06/12/1995 Council Packet - Laserfiche WebLink

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CLOSED COUNCIL MEETING NOVEMBER 18, 1993 Ms. Olson was asked if the cost of living was a factor. She said it never has been an important as once thought, however, it is an indicator. It was noted that settlements in other jurisdictions range about 2% to 3%. It was also noted that the State of Minnesota is encouraging a wage freeze. However, there is a significant difference in benefit costs at the State level. Also the State salaries are higher than other jurisdictions. It appears that only salary ranges are to be frozen. Ms. Olson noted that Lino Lakes is in an odd situation. There has been significant population growth and this always impacts service needs. Ms. Olson explained that the goal is to bargain through negotiations rather than to arbitrate. She explained the role of an arbitrator and noted that they usually seek to satisfy everyone. Ms. Olson felt that the City Council should protect its management rights through negotiating a package that would be within budget and stay in compliance of the Pay Equity Plan. Ms. Olson noted two (2) other goals; seek to negotiate a co -share insurance premium plan and seek a multi-year contract. The Council asked if increases in salaries in other cities has been reviewed. Mr. Tesch said yes and Lino Lakes is low. He noted that LLMA has used the Stanton Report as their basis for salary determination and has used Class #5 cities. Actually cities from both Class #5 and Class #6 should be used. Using relevant group cities consistently, the salaries in Lino Lakes are low. Council Member Bergeson asked if the Lino Lakes salaries are relative lower than other comparable groups. Ms. Olson said that the base pay freeze in 1992 adversely impacted this group. Mayor Reinert noted that with restructuring, there may be less responsibility and that may bring some employees into line. Ms. Olson said that even considering the restructuring, the salaries will still be low. Mayor Reinert asked if looking at the knowledge and skill level of the Lino Lakes employees as compared to other cities, will there still be a disparity in salaries. Ms. Olson said the entire wage level for Lino Lakes is low. She also noted that an arbitrator will look carefully at other markets. Council Member Kuether noted that what the City Council does with this group will impact other groups and she said that the City Council must look at staying in compliance with the Pay Equity Plan. Council Member Bergeson said he would like to see all union groups PAGE 3