And
City
of
Interest
Arbitration
Arbitrator: Albert L. Gese
Date
Issued:
Arbitrator: Gese; Albert L.
Case #: 01867-I-78-00057
Employer:
City of
Date Issued:
In the Matter of the
Arbitration )
)
between ) Arbitration Award
)
THE CITY OF
)
and ) 1979 Contract Year
)
________________________________ )
Before
Arbitration Panel of:
Albert L. Gese,
Chairman
James M. Connor, Kent Representative
Martin R. Woodin,
Union Representative
Appearances:
Representing the
Thomas H. Grimm, Attorney
Representing the City:
Gerald Winkle,
Finance/Personnel Director
Background
The parties engaged in negotiations from
the
parties agreed they were at impasse on the remaining issues
and
mediation assistance was requested. A
Mediator was assigned
by
PERC and met with the negotiators on
between
the City and the Fire Fighters' respective positions was
not
bridged in mediation, although there was a willingness by the
City
to improve its wage offer.
Thereafter the parties waived the Fact-Finding process
and
agreed to
submit the disputed issues to arbitration.
The under-
signed
was selected by the parties as the neutral Chairman of the
Arbitration
Panel. A
hearing subsequently was held on January 25,
1979
at
on
evidence
and the position of the parties.
Thereafter the Chair-
man
submitted the following findings, conclusions, decision and
award.
The Issues
The issues presented to the Panel on
contract
proposals made by the
in
direct negotiations. They were the
following:
1.) Repayment of medical deductions and contract language to
prevent
such deductions in the future.
2.) Provide for an option on medical coverage between Group Health
and
Blue Oross for post-1977 employees as is provided for
pre-1977
Fire Fighters.
3.) Reduction of the work week from 56 hours to
54 hours by the
the
addition of four Kelly days.
4.) Additional longevity payments on a percentage basis.
5.) Salary increase.
Position of the City
The City contends that the Arbitration Panel must follow
the
Guidelines promulgated by the
Presidential Council on Wage and
Price
Stability. Even
though cities may be excluded from price
standards,
the C.W.P.S. has no similar exceptions for the wage
standards. The only settlements excluded are those labor
contracts
signed
prior to
The City agrees that at one time in the negotiations it
pro-
posed to
settle on a wage package that exceeded the Guidelines.
The proposal was based on a
tandem relation with other city employ-
ees. The
City now argues the proposal is no longer a proper al-
ternative since the tandem relationship with other
city employees
was
rejected by the Fire Fighters. The City
now feels the Arbi-
tration Panel would exceed its authority if it were
to award any
total
cost package, including medical and reduction in hours, or
longevity
and wages, above the 7% guideline. The
City also denies
that
the Kent Fire Fighter has slipped in comparison to Fire Fighters
in
comparable cities and would not necessitate any catch-up, as
proposed by
the
Position of the
The
to
Fire Fighters in comparable cities has deteriorated since 1974.
It would require an 8%
adjustment, before the wage increase for
1979 was awarded, to bring
about a proper relationship between
the
parable
cities.
in
the
also in
Industry and Commerce. Therefore, this
is the appropri-
ate
area for comparison. In addition, the
City has not argued,
and
cannot argue, that it does not have the ability to pay the
Fire Fighter the increase he is
entitled to.
The Presidential guidelines announced on
not
apply to the City of
National
League of Cities v Usery, 426
49 L. Ed. 2nd 245, that neither
the executive or Congressional
branch of
the Federal government had authority to interfere or
regulate
the wage rate paid by the state or local governmental
unit. Further impasse had been reached prior to the
issuance of
the
Guidelines and, therefore, would not be applicable. However,
even if
the Guidelines did apply, the
inequity
exists which calls for a catch-up to bring the Kent Fire
Fighter into a relative
position previously enjoyed with Fire
Fighters employed in comparable
cities.
Discussion
In a sense, when the parties to a collective bargaining
agreement
decide
they cannot reach a settlement and request an Arbitration
Panel to make the decision, they are indirectly adopting the re-
sults of successful bargaining of the cities they
agree are a
proper
standard for comparison.
Based on the settlements made with other city employees,
the
offer
made in mediation, and the settlements and rates of pay
enjoyed by
Fire Fighters in other cities, the Chairman finds it
difficult to
accept the City's argument. On the other
hand, the
same
problem comes to mind in respect to the position of the
The
above
the Presidential Guidelines.
Improvements in the work week
and
longevity are also due.
All the evidence pointed to the fact that in both the
work
week
and in longevity, the Kent Fire Fighter lags far behind his
fellow
worker in the comparable cities. Had the
deterioration
since
1974, as claimed by the
of
free collective bargaining and which was ratified by the
membership,
the Chairman would have been persuaded to include a
cost-of-living
clause in addition to the wage rate awarded.
The
Union, having been a party to
the lower contractual rates, cannot
now
expect the Arbitration Panel in one fell-swoop to make up all
the
lost ground; An adjustment to the extent
requested by the
The Chairman is satisfied that the evidence supports as
large
an
increase as was granted the Kent Police Officers. This, the
Chairman believes, will
maintain or somewhat improve the relative
position of
the Fire Fighter.
