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Council approves AFSCME contract for 2025–2027 with 9.5% total compensation adjustment

City of Montrose City Council · November 13, 2024
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Summary

The council approved a three-year AFSCME labor agreement covering 2025–2027 that includes a combined 9.5% adjustment (6% COLA and 3.5% merit). The motion passed 4-1.

Council approved the American Federation of State, County, and Municipal Employees (AFSCME) contract covering Jan. 1, 2025, through Dec. 31, 2027, after a period of negotiation and a closed session earlier in the process.

"I'll make a motion to accept the American Federation of State, State, County, and Municipal Employees Minnesota Council Number 65 grama," a council member said when introducing the motion. Staff described contract terms as a 6% cost-of-living adjustment combined with a 3.5% merit component and a benefits contribution change from 100% to 95% by the employer in the budget calculations. After debate over comparability with other local contracts and supervisory classifications, the council approved the contract 4-1.

The council noted the contract adjustments were reflected in the draft budget materials and that staff will finalize the budget numbers accordingly. The vote completes the local bargaining approval step; the contract will be implemented beginning Jan. 1, 2025.