SEA calls on Governor Lynch, State leaders to seize opportunity in budget crisis
The State Employees’ Association’s Master Bargaining Team is calling on Governor John Lynch to join an “umbrella” forum about budget issues affecting state employees.
Legislative leaders in the House and Senate are willing to meet with the SEA team and the Governor to work through the interrelated issues that are affecting this year’s contract negotiations. The Governor, however, sees no need for the forum.
Diana Lacey
SEA Master Bargaining Team Chair
We aren’t talking together – at the same time – about all of the issues. And there is plenty to talk about.
SEA President Gary Smith said, “We want our State’s leaders and the public to know that the traditionally adversarial nature of developing budget cutbacks in one venue and isolating contract negotiations in another will not resolve the major issues that confront us.”
Master Bargaining Team chair Diana Lacey added, “We need to have everybody at the table at the same time, to find solutions that will have the least harmful effect on State services. We’ve spent the last several months trying to find solutions through bilateral meetings. Having just two out of three players at the table isn’t going to get us where we need to go this year. Legislative leaders have agreed to meet, but we need to have the Governor at the table, too.”
SEA representatives have been meeting with the Governor and his staff for many months, offering suggestions to bridge the budget deficit without harming state services. In contract negotiations, SEA’s team has proposed progressive proposals that could save $50 million in unprecedented contract provisions:
- $38 million saved through voluntary unpaid time off that is used to help fund and preserve jobs at risk of layoff.
- $6 million saved through a one-year wage freeze. In the second year of the biennium, employees would move to a new career salary scale. No across-the-board wage increase is being sought.
- $6 million saved through new total compensation package options that would allow employees to choose among benefit packages. Options are designed to lower the State’s overall health plan costs while providing employees direct access to other employee related benefits, such as educational or child care assistance.
- A plan to lower the State’s retiree health care costs – one that allows today’s workers to save for health care costs into retirement. The plan would save the State at least $750 a year per retiree. There are over 5,000 workers eligible for retirement in the next ten years.
- Eliminating costly review and approval processes that directly impact employees and redirecting them into ongoing contract management and oversight functions.
In addition, the team has worked with our retirees to support an SEA version of a prescription drug plan change that could yield $4 million in savings. Lastly, the SEA has not opposed continuing the hiring freeze or the unfunding of already vacant positions. That translates into $45 million savings for the State that will be absorbed by the remaining workforce.
SEA leaders are frustrated that issues are being decided and solutions being offered in different places.
“We have reached out to the Senate leaders, House leaders, and Governor Lynch to invite them to participate in a very unusual and different kind of work session,” Lacey said.
“We envision a forum where we could ask our political leaders, in one room and at one time, to identify exactly what amount of the revenue shortfall they would like state employees and retirees to help resolve. In this forum we could ask our political leaders to share our vision that now is the time to find common ground and start fixing what’s broken in state government,” Lacey explained.
“Contract negotiations confine our ability to speak openly about proposals with the Legislature and public. At the same time, the legislative work on the budget is a very public discourse about many things that impact state employees and the services we provide,” she added.
“We aren’t talking together – at the same time – about all of the issues,” Lacey said, emphasizing, “And there is plenty to talk about.
“The open forum work session is the only way we can bring the parties together to talk about setting reasonable goals,” Lacey said. “State leaders seem surprised to learn that employees and retirees are being told they have to absorb over $250m of the $550m revenue shortfall.
“Right now the intersecting issues we face are divided into collective bargaining or various pieces of legislation, but they target one uniform audience: State employees,” Lacey explained. “While it would be inappropriate to try to negotiate a new contract through the Legislature, it is completely appropriate for the Legislature to have important information before they finalize spending bills that limit the negotiating process.
“Given that we are entertaining unprecedented opportunities to work together to preserve public services while still saving $99 million, we feel compelled to let the public know that our efforts to deliver these savings may soon fail,” Lacey warned.
“We understand the session we were asking for is unique,” Lacey said. “We understand that in normal situations, the Governor’s view of taking two separate tracks – one for Legislative budget writers and one for the Governor’s negotiation team to handle – would probably reach a reasonable outcome. But we also understand that the serious situation we are facing calls for unique and bold problem resolution skills. We are not fighting the idea of helping to save the State money right now,” Lacey concluded. “We are open to it and the public should know that we are.”
“The failure to reach common ground will probably result in the Legislature going forward with hundreds of layoffs, passing on higher health care costs to our retired seniors living on fixed incomes, and ultimately adding to NH’s declining economy,” Smith said. “The budget, as it now stands, will result in delaying critical services.”
“We deliver the public services New Hampshire needs; we represent thousands of workers and retirees who are most impacted by your decisions,” Smith explained. “These are the 3% of taxpayers that are being told they need to absorb over 50% of the budget crisis.”
“Governor Lynch, we want you at the table with us, the Speaker and the Senate President,” Smith stated. “We want to roll up our sleeves and work collaboratively to find a way forward. There is no logic in political posturing when we are facing such critical issues. But if we can’t bring this to a successful resolution, it’s not for lack of trying.”