Bing administration proposes significant cuts for union employees
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Copyright 2011 Scripps Media, Inc. All rights reserved. This material may not be published, broadcast, rewritten, or redistributed.
Posted: 07/12/2012
DETROIT (WXYZ) - Significant cuts were proposed Thursday by the Bing administration for city of Detroit union employees.
The Financial Advisory Board, in place as part of the consent agreement, approved the changes.
Concessions include a 10% wage cut, reduction in vacation time, and a use it or lose it vacation policy.
Dental and vision coverage for retirees would be eliminated, and so would Cost of Living Adjustments for pensions.
Furlough days could also come back.
"We think it's fair," said board member Sandra Pierce. "We think it's a start."
City Council is expected to review the changes next week and then vote. But even if council votes the changes down, Program Manager Chris Andrews can still implement the cuts anyway.
"We've got a long way to go," said board member Darrell Burks.
Chief Operating Officer Chris Brown told the board without the urgent action, there could be a liquidity shortfall in Fiscal Year 2013.
Copyright 2012 Scripps Media, Inc. All rights reserved. This material may not be published, broadcast, rewritten, or redistributed.
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