TO: AC Transit Board of Directors
FROM: Michael A. Hursh, General Manager
SUBJECT: Collective Bargaining Agreement with ATU
ACTION ITEM
RECOMMENDED ACTION(S):
Title
Consider the adoption of Resolution 20-028 confirming the approval of a Collective Bargaining Agreement with the Amalgamated Transit Union (ATU), Local 192 through June 30, 2022.
Body
STRATEGIC IMPORTANCE:
Goal - High-Performing Workforce
Initiative - Employee Recruitment, Training and Retention
The approval of collective bargaining agreements between the District and its Unions support the strategic goals of High Performing Workforce, Financial Stability and Resiliency, and Convenient and Reliable Service. Collective bargaining agreements confirm compensation, benefits and labor costs for employee recruitment, retention and labor forecasting, thus supporting District fiscal responsibility as labor costs will be identified and managed. Convenient and Reliable Service is supported by ensuring a key group of the District’s workforce will continue vital operations for District facilities and vehicles.
BUDGETARY/FISCAL IMPACT:
The fiscal impact of the agreement is estimated to be $44.6 million in total. This breaks down to $10.2 million for FY 2019-20, $13.9 million for FY 2020-21 and $20.6 million for FY 2021-22. The impact to the current fiscal year will chiefly result in higher wage costs in June due to the retroactive 3% wage increase and 2% cash bonus. The fiscal impact for the coming two fiscal years will be incorporated in the planning and preparation for each fiscal year’s operating budget.
BACKGROUND/RATIONALE:
The District and ATU have completed the negotiation process for the Collective Bargaining Agreement between the District and ATU for the period of July 1, 2020 through June 30, 2022. ATU membership ratified the proposed agreement on May 13, 2020. Board approval is now needed to formally adopt the collective bargaining agreement between ATU and the District for this period.
ADVANTAGES/DISADVANTAGES:
The advantage of approving this collective bargaining agreement is that the labor agreement between ATU and the District will continue until July of 2022. Other than additional cost of the contract, there are no disadvantages to approving this collective bargaining agreement.
ALTERNATIVES ANALYSIS:
There were no alternatives considered by staff.
PRIOR RELEVANT BOARD ACTION/POLICIES:
Resolution No. 16-032
ATTACHMENTS:
1. Resolution No. 20-028 and Related Exhibits
Prepared by:
Emily Cruz, Human Resources Manager
In Collaboration with:
Richard Oslund, Budget Manager
Approved/Reviewed by:
Chris Andrichak, Director of Management and Budget
Robert del Rosario, Director of Services Development and Planning
Derik Calhoun, Director of Transportation
Cecil Blandon, Director of Maintenance
Salvador Llamas, Chief Operating Officer
Nathaniel Kramer, Acting Executive Director of Human Resources
Claudia L. Allen, Chief Financial Officer
Jill A. Sprague, General Counsel