Culver, union deal to save jobs headed to membership vote

DES MOINES – Gov. Chet Culver and the leader of a union representing the largest group of Iowa's state employees announced an agreement to save nearly 500 state jobs with unpaid days and benefit reductions.

The deal with the American Federation of State, County and Municipal Employees Iowa Council 61 must still be voted on by the union's membership.

The agreement includes five mandatory unpaid days between now and June 30, which is expected to save about $22.7 million.

The state's contribution to employees' deferred compensation also will be temporarily suspended until June 30, for a savings of $3.7 million.

The total savings of $26.4 million is expected to save 479 AFSCME jobs.

Culver ordered a 10 percent across-the-board cut to state government spending to respond to a sharp drop in revenues. The governor sought concessions from the union in order to avoid the layoffs of state workers, especially state troopers and correctional officers working in state prisons.

“I want to thank the leadership at AFSCME for joining with us to save these essential public service jobs,” Culver said in a statement. “This understanding will help preserve vital services for Iowans while meeting our obligation to balance the state budget. This is a positive step forward, and I encourage the membership to vote yes on this measure.”

Iowa Council 61 President Danny Homan said if it is not approved by the union's membership, layoffs are expected to be ordered by Culver.

Around 9,000 AFSCME members are eligible to cast ballots. Voting will begin no later than Nov. 19 and will take place at 31 locations around the state.

The union represents about 20,000 workers, and Homan said employees are joining the union “in droves” because they want a say.

Homan stressed that the understanding reached with Culver is not a reopening of the union's collective bargaining agreement with the state and that the union engaged in the talks to save jobs.

“That is the only reason we were at the table, and we feel we have done our best to achieve that goal,” Homan said at a news conference Monday afternoon.

Homan called the proposal an understanding that if approved, would be formalized into a “memorandum of understanding.”

He said the union does not expect to engage in further talks with the state, but would continue to look to long-term solutions to put Iowa's budget back on track.

Under the terms of the agreement, no member of the union who is an executive branch employee can be laid off until June 30, the end of the current fiscal year. Employees outside the bargaining units who are laid off will not be allowed to displace AFSCME employees.

Culver spokesman Troy Price said the governor's office is still talking to other unions representing state workers to see if other opportunities exist to save the jobs of their members.

Price did not know at this point how many non-union members might be laid off.