While some excluded employees will see salary increases with the release of the July pay warrants, the vast majority of supervisors and managers will see a decline in take home pay. ACSS’ message to the Department of Human Resources (CalHR) has been consistent and clear – regardless of whether rank-and-file bargaining units reach agreements or not, CalHR has a statutory obligation to set salaries for excluded employees and salary increases are needed.
ACSS Salary Proposal Related to the $260 Monthly Health Affordability Payment
A slight decline reflected in the July pay warrant for many is a result of the employee pension contribution rate for excluded employees related to the SEIU Local 1000 Bargaining Units 1, 3, 4, 11, 14, 15, 17, 20 & 21 and excluded employees related to Unit 7 (non-PO/FF) increasing by one-half percent.
A larger reduction in take home pay in July is a result of excluded employees related to the SEIU Local 1000 represented bargaining units no longer receiving the $260 per month “health affordability” pay differential.
ACSS has formally proposed to CalHR a Special Salary Adjustment of $260 effective July 1, 2023 for all excluded employees related to the SEIU Local 1000 represented bargaining units. If implemented by CalHR, this “flat dollar” salary increase proposal would stabilize salaries for this group of excluded employees and allow a July 1, 2023 General Salary Increase (GSI) to actually increase pay. Without this special salary adjustment, any GSI would likely be either completely or substantially offset by the reduction in monthly take home pay.
What to Expect in the Next Month
The legislature must approve any new labor contracts for rank-and-file employees and must appropriate funds for salary increases and other increased compensation for excluded employees.
The legislature returns from a summer recess on August 14 and will stay in session until the September 14 recess (coming back in January 2024). This creates a one-month window for any labor contracts to be approved by the legislature and money to be appropriated through budget trailer bills to fund those labor contracts and to fund excluded employee increases.
ACSS has several different salary proposals for Special Salary Adjustments for groups of excluded employees pending at CalHR. Some of those proposals also likely impact the rank-and-file portions of classification series that are still in bargaining. Thus far, CalHR has indicated it will implement a number of ACSS Special Salary Adjustment proposals for excluded employees, but we must await the official “Pay Letters” instructing the State Controller’s Office to adjust salaries before publicizing that information to affected members. Discussions with CalHR on other proposals continue.
Negotiations between CalHR and the representatives for 14 of the state’s 21 rank-and-file bargaining units continue. Bargaining Unit 12 and CalHR recently reached a tentative agreement for a new labor contract. The units still bargaining include 1, 3, 4, 6, 7, 10, 11, 13, 15, 16, 17, 19, 20, and 21.
In discussions with CalHR, ACSS has consistently recognized the inevitable tie between excluded employees and rank-and-file employees in the area of general salary increases. But ACSS has also made clear that whether agreements with the remaining 14 bargaining units are reached or not, CalHR must take action to increase salaries for all excluded employees before the legislature adjourns in mid-September.
If you have questions regarding salary issues for your classification, please contact your ACSS Labor Relations Representative.