Summary of Negotiations Status for April 10, 2020
SEIU
April 10, 2020: The District and SEIU reached tentative agreement and team members from both parties are finalizing the wording of the new agreement. SEIU will then share the agreement with its members and implement a membership vote for ratification. Thanks to the District and SEIU negotiating team members who spent many hours working to evaluate information and consider various positions to reach this mutually beneficial outcome.
AFT
April 10, 2020: The District and AFT formally entered into the fact-finding process. The purpose of fact-finding is to obtain the support of a three-member fact finding panel in reaching an agreement. The District member of the fact-finding panel is Mr. John Rajcic. The AFT member of the fact-finding panel is Mr. Wes Davis. They will be recommending a neutral third member to serve as the Chairperson of the fact finding panel. The hearing is tentatively scheduled to commence on May 20, 21, or 22. Accordingly, the hearing will occur after the completion of spring semester. During the hearing, representatives from the District and AFT negotiation teams will have an opportunity to present data and arguments to the fact finding panel. Thereafter, the panel will issue a fact-finding report that includes a recommendation regarding the terms of settlement in the event the parties are unable to reach an agreement.
Summary of VCCCD Position on Negotiations
A. Negotiation Steps
Stages of |
Description |
---|---|
Initial Bargaining |
A union bargains for the collective interests of its members while a District bargains for the interests of the entire District, including members of each bargaining unit. Both parties must bargain in “good faith,” (being fair, open, and cooperative). At times, either party may hold a firm, resolute, and /or final position on any particular item(s) while being fair, open, and cooperative at the same time. |
Impasse and Mediation |
Impasse is nothing more than a request for the services of a mediator to help the parties reach an agreement. When used as a term of art in the realm of collective bargaining, “impasse” is simply a sometimes necessary step in the negotiation process. It is indicative of neither a “failure” of the process of either party nor is it a cessation of bargaining. Impasse can be declared either jointly or by one party or the other. Negotiations can and do continue through the mediator, and it is often at this stage of the process that agreement is reached not only on the “sticky” issue/item, but the overall agreement. |
Fact Finding |
If mediation does not produce a negotiated settlement, the parties go to Fact Finding. This is a more formal dispute resolution mechanism under which opposing parties submit their "best and final" offers and the reasons therefore, to a third-party reviewer (or panel of reviewers). The reviewer then issues a report outlining a recommended settlement. During the process, the parties engage in intense negotiations with the assistance of the Fact Finding Panel and in almost all cases, a settlement is reached and may involve round-the-clock negotiations. In those cases where a deal is not reached, the Fact Finding Panel will issue its recommendations as to what the parties should agree to. |
Post Fact Finding |
After Fact Finding and notice to the public, the Board of Trustees may implement either its Last Best and Final Offer or the settlement recommended by the Fact Finding Panel. |
Current Status:
SEIU – Initial bargaining
AFT – Impasse recognized by the Public Employee Relations Board (PERB). Parties are now in mediation with the first session scheduled for Thursday, January 30, 2020
B. VCCCD Objectives and Key Points
VCCCD Objectives |
---|
Support student success by providing access to quality education. |
With transparency and accountability, maintain sustainable oversight management of all organizational resources aligned with established priorities. |
Provide pay increases and equitable health benefits to all employee groups by moving to a larger insurance pool of 1.4 million covered public employees. |
Continue to identify funding resources through existing expenditures that will allow the District to provide salary increases for all employee groups. |
District Commitment
The District has obligations to students, the public, employees, and retirees. We must keep focus on student success and provide the very best programs and instruction with the best available faculty and staff.
- We must identify resources needed to improve faculty and staff pay
- We must provide equity among all employee groups in their benefits options
Current District Proposal
The District desires to provide pay increases and equitable health benefits for all employee groups. The District’s salary and benefits offer to the AFT and SEIU unions provides salary increases of 2 percent, 6 percent and 2 percent over the next three years, plus a one-time, lump-sum bonus of $2,410. Much of the offered salary increases would be generated by procuring Anthem Blue Cross and Kaiser medical benefits for all its employees in a more efficient, cost-effective manner. Retirees would continue to participate in the benefits coverage.
Other Important Points
Purchasing Anthem Blue Cross and Kaiser insurance through the California Public Employees' Retirement System (CalPERS) will enable:
- Current full-time and part-time faculty, classified employees, and retirees to keep all or most of their healthcare benefits including access to current doctors.
- Employee groups to be provided with the same health care options.
- The District will meet obligation to provide benefits coverage to eligible retirees.
- Pay raises for current employees.
- The lower costs associated with purchasing our Kaiser and Anthem PPO coverage from CalPERS, the largest pooled provider in California, plus the documented slower rate of premium increases compared to the current plan will provide more competitive employee and increased resources for classes, sections, and support services for students.
The VCCCD recognizes the importance of quality medical benefits and has maintained the current Anthem PPO plan for active and eligible retirees since the 1970’s with no significant changes. The VCCCD has one of the highest per employee medical benefits costs in the state along with one of the largest other post-employment benefits (OPEB) liabilities to cover the ongoing medical benefits costs for eligible retirees. Fifty years later, in 2020, we are faced with the reality that maintaining the current high cost practice of direct buying coverage from Anthem and Kaiser is impacting our ability to have competitive salaries and maintain resources for serving our students. Purchasing Anthem and Kaiser medical coverage through a pooled provider can significantly reduce medical benefits costs and allow the transition of the dollars saved to salary. This redistributes total compensation dollars to improve competitiveness of salaries while maintaining quality medical benefits from the same providers.