Findings and Conclusions
1) Medical Deductions. The parties are not at issue that the
deduction
for dependent coverage is a proper cost in the total
package
and is to be taken out of the package.
The Chairman is
in
accord with the
irritant
that good personnel and labor relations dictate should
be
avoided by the Employer whether engaged in a commercial or
public
enterprise. The parties are directed to
agree on language
which
will satisfy the City that the amount of the deduction is
credited to
the annual cost package of the settlement; and future
deductions
will not be made when the contract expires.
2) Optional Medical Plan for post-1977 employees. There was an
indication
that this issue would be settled by the parties. If it
has
not been settled at the time the Award is submitted to the
parties,
it will be covered in the Award.
3) Reduction in the Work-Week.
The Union's request in the reduc-
tion of the work week is based on the fact that
the Kent Fire
Fighters presently are
averaging 56 hours per week. It is one
of
the
longest work weeks among Fire Fighters within the comparable
cities. The average work week in the comparable
cities is 49.8
hours. The evidence shows that a reduction in hours
has been nego-
tiated in recent settlements in the comparable
cities.
The Union's proposal to add four Kelly days would reduce
the
work
week to 54 hours. This would still leave
the Kent Fire De-
partment above the average work week of the
comparable cities.
The Chairman concludes and
finds that the addition of four (4)
Kelly days is an equitable
method for the reduction in the weekly
hours. This will bring the work week more in line
with the Fire
Fighter
in the neighboring cities.
4) Longevity Pay. The present longevity pay is $10.00 after
five
years
service and $15.00 after ten years employment.
The Union
proposed
the payments be brought in line with cities such as Renton,
Auburn,
Everett, Seattle, and Tacoma. These cities, although not
exactly on
the same time frame and percentage amount, pay approxi-
mately 2% after five years, 4% after ten years, 6%
after fifteen
years,
and some pay 8%~ or 9% after twenty years.
(See the Union
exhibit
attached.)
No increase has been made in the longevity scale for the
Kent
Fire
Fighter since 1969.
Although individuals may differ on the
wisdom of
longevity pay, it is quite evident that this is a form
of
providing additional pay for years of service.
It is also an
acqepted method in city and other public
employment. In this area
the
Kent Fire Fighter has not kept pace with his fellow Fire Fighter
employed in
comparable cities. The Chairman,
therefore, finds
that an
increase in longevity pay is due. An
award of 2% after
five years
and 4% after ten years service will be part of the
arbitration
award.
The Kent Fire Department, as presently constituted, was
started
in
1965. Consequently, there are no
employees that will complete
fifteen
years of service in 1979. Longevity payment
beyond the
ten
year period will not be determined since it will not affect
any of
the present employees. Any extension
beyond the ten years
can be
dealt with by the parties in subsequent negotiations.
5) 1979 Salary Increase. The Kent Fire Fighter receives a monthly
salary of
$1417.00. This is to be increased on
January 1, 1979
by
11% less a small deduction for increased medical costs.
On a one year contract, it was determined to be less
confusing
than a
7% or 8% increase with a cost-of-living clause.
The latter
would
result in a higher salary rate at the end of the year but
little,
if any, additional take home pay. . On a multiple year con-
tract, a
cost-of-living esculator clause could have been incorpor-
ated.
We are mindful that the Award exceeds the Presidential
Guidelines.
The Chairman is not persuaded
the Guidelines are applicable to the
salaries
covered by this arbitration matter. The
increase can be
justified on
the grounds that Fire Fighters in the comparable cities
are
far above the rate that will be paid the Kent Fire Fighter.
Also, the City made contract
settlement with other city employees
that
exceed the 7%. In fact, the settlement
with the Police Guild
was
11%.
Arbitration Award
Effective January 1, 1979, the
Kent Fire Department personnel are
awarded:
1) A general salary increase of 11%.
2) Based on the top step of the progression rate, longevity
pay
will be paid at the rate of 2% after five years of
service
and 4% after ten years service.
3) Four additional Kelly days will be instituted.
4) Increased medical costs for the year 1979 are to be
deducted
from the 11% increase. Deduction made by
the
City in respect to the
increased costs of the medical
plan
are to be reimbursed to the individual employee.
Respectfully submitted this
day of March, 1979
ALBERT L. GESE, Chairman
JAMES M. CONNER,
Representing the City
MARTIN R. WOODIN,
Representing the Fire Fighters
LONGEVITY
CITY 5 YEARS 10
YEARS 15 YEARS 20 YEARS
SEATTLE 2% 4% 6% 8%
TACOMA 2% 4% 6% 8%
RENTON 2% 4% 6% 8%
PUYALLUP 1% 11/2% 2% 21/2%
41/2Years 51/2
Years 61/2 Years
AUBURN 2% 4% 6%
4 Years 8
Years 12 Years 16 Years 20 Years
EVERETT 2% 31/2% 51/2% 7% 9%
KENT LOCAL PROPOSAL
5 Years 10
Years 15 Years 20 Years
2% 4% 6% 8%