REPORT TO COUNCIL
SUBJECT
Title
Approve a One-Year Extension of the Memorandum of Understanding between the City of Sunnyvale and the Service Employees International Union (SEIU), and Adopt a Resolution Amending the City's Salary Resolution and the Schedule of Pay to Increase Salaries for Pay Plan Category L (Employees Represented by SEIU)
Report
BACKGROUND
A Tentative Agreement has been reached between the City of Sunnyvale (City) and the Service Employees International Union (SEIU) on a one-year extension to the current Memorandum of Understanding (MOU) and minor administrative clarifications to certain provisions. SEIU represents all part-time employees in classifications such as Part-time Facility Attendant, Part-time Office Assistant, Part-time Career Advisor, Part-time Vehicle Abatement Officer, Part-time Librarian, Part-time Environmental Chemist. This report recommends approval of the MOU extension, which if approved by the City Council, will be in effect from July 1, 2021 through June 30, 2022.
The current MOU between the City and SEIU expired on June 30, 2021. Representatives for the City and SEIU began the meet and confer process in April 2021 and met three times to reach an agreement. The City reached a Tentative Agreement with SEIU on June 9, 2021 and was notified on June 28, 2021 that the SEIU membership ratified the Tentative Agreement.
EXISTING POLICY
Council Policy 7.3.1 Legislative Management - Goals and Policies, Goal 7.3D: Maintain a quality work force, Consistent with state and federal laws, City Charter, and adopted policies in order to assure that City services are provided in an effective, efficient, and high-quality manner.
ENVIRONMENTAL REVIEW
The action being considered does not constitute a “project” with the meaning of the California Environmental Quality Act (“CEQA”) pursuant to CEQA Guidelines section 15378(b)(4) in that is a fiscal activity that does not involve any commitment to any specific project which may result in a potential significant impact on the environment.
DISCUSSION
The significant provisions of the extended SEIU MOU are as follows:
Term
Extend contract by one year from June 30, 2021 to June 30, 2022.
Wages
Provide the same salary increases and one-time pay for Sunnyvale Employees’ Association/IFPTE Local 21 covered classifications that are also represented by SEIU. Thus, SEIU members will receive a 3% salary increase effective July 11, 2021. SEIU members will also receive a one-time payment totaling 1.5% of annual base salary as off-salary-schedule pay (not reportable to CalPERS). Although these wage changes appear significant, the parties consider this an extension consistent with wage practices in the contract since fiscal year 2016/17, in which SEIU employees have received wage increases that parallel those applied in the SEA bargaining unit.
Agency Shop
Update procedures to reflect current City practices for collection of union dues.
Grievance Procedure
Clarify definition of “work day.”
Appendix A
Update list of current classification titles.
FISCAL IMPACT
The total compensation cost for SEIU employees is approximately $2.5 million per year. Adjustments in salary and one-time pay is included in the FY 2021/22 Adopted Budget, therefore there is no budgetary impact from taking this action.
PUBLIC CONTACT
Public contact was made by posting the Council agenda on the City's official-notice bulletin board outside City Hall, Sunnyvale Public Library and Department of Public Safety. In addition, the agenda and report are available at the Office of the City Clerk and on the City's website.
ALTERNATIVES
1. Authorize the City Manager to Execute a One-Year Extension of the Memorandum of Understanding between the City of Sunnyvale and the Service Employees International Union (SEIU), and Adopt a Resolution Amending the City's Salary Resolution and the Schedule of Pay to Increase Salaries for Pay Plan Category L (Employees Represented by the Service Employees International Union).
2. Do Not Authorize the City Manager to Execute a One-Year Extension of the Memorandum of Understanding between the City of Sunnyvale and the Service Employees International Union (SEIU), and do not adopt the related resolution.
3. Provide other direction to staff.
STAFF RECOMMENDATION
Recommendation
Alternative 1: Authorize the City Manager to Execute a One-Year Extension of the Memorandum of Understanding between the City of Sunnyvale and the Service Employees International Union (SEIU), and Adopt a Resolution Amending the City's Salary Resolution and the Schedule of Pay to Increase Salaries for Pay Plan Category L (Employees Represented by the Service Employees International Union).
Staff
Prepared by: Tina Murphy, Director, Human Resources
Reviewed by: Teri Silva, Assistant City Manager
Approved by: Kent Steffens, City Manager
ATTACHMENTS
1. Memorandum of Understanding between the City of Sunnyvale and the Service Employees International Union - redlined version
2. Memorandum of Understanding between the City of Sunnyvale and the Service Employees International Union - final version
3. Resolution Amending the City's Salary Resolution and the Schedule of Pay to Increase Salaries for Pay Plan Category L (Employees Represented by the Service Employees International Union)