Committee backs 3.5% merit pool and recommends matching DPW union contract

The General Government Finance Committee voted to recommend a 3.5% merit pay pool for nonrepresented employees and to forward a matching 3.5% contract for the Germantown Municipal Employees Union Local 730 (DPW) to the village board.

Village Administrator (Speaker 8) described the merit plan that would allocate a 3.5% pool across eligible nonrepresented employees based on annual performance evaluations; the packet shows a sliding grid where evaluation scores determine increases (from 0% up to a 5% maximum for the highest scores). Administrator and staff estimated the total cost for wages, taxes and Wisconsin Retirement System contributions at $229,000.

Staff noted that represented employees (roughly two-thirds of the workforce per staff comment) are governed by collective-bargaining agreements and that the DPW union negotiators agreed in good faith to align with the 3.5% figure. A staff representative described the DPW agreement as mindful of recent service provided by DPW during floods and winter operations.

Committee members discussed timing relative to the 2026 budget adoption and agreed that the village board should align the resolution with whatever budget the board ultimately adopts. The committee voted unanimously to forward the merit-pay resolution and also approved forwarding the proposed Local 730 contract with a positive recommendation.

Both items will be considered by the village board at its December meeting; staff said the board could amend the resolutions to match the adopted budget.