State Reaches Agreement with Govt. Workers’ Union

By Wendy Osher

Photo © Wendy Osher 2009.

The State of Hawai’i has reached a two-year contract agreement with the Hawai’i Government Employees Association. Governor Neil Abercrombie announced the agreement today, saying it ends the two-day-a-month furloughs in the current contract that resulted in a 10 percent decrease in base pay.

The state expects to save $65 million in the first year and $59 million in the second year of the contract.

Under the agreement, there will be an equal 50/50 contribution from the government and public employees for public workers’ health benefits.  Under the current contract, state and county governments pay 60 percent.

The new contract also calls for a 5 percent reduction in base pay for public employees without furlough days or layoffs.

The contract, if approved would