In the past, the District could pay for unlimited medical benefits for employees while at the same time providing yearly pay raises. Presently, many employees receive “step and column” increases in pay every year. However, times have changed and public pension costs and medical care costs for active and retired employees have skyrocketed. The cost of living adjustment (COLA) and any new state funding increases the District receives do not cover the District’s annual increases in payroll and benefits costs. Current payroll and benefits costs are $151.4 million (86.3% of total FY20 adopted budget).
As a result, the District and its employees have had to continually choose between pay raises (in addition to annual step and column increases) or unlimited medical benefit premiums paid by the District.
- In the recent past, the District’s classified staff and part-time adjunct faculty have agreed to capped limits of the amount the District pays for medical benefit premiums. These two employee groups received pay raises (in addition to step and column increases) last year.
- In the recent past, the District’s full-time faculty chose to have the District continue paying 100% of medical benefit premiums and they agreed to no pay raise last year, although step and column pay increases continued.
A goal of the District is to have equity between all employee groups:
- All employees should have access to healthcare options on the same terms and conditions.
C. VCCCD District Salary Proposal
Overview
Off schedule one-time payment:
- $2,410 effective first payday after approval of this agreement
On schedule salary increase:
- 2% effective first payday after approval of this agreement
- 6% effective 7/1/2020
- 2% effective 7/1/2021
Impact
Average full-time faculty salary $91,235:
- Value of salary increase during term of agreement $17,335
- Salary improvement over term of agreement $9,124
- Annual increase in retirement benefit based on 30 years of service $5,474
Contingency
Salary proposal is contingent upon agreement on the District’s proposal to purchase medical coverage through CalPERS. Contract language provided 10/1/2019.
Note:
- New average salary will be above $100,000
- Top of salary schedule will be $112,609
- Average Household Income for Ventura County - $82,000
D. Salary Facts at a Glance
Employee Category | Number of Employees |
---|---|
FT Faculty | 427 |
PT Faculty | 793 |
Classified | 484 |
FT Faculty Salary Schedule Data: Base Pay and Longevity |
||
Salary Range of FT Faculty |
High Salary- $119,919 |
|
Average Salary of |
$ 91,235 |
220 FT faculty are above average |
FT Faculty W-2 Actual Salary Data – Year End 2019 |
||
Salary Range of FT Faculty |
High W-2 Salary- $201,025 |
FT FT Faculty are above $100,000 - 295 |
Average W-2 Salary |
$113,486 |
|
Retirees * |
||
Tiers I & II: |
95 |
Tiers I & II: eligible for lifetime retiree benefits |
Tier III -Active FT Faculty |
203 |
Tier III: eligible for retiree health benefits up to age 65 |
Other |
142 |
Other: not eligible for retiree health benefits |
* The Medicare Premium Payment (MPP) Program is administered by the California State Teachers' Retirement System (CalSTRS). CalSTRS is unable to determine the Medicare eligibility for future enrollment for retirees not presently enrolled in Medicare A & B, as eligibility for said retirees depends on several individualized factors such as, for example, an employee’s prior work history, or eligibility under a current, former or deceased spouse. For its cost estimates, the District assumed enrollment rates for such retirees based on past experience and stratification by age with the probability of enrollment diminishing as a member’s age increases.
E. FY20 FT Faculty Distribution in Salary Schedule (November 2019)
Step |
I |
II |
III |
IV |
V |
Total |
(%) |
Columns I - IV Base Salary Range($)* |
---|---|---|---|---|---|---|---|---|
1 |
0 |
0 |
1 |
1 |
0 |
2 |
0.5 |
48,751 – 68,249 |
2 |
1 |
2 |
2 |
0 |
3 |
7 |
1.7 |
51,189 – 70,686 |
3 |
0 |
0 |
0 |
0 |
1 |
1 |
0.2 |
53,627 – 72,124 |
4 |
1 |
2 |
0 |
1 |
1 |
5 |
1.2 |
56,062 – 75,561 |
5 |
3 |
2 |
3 |
6 |
6 |
20 |
4.7 |
58,499 – 77,997 |
6 |
4 |
2 |
1 |
3 |
5 |
15 |
3.5 |
60,939 – 80,440 |
7 |
5 |
1 |
2 |
5 |
1 |
14 |
3.3 |
63,376 – 82,874 |
8 |
5 |
2 |
2 |
5 |
6 |
20 |
4.7 |
65,810 – 85,311 |
9 |
2 |
1 |
1 |
3 |
7 |
14 |
3.3 |
68,249 – 87,748 |
10 |
2 |
4 |
4 |
7 |
8 |
25 |
5.8 |
70,686 – 90,185 |
11 |
3 |
6 |
5 |
17 |
13 |
44 |
10.3 |
73,124 – 92,621 |
12 |
6 |
3 |
2 |
3 |
5 |
19 |
4.4 |
75,561 – 95,059 |
13 |
5 |
1 |
2 |
2 |
5 |
15 |
3.5 |
77,997 – 97,496 |
14 |
4 |
5 |
1 |
4 |
5 |
19 |
4.4 |
80,440 – 99,933 |
15 |
11 |
43 |
23 |
80 |
50 |
207 |
48.5 |
82,874 – 102,372 |
Total*** |
51 |
74 |
49 |
137 |
116 |
427 |
** |
* Base salary for contract term excluding longevity
** Does not total 100 due to rounding
*** Totals as of November 2019
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