The agreement, effective Jan. 1, calls for annual raises of 4.25%, 3.75% and 2.95%, according to the city. The previous three-year contract for the union, which has 24 members, expired Dec. 31, said Jennifer Wilder, Oakwood human resources director.
The 2023 budget approved by the city last month includes 2.95% increases for the 62 full-time and 15 part-time city jobs not in the public works union, Finance Director Cindy Stafford said.
The public works “agreement includes responsible wage increases as well as incentives for employees to obtain certain licenses that are critically important to the operation of our utility services,” Oakwood Vice Mayor Steve Byington said.
“These provisions will ensure that our public works pay scale remains competitive in an increasingly difficult labor market,” he added.
Compensation costs for state and local government workers increased 4.6% for the 12-month period ending in September 2022, compared with an increase of 2.3% in September 2021, according to the U.S. Bureau of Labor Statistics.
Compensation costs for private industry workers increased 5.2% over the year, according to the bureau. In September 2021, the increase was 4.1%.
The deal approved by the city Monday night was reviewed by Mayor Bill Duncan, Byington and council’s finance committee, Oakwood records show. The contract runs through Dec. 31, 2025.
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