Resolution substituting 3% with 0.801% base wage increase

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Don Zimmerman
Posts: 168
Joined: Fri Jan 09, 2015 11:05 am

Resolution substituting 3% with 0.801% base wage increase

Post by Don Zimmerman »

PROPOSED RESOLUTION:

RESOLUTION NO._________________ (DRAFT)

WHEREAS, the City of Austin seeks to operate within its financial means; and

WHEREAS, according to the U.S. Bureau of Labor Statistics (BLS) the May 2014 Metropolitan and Nonmetropolitan Area Occupational Employment and Wage Estimates for Austin-Round Rock-San Marcos, TX study (http://www.bls.gov/oes/current/oes_12420.htm) which was just released on March 25, 2015, showed the median hourly wage increased by 0.801% from the May 2013 study (http://www.bls.gov/oes/2013/may/oes_12420.htm); and

WHEREAS, the City of Austin has a wide range of non-sworn jobs that cross a broad spectrum of skills and abilities; and

WHEREAS, page 4 of the Financial Forecast and Economic Outlook Fiscal Years 2016-2020 shows that 32% of non-sworn jobs in the City of Austin are currently at least 5% above market and only 30% of non-sworn jobs in the City of Austin remain under market; and

WHEREAS, it does not make sense to raise all base wages in City government by more than 3.5 times the prevailing median wage increases in this region, especially when 70% of the current municipal jobs are at, or above, market rates already; and

WHEREAS, in Fiscal Years 2014-2015 the City of Austin increased all base wages for non-sworn municipal staff by 3.5%, even though the BLS study showed the median hourly wage for the Austin area had increased by only 2.103%; and

WHEREAS, the City of Austin seeks to maintain salaries of its workforce in a manner commensurate with the performance of the overall local job market; NOW, THEREFORE,

BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF AUSTIN:

The City Manager is directed to implement a “base wage increase” for municipal non-sworn employees at no higher than a 0.801% rate increase.
Don Zimmerman
Council Member District 6 (northwest Austin)
Michael Searle
Posts: 12
Joined: Thu May 28, 2015 3:48 pm

Re: Resolution substituting 3% with 0.801% base wage increas

Post by Michael Searle »

CM Troxclair would like to offer this as an amendment to your resolution.


RESOLUTION NO._________________ (DRAFT)

WHEREAS, the City of Austin seeks to operate within its financial means; and

WHEREAS, according to the U.S. Bureau of Labor Statistics (BLS) the May 2014 Metropolitan and Nonmetropolitan Area Occupational Employment and Wage Estimates for Austin-Round Rock-San Marcos, TX study (http://www.bls.gov/oes/current/oes_12420.htm) which was just released on March 25, 2015, showed the median hourly wage increased by 0.801% from the May 2013 study (http://www.bls.gov/oes/2013/may/oes_12420.htm); and

WHEREAS, the City of Austin has a wide range of non-sworn jobs that cross a broad spectrum of skills and abilities; and

WHEREAS, page 4 of the Financial Forecast and Economic Outlook Fiscal Years 2016-2020 shows that 32% of non-sworn jobs in the City of Austin are currently at least 5% above market and only 30% of non-sworn jobs in the City of Austin remain under market; and

WHEREAS, it does not make sense to raise all base wages in City government by more than 3.5 times the prevailing median wage increases in this region, especially when 70% of the current municipal jobs are at, or above, market rates already; and

WHEREAS, in Fiscal Years 2014-2015 the City of Austin increased all base wages for non-sworn municipal staff by 3.5%, even though the BLS study showed the median hourly wage for the Austin area had increased by only 2.103%; and

WHEREAS, the City of Austin seeks to maintain salaries of its workforce in a manner commensurate with the performance of the overall local job market; and

WHEREAS, the City of Austin seeks to mitigate the effects of a greatly increasing cost of living for the City’s lowest wage employees; NOW, THEREFORE,

BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF AUSTIN:

The City Manager is directed to implement a tiered base-wage increase for municipal non-sworn employees as follows:

1. Each City non-sworn employee who makes less than $15 per hour will receive a 2% base-wage increase this fiscal year;
2. Each City non-sworn employee who makes less than $25 per hour but not less than $15 per hour will receive a 1.5% base-wage increase this fiscal year;
3. Each City non-sworn employee who makes less than $50 per hour but not less than $25 per hour will receive a 1% base-wage increase this fiscal year;
4. Each City non-sworn employee who makes $50 an hour or more will not receive a base-wage increase in excess of 0.801%.

