City Council 94 agrees to salary increases and OPEB contributions after lengthy negotiations

Negotiations for salary increases and OPEB contributions took center stage at the recent Warwick City Council meeting, with a new agreement reached for Council 94 members. After months of discussions, the city and the union finalized a memorandum of understanding that will provide modest salary increases over the next three years.

The proposed raises include a 2.75% increase effective July 1, 2025, followed by a 0.90% increase on January 1, 2026, and a 3% increase on July 1, 2026. The pattern continues with a 0.9% increase on January 1, 2027, and a final 3% increase on July 1, 2027, culminating in a total increase of 11.45% over the contract term.

In addition to salary adjustments, the agreement also addresses OPEB (Other Post-Employment Benefits) contributions, with deductions set to begin at 0.66% in 2025 and gradually increasing to 0.67% by 2027. This move marks the first step in funding an OPEB trust, with a cumulative increase of 2% over three years. When factoring in these deductions, the net raises average 3.15% per year, slightly surpassing Social Security raises and inflation rates.

The discussions also highlighted ongoing recruitment challenges faced by the city, particularly for skilled positions such as operators and CDL drivers. Council members expressed the need for favorable action on the proposed contracts, emphasizing the importance of competitive compensation to attract and retain talent.

As the council moves forward, the implications of these agreements will be closely monitored, particularly in light of the city's efforts to address workforce shortages and ensure fair compensation for its employees.