County hundreds of thousands of dollars per officer at retirement. For the first time, the award cuts all termination pay by 5% and it limits the maximum termination award – beginning in Jan. of 2009 – to no more than twice an officers’ salary in their final year of service. Additionally, the arbitrators decided that police managers can civilianize up to 30 positions during the next six years, which will free up officers to perform patrol duty while cutting down on expenses.

The award also relaxes so-called minimum staffing rules, allowing police department managers to more efficiently deploy patrol officers to respond to crime fighting needs without incurring overtime. In addition, the department will now be able to train officers or conduct emergency drills during officers’ regular tours, instead of being forced to incur overtime costs for these activities.

While the arbitrators did not grant the County’s request that patrol officers contribute to their health insurance, the award does eliminate wasteful spending on duplicate health insurance for officers who are married to other County employees. If an officer is married to, or is in a domestic partnership with, another County employee, both are no longer able to receive their own County-paid health insurance coverage. Under the new contract, they will now be entitled to one policy to cover them both, saving County taxpayers approximately $1 million a year on premium expenses.

While Nassau County becomes one of the lowest paid police departments on Long Island under the new award, County police officers still will enjoy generous wages and benefits. The award eliminates the so-called “quarter days” – totaling an additional 48 hours of work each year – that were added in the last contract. That means officers under the new contract will work an average of 1,856 hours a year, instead of the current 1,904 hours. The contract also gives officers increased longevity pay, the bonus based on years of service. And it requires the county to contribute to a new welfare fund in lieu of optical and dental benefits currently provided. At the end of the six year contract, officers starting salaries would be increased to $45,000 a year and officers with nine years experience would receive a base salary of $116,000 per year.

“I thank the arbitrators, the PBA and my team for conducting this arbitration process in a cordial and timely manner,” Suozzi said. “This is a fair award that will help keep the County on track financially, now and well into the future, and it sets a responsible pattern for other County unions.”