DATE: June 23, 2020
TO: Mayor and City Council
FROM: Assistant City Manager/Interim Director of Human Resources
SUBJECT
Title
Adopt a Resolution Approving a Side Letter of Agreement between the City of Hayward and the International Federation of Professional and Technical Engineers, Local 21 for Implementation of an Unpaid Furlough in Fiscal Year 2021 and Authorizing the City Manager to Execute the Agreement
End
RECOMMENDATION
Recommendation
That Council adopts a resolution (Attachment II) approving a Side Letter of Agreement between the City of Hayward and the International Federation of Professional and Technical Engineers, Local 21 for implementation of an unpaid furlough in Fiscal Year 2021 and authorizing the City Manager to execute the agreement.
End
SUMMARY
The City of Hayward is experiencing an unexpected drop in revenues as a result of State and County Shelter in Place Orders due to the COVID-19 pandemic. As a result, the City has taken a number of cost-saving measures to limit the impact this crisis has on its employees and residents, such as reducing expenditures, laying off temporary staff, and seeking concessions from its employee groups.
The City and the International Federation of Professional and Technical Engineers, Local 21 (Local 21) have met and conferred in good faith and have reached a tentative agreement in which Local 21 members will be required to meet a thirty (30) hour unpaid furlough obligation in fiscal year 2021. If certain financial indicators are met, employees would be required to meet an additional furlough obligation of twenty-five (25) hours, for a total of fifty-five (55) furlough hours in FY 2021. The proposed agreement would result in a General Fund savings of approximately $224,589 and a total projected savings across all funds of $328,182 in FY 2021.
In recognition of Local 21 agreeing to an unpaid furlough in fiscal year 2021, in addition to the annual vacation cash-out available to Local 21 employees pursuant to the current Memorandum of Understanding, full-time employees will be permitted to cash out up to an additional ten (10) hours of vacation leave in FY 2021, and part-time employees will be permitted to cash out an additional five (5) hours of vacation leave in FY 2021.
ATTACHMENTS
Attachment I Staff Report
Attachment II Resolution
Attachment III Local 21 Side Letter Agreement