BE IT FURTHER RESOLVED:

The City Manager is directed to create yearly performance evaluations to be used when determining the percentage of wage increase for all Assistant City Managers, City Manager Chief of Staffs, and Department Directors.

A yearly report of those performance evaluations will be presented to the full City Council.
Don Zimmerman
Posts: 168
Joined: Fri Jan 09, 2015 11:05 am

Re: Resolution substituting 3% with 0.801% base wage increas

Post by Don Zimmerman »

CM Troxclair:

This is a sensible approach which I would accept as a friendly amendment. To get this considered in time for the FY2016 budget, I ask colleagues to co-sponsor this amended Resolution so we could consider it as a full council ASAP.

Don Zimmerman
Don Zimmerman
Council Member District 6 (northwest Austin)
Don Zimmerman
Posts: 168
Joined: Fri Jan 09, 2015 11:05 am

Re: Resolution substituting 3% with 0.801% base wage increas

Post by Don Zimmerman »

Dear Councilmembers,
It's my understanding we have CM Houston, Troxclair, Gallo, and myself, requesting this Resolution be added to the Aug 6th agenda:
(3rd Revision, 28-Jul-15))

RESOLUTION NO._________________ (DRAFT)

WHEREAS, according to the U.S. Bureau of Labor Statistics (BLS) the May 2014 Metropolitan and Nonmetropolitan Area Occupational Employment and Wage Estimates for Austin-Round Rock-San Marcos, TX study (http://www.bls.gov/oes/current/oes_12420.htm) which was just released on March 25, 2015, showed the median hourly wage increased by 0.801% from the May 2013 study (http://www.bls.gov/oes/2013/may/oes_12420.htm); and

WHEREAS, the City of Austin has a wide range of non-sworn full-time jobs that cross a broad spectrum of skills and abilities; and

WHEREAS, it is counter-intuitive to raise all base wages in City government by more than 3.5 times the prevailing median wage increases in this region, especially when 70% of the current municipal jobs are at, or above, market rates already; and

WHEREAS, a percentage pay increase for all City full-time employees is regressive because it gives the largest benefit to the highest paid workers; and

WHEREAS, a 3% increase for an employee making $200,000 dollars is an additional $6,000 while a 3% increase for an employee making $40,000 dollars is $1,200; and

WHEREAS, in Fiscal Years 2014-2015 the City of Austin increased all base wages for non-sworn full-time municipal staff by 3.5%, even though the BLS study showed the median hourly wage for the Austin area had increased by only 2.103%; and

WHEREAS, according to the data supplied by the City of Austin Financial Services, full-time City employees have received a 29.6% increase in base salary from 2005 to 2015; and

WHEREAS, over the same period of time, the Median Household Income, according to the City Demographer has increased 14.1% ; and

WHEREAS, the City of Austin seeks to maintain salaries of its workforce in a manner commensurate with the performance of the overall local job market; and

WHEREAS, the City of Austin seeks to mitigate the effects of a greatly increasing cost of living for the City’s lowest wage workers; and

WHEREAS, by implementing a tiered wage increase structure, that gives the lowest paid workers the highest percentage of increase while still increasing the salaries of all City employees, the City can also save taxpayers more than $6 million this fiscal year; NOW, THEREFORE,

BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF AUSTIN:

The City Manager is directed to implement a tiered base-wage increase for municipal non-sworn full-time employees as follows:

1. Each City non-sworn full-time employee who makes less than $15 per hour ($31,200 per year) will receive a 3% base-wage increase this fiscal year;

2. Each City non-sworn full-time employee who makes less than $25 per hour ($52,000 per year) but not less than $15 per hour ($31,200 per year) will receive a 2.5% base-wage increase this fiscal year;

3. Each City non-sworn full-time employee who makes less than $35 per hour ($72,800 per year) but not less than $25 per hour ($52,000 per year) will receive a 2% base-wage increase this fiscal year;

4. Each City non-sworn full-time employee who makes less than $50 per hour ($104,000 per year) or more than $35 per hour ($72,800 per year) will receive a 1.5% base-wage increase this fiscal year;

5. Each City non-sworn full-time employee who makes $50 per hour ($104,000 per year) or more will not receive a base-wage increase in excess of 0.801%.

BE IT FURTHER RESOLVED:

The City Manager is directed to create yearly performance evaluations to be used when determining the percentage of wage increase for all Assistant City Managers, City Manager Chief of Staffs, and Department Directors.

A yearly report of those performance evaluations will be presented to the full City Council.
Don Zimmerman
Council Member District 6 (northwest Austin)
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