Unions for state workers negotiate a new contract
By Nancy Lavin, Rhode Island Current
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The proposed contracts still required final approval by union members.
The two tentative agreements announced Friday covers the 4,000 state workers under Rhode Island Council 94, as well as a second contract for a coalition of individual bargaining units from local chapters of Laborers’ International Union of North America, Rhode Island Brotherhood of Correctional Officers, Service Employees’ International Union, National Education Association, Rhode Island Federation of Teachers and Health Professionals, United Nurses and Allied Health Professionals, National Association of Government Employees, Rhode Island Probation and Parole Association, and other groups representing state employees.
“Amid a labor shortage in key areas and inflation, we must remain competitive with both the public and private sector as we continue to find new and better ways to deliver services to Rhode Islanders,” Gov. Dan McKee said in a statement. “These agreements strike a fair balance to help support our critical workforce, to address rising prescription and medical costs, and to standardize our operations. There are fewer jobs more important than the ones directly serving individuals and families in our beloved state, and it is important to me that we can retain a talented, skilled and mission-driven workforce to continue this critical work.”
As proposed, state workers would see their wages boosted 5% in fiscal 2025 — applied retroactively to the July 1 pay period — with subsequent increases of 4% in fiscal 2026 and 3% in fiscal 2027.
The fiscal 2025 cost-of-living adjustment will cost the state $60.4 million in fiscal 2025, including $34.7 million in general revenue, though the estimate does not cover potential increases in wages for state correctional officers and state troopers, according to Cassius Shuman, a spokesperson for the Rhode Island Department of Administration. The state budget director previously warned about the cost of the then-pending collective bargaining agreement in a July memo about the forecasted structural deficit.
The contract could also save the state an estimated $3.3 million in prescription drug costs by adding a drug cost management program to its health care plan. The proposal would also save plan members money on out-of-pocket costs for certain specialty drugs.
Another change proposed to the state health care plan would save an estimated $1.2 million in state costs through a virtual musculoskeletal program to treat plan members with joint and muscle pain.
Acknowledging the difficulty to recruit and retain employees, the contracts also add more upfront vacation time to employees who have worked for the state for less than 20 years, and more overall vacation time for workers who started less than 10 years ago.
Finally, the contracts add standard language in anticipation of a new human resources, payroll and finance system expected to launch next year.
State union members are expected to vote on the proposed contracts over the next few weeks, after which results will be announced, said Michael McDonald, state vice president for Council 94.
“This tentative agreement provides our members with fair and equitable raises and ensures the continued provision of high-quality state services that the citizens of Rhode Island demand and deserve,” McDonald said in a statement. “Our negotiating committee appreciates the thoughtful dialogue that occurred with Governor McKee’s administration.”
Carly Iafrate, an attorney who negotiated on behalf of the coalition of other relevant, local bargaining units, also praised the agreement for reflecting “fair wage increases.”
“We are extremely pleased we were able to reach a fair agreement with the State and to do so efficiently,” Iafrate said. “We look forward to the ratification process with our members.”
The last contract with state union workers, approved in 2021, included a $3,000 bonus for workers who got vaccinated against COVID-19 in addition to 2.5% annual wage increases. That contract ended on June 30, 2024.
Updated to include copies of proposed contracts and the estimated cost for wage increases in fiscal 2025.
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