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CITY COUNCIL AGENDA ITEM 3D STAFF ORIGINATOR: Sarah Cotton, City Administrator MEETING DATE: December 14, 2020 TOPIC: 2021-2022 Labor Agreement with I.U.O.E., Local No. 49 VOTE REQUIRED: 3/5 INTRODUCTION The City Council is being asked to consider Resolution 20-164, Approving the 2021-2022 Labor Agreement between the City of Lino Lakes and I.U.O.E., Local No. 49. BACKGROUND A tentative agreement has been reached for a two-year contract with I.U.O.E., Local No. 49. A tentative agreement was reached after three meetings and the union members voted in favor of the following terms: 1. WAGES/CLASSIFICATIONS: a) 2.25% Wage increase effective January 1, 2021 b) 2.25% Wage increase effective January 1, 2022 c) Wage Schedule replaced in entirety to reflect implementation of Keystone Job Classification and Compensation Plan. d) Section 10.2 revised to read: Employees assigned to perform higher level duties by the Public Services Director shall be paid 5% above their current rate of pay. (Previously paid at Lead Worker rate of pay — Lead Worker job classification no longer exists. e) Section 10.4 updated to reflect employees starting at the wage rate equal of 85% of the maximum rate for the job classification into which the employee is hired. Employees are eligible for step increases on their anniversary date, provided all licenses and certificates are attained in accordance with the appropriate job description. f) Section 10.5 updated to reflect that the employee's contribution to the Local 49 Pension Plan is not optional. 2. INSURANCE: Section 16.1 (Health) revised to read: a) Effective January 1, 2021, Employer will contribute $538.42 toward the premium for single coverage and $1,142.53 toward the premium for family coverage. b) Effective January 1, 2022, Employer will contribute 100% of the base single plan and $1,142.53 plus 50% of the 2022 premium increase toward the base family plan. c) The Employer's contributions toward the Health Savings Account and the cash option for waiving coverage remain the same.