Golden handshakes offered at city, upper management wage freeze

February 11, 2009
Santa Paula City Council

Nine city employees are being offered “golden handshake” retirement incentives, and executive and mid-management are foregoing raises in the coming year in efforts to trim and stabilize Santa Paula’s payroll.

By Peggy KellySanta Paula TimesNine city employees are being offered “golden handshake” retirement incentives, and executive and mid-management are foregoing raises in the coming year in efforts to trim and stabilize Santa Paula’s payroll. The City Council heard details of the buyout offers for customer service, animal control, maintenance, clerical and technology personnel.The retirees - those holding the nine positions are at least 55 years old and have been with the city 10 to 30-plus years - would gain an additional two years to boost their pensions. Human Resources Manager Kathy Campbell told the Council the plan provides a “win-win situation for the employees,” as well as for the city.The positions, she added, would “remain vacant” while the city studied the positions; and the plan would “avoid mandatory staff reductions in coming months.” Campbell noted the qualifying employees said they “would like to explore their options, and four said they are ready when it is offered.”
Although supportive of the affected employees, Councilman Bob Gonzales was concerned such retirements would impact the city’s “considerable brain trust” and the institutional memory valuable to the city. He asked if the city would control the timing of retirements for the least impacts.In separate issues, the Council adopted resolutions to forego 2009 pay increases for executive- and mid-management. City Manager Wally Bobkiewicz said all employee contracts expired in December, and “We are recommending a new agreement, zero wage adjustment” for upper management staffers. The only caveat, he noted, is if any city employee group receives a raise it would trigger an increase for executive- and mid-managers.“As reported, we’re looking at a very, very difficult budget year,” and although executive- and mid-management employees are normally the last to be considered for increase packages, Bobkiewicz said the decision was reached to settle with them first “to set the tone with other groups.” Bobkiewicz noted although he has a separate agreement with the city, he would adhere to the zero wage adjustment.



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