Villaraigosa to announce pension and healthcare deal with largest city union
Los Angeles Mayor Antonio Villaraigosa will announce at 4 p.m. Thursday what his office characterized as a "landmark pension and healthcare reform agreement" with the largest labor union representing workers at City Hall.
In a statement, the mayor's office said the three-year deal with the Coalition of L.A. City Unions would save the city nearly $400 million over the next four years and end employee furloughs prompted by the city's continuing financial crisis.
"These savings -- achieved through a variety of measures including a freeze in salary increases and an end to cash overtime -- also avoid the equivalent of 600 layoffs for city workers," the statement said.
If approved by the rank and file in voting expected to start April 1, union members would begin to contribute 2% to their retiree healthcare benefit with that contribution increasing to 4% July 1, the start of the next fiscal year. That would bring the total retirement contribution for all union workers to 11%, up from the current 6%.
A full story will follow after the news conference.
-- William Nottingham