JUNEAU, Alaska (AP) - The House Finance Committee on Monday advanced legislation that would deny pay raises for certain state employees not covered by agreements with labor unions.
The bill advanced on a vote of 6-4, with Republican Rep. Cathy Munoz and Democratic Reps. Bryce Edgmon, Les Gara and David Guttenberg voting no. Munoz, of Juneau, and Edgmon, of Dillingham, are part of the House’s Republican-led majority.
HB 176 was introduced earlier this month, as the Senate Finance Committee was finalizing a version of the state operating budget that rejected the monetary terms of collective bargaining agreements for more than a dozen unions for next year and deleted funding for salary increases for employees not covered by unions.
Separate legislation is needed to reduce the salary schedule for non-covered employees, the director of the Legislative Finance Division has said. The employees have been in line for a cost-of-living increase of 2.5 percent for the coming fiscal year; they received increases of 1 percent each this year and last.
Rep. Dan Saddler, R-Eagle River, said the bill is about providing job security as best as possible amid budget cuts. The state is facing projected multibillion-dollar deficits this year and next amid low oil prices.
But Gara, D-Anchorage, said the state has other options, and he brought up the topic of the state’s oil tax law, which he has argued needs to be revisited.
Meanwhile, House and Senate negotiators are working to reconcile differences in the versions of the budget that passed each chamber.
Gov. Bill Walker said Monday he was concerned with the Senate proposal to reject the union pay raises and said concerns with that issue and others, including proposed cuts to education funding and the state ferry system, have been conveyed to lawmakers through his budget director.
Leslie Ridle, a deputy commissioner of administration, said that if the language surrounding the labor contracts stands, she expected it would reopen talks with the affected unions. If a piece of the contract isn’t funded, the parties have to go back and talk, she said.
Please read our comment policy before commenting.