2009 11 05 Cal Pelra Chapter 9 Presentation
description
Transcript of 2009 11 05 Cal Pelra Chapter 9 Presentation
![Page 1: 2009 11 05 Cal Pelra Chapter 9 Presentation](https://reader036.fdocuments.us/reader036/viewer/2022070322/559030c91a28abce508b477e/html5/thumbnails/1.jpg)
Labor Negotiations in Chapter 9 Bankruptcy
Debora Boutte, City of Vallejo
Marc Levinson, Orrick
Charles Sakai, Public Law Group
CalPELRA 2009 Annual Conference
![Page 2: 2009 11 05 Cal Pelra Chapter 9 Presentation](https://reader036.fdocuments.us/reader036/viewer/2022070322/559030c91a28abce508b477e/html5/thumbnails/2.jpg)
Debora Boutte, City of Vallejo Marc Levinson, Orrick Charles Sakai, Public Law Group
Speakers
![Page 3: 2009 11 05 Cal Pelra Chapter 9 Presentation](https://reader036.fdocuments.us/reader036/viewer/2022070322/559030c91a28abce508b477e/html5/thumbnails/3.jpg)
Introduction Bankruptcy Update Collective Bargaining Under Ch. 9 Impact on Employee Relations Questions
Agenda
![Page 4: 2009 11 05 Cal Pelra Chapter 9 Presentation](https://reader036.fdocuments.us/reader036/viewer/2022070322/559030c91a28abce508b477e/html5/thumbnails/4.jpg)
Introduction
![Page 5: 2009 11 05 Cal Pelra Chapter 9 Presentation](https://reader036.fdocuments.us/reader036/viewer/2022070322/559030c91a28abce508b477e/html5/thumbnails/5.jpg)
5
Vallejo Background
Relatively low per capita income Binding arbitration in Charter One of the first cities in CA to implement 3% at 50 for public safety
employees 2.7% at 55 for miscellaneous
employees Very generous employee and retiree health program
![Page 6: 2009 11 05 Cal Pelra Chapter 9 Presentation](https://reader036.fdocuments.us/reader036/viewer/2022070322/559030c91a28abce508b477e/html5/thumbnails/6.jpg)
FY 08 Budget Attempt to reduce 2 truck companies Lost arbitration, Cost: $4 million Economy tanked, revenue loss: $4
million Employee flight, pay out cost: $4
million Negotiation Mediation Bankruptcy
Vallejo Pre-Bankruptcy
![Page 7: 2009 11 05 Cal Pelra Chapter 9 Presentation](https://reader036.fdocuments.us/reader036/viewer/2022070322/559030c91a28abce508b477e/html5/thumbnails/7.jpg)
Vallejo Pre-Bankruptcy
Media Administrative Rules/Charter/Muni Code
MOU’S Documentation
![Page 8: 2009 11 05 Cal Pelra Chapter 9 Presentation](https://reader036.fdocuments.us/reader036/viewer/2022070322/559030c91a28abce508b477e/html5/thumbnails/8.jpg)
Bankruptcy Update
![Page 9: 2009 11 05 Cal Pelra Chapter 9 Presentation](https://reader036.fdocuments.us/reader036/viewer/2022070322/559030c91a28abce508b477e/html5/thumbnails/9.jpg)
Bargaining Under Ch. 9
![Page 10: 2009 11 05 Cal Pelra Chapter 9 Presentation](https://reader036.fdocuments.us/reader036/viewer/2022070322/559030c91a28abce508b477e/html5/thumbnails/10.jpg)
5/23/08 - Bankruptcy Petition Filed
6/17/08 - Motion for Approval to Reject CBA’s
9/05/08 – BK Judge approves eligibility
9/15/08 – RSHS hired 1/22/09 – VPOA deal cut 2/04/09 – CAMP deal cut
Bargaining Timeline
![Page 11: 2009 11 05 Cal Pelra Chapter 9 Presentation](https://reader036.fdocuments.us/reader036/viewer/2022070322/559030c91a28abce508b477e/html5/thumbnails/11.jpg)
6/22/09 – BAP approves eligibility
8/27/09 – Court approves stipulated rejection of IAFF MOU
8/31/09 – IBEW MOU Rejected Parties Currently in Negotiations 1/4/10 – IAFF Mediation 1/11/10 – IAFF Arbitration
Bargaining Timeline
![Page 12: 2009 11 05 Cal Pelra Chapter 9 Presentation](https://reader036.fdocuments.us/reader036/viewer/2022070322/559030c91a28abce508b477e/html5/thumbnails/12.jpg)
“Normal” Concession Bargaining Absent an open agreement or reopener, there is no obligation to bargain and no option for unilateral implementation
Threat of Layoffs/Furloughs Create Incentive to Bargain
What’s Different?
![Page 13: 2009 11 05 Cal Pelra Chapter 9 Presentation](https://reader036.fdocuments.us/reader036/viewer/2022070322/559030c91a28abce508b477e/html5/thumbnails/13.jpg)
Bankruptcy Changes Unilateral Implementation Under “Pendency Plan”
Motion for Approval to Reject Collective Bargaining Agreements
What’s Different?
![Page 14: 2009 11 05 Cal Pelra Chapter 9 Presentation](https://reader036.fdocuments.us/reader036/viewer/2022070322/559030c91a28abce508b477e/html5/thumbnails/14.jpg)
Rejecting CBA’s Pre-Rejection Bargaining Under Bildisco
Post-Rejection Bargaining
Bargaining Under Chapter 9
![Page 15: 2009 11 05 Cal Pelra Chapter 9 Presentation](https://reader036.fdocuments.us/reader036/viewer/2022070322/559030c91a28abce508b477e/html5/thumbnails/15.jpg)
Endgame Mutual Agreement Unilateral Implementation Interest Arbitration
Bargaining Under Chapter 9
![Page 16: 2009 11 05 Cal Pelra Chapter 9 Presentation](https://reader036.fdocuments.us/reader036/viewer/2022070322/559030c91a28abce508b477e/html5/thumbnails/16.jpg)
Impact on Employee Relations
![Page 17: 2009 11 05 Cal Pelra Chapter 9 Presentation](https://reader036.fdocuments.us/reader036/viewer/2022070322/559030c91a28abce508b477e/html5/thumbnails/17.jpg)
Impact of Bankruptcy
No Or Little CommunicationEmployee MoraleIn Fighting DisciplineIndustrial Disability RetirementsEmployee Exodus
![Page 18: 2009 11 05 Cal Pelra Chapter 9 Presentation](https://reader036.fdocuments.us/reader036/viewer/2022070322/559030c91a28abce508b477e/html5/thumbnails/18.jpg)
Importance Of Communication Communication Is Extremely Critical During Bankruptcy/Hard Economic TimesCommunication Should Be Done On An On-going BasisCommunication Can Avoid:
MistrustEmployee ExodusIn-fighting
![Page 19: 2009 11 05 Cal Pelra Chapter 9 Presentation](https://reader036.fdocuments.us/reader036/viewer/2022070322/559030c91a28abce508b477e/html5/thumbnails/19.jpg)
Importance Of Communication Communication Can Build:
TrustTeamsLoyaltyPlan Of ActionBetter Survival Rate
![Page 20: 2009 11 05 Cal Pelra Chapter 9 Presentation](https://reader036.fdocuments.us/reader036/viewer/2022070322/559030c91a28abce508b477e/html5/thumbnails/20.jpg)
Questions