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 State Bargaining Update

State reaches contract agreement with Unit 13

 

The State has reached a tentative agreement with Bargaining Unit 13, represented by the International Union of Operating Engineers. The agreement, which covers roughly 900 plant operations and building maintenance employees, runs from July 1, 2006, through June 30, 2008. The unit's last contract expired July 2, 2003.

 

Key provisions include a 3.5 percent cost-of-living adjustment effective July 1, 2006, and a second COLA on July 1, 2007, of 2-4 percent, based on the consumer price index. The State will also grant a one-time payment of $1,000 to all employees covered by the agreement. The last raise for these employees was July 1, 2003.

 

Other key provisions of the new agreement:

 

·          Pension benefits for new State employees will be based on their highest three-year average salary, rather than the highest single year that applies to current employees.

·          New employees who enroll dependents under their State health plan will be subject to a two-year vesting period before they qualify for the full employer health contribution for dependent coverage.1

·          The State's contribution to employee health premiums will be increased effective July 1, 2006, and again on Jan. 1, 2007, and Jan. 1, 2008, to a dollar amount that equals 80 percent of the average CalPERS-approved premium for that year.

·          Beginning Jan. 1, 2007, specified employees who are State certified in water and wastewater plant operations at the highest levels will receive a monthly 4% pay differential, while the current differential for specified chief plant operators will increase from 5% to 6%. These differentials help keep these critical positions filled and ensure the personnel have the required expertise.   

 

The tentative agreement now goes to the Legislature and union membership for ratification.

 

Click here for a summary.

 


 

1 For the first year, new employees will receive half the State's regular contribution for dependent health coverage; in the second year, 75 percent. Employees cover the remaining premium out-of-pocket.

 


DPA creates and administers compensation, benefits, training programs, and the classification plan, and advocates for the interests of the State employer.

 


 

 


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