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Council approves retroactive pay and $241,250 transfer for Public Services reclassification after lengthy debate
Summary
The Beverly City Council approved a $241,250 transfer to cover retroactive pay tied to a Public Services reclassification study, passing the order 7–1 after debate over precedent, fiscal impact and fairness to retired employees.
The Beverly City Council voted 7–1 on April 6 to approve an interdepartmental transfer of $241,250 to cover retroactive compensation tied to a multi‑year Public Services (DPS) reclassification and market-adjustment study.
Mayor (speaking to the council) said the retroactivity commitment was made during the review process and was intended to treat employees fairly, including those who retired during the study: “I made a commitment that there would be retroactivity when the study was done to the beginning of the contract,” he said, adding that retirees who worked during the window should be included in any retroactive adjustment.
The issue drew sustained questioning from several councilors about precedent and fiscal impact. Councilor Housman asked whether the move could create expectations for other bargaining units. Solicitor Doll responded that the city had handled a similar, limited adjustment previously for the Beverly Municipal Employee Association and characterized the DPS situation as distinct: “This isn’t collective bargaining and it’s not something that is going to be done for each and every city-side bargaining unit,” he said, arguing the DPS group’s mixed job descriptions and complexity make it a one‑off.
Budget analyst Jerry Perry told the council the package amounted to about $502,000 in total compensation changes for 43 current employees and four retirees and confirmed the FY27 financial forecast incorporated the new salaries. Perry said he had concerns but recommended approval on equity grounds: the consultant’s report showed DPS pay lagged comparable communities, contributing to hiring and retention problems.
Supporters framed the measure as equity and workforce‑stability policy after a long classification review that included job‑description rewrites and third‑party comparison work. Opponents warned about precedent and the city’s fiscal constraints; one councilor voted against the transfer.
The motion passed; the council adopted the transfer and directed city administration to implement the payroll adjustments specified in the consultant recommendations. The transfer will be reflected in the city’s FY27 budget outlook and is expected to fund the retroactive payments and ongoing salary adjustments resulting from the DPS reclassification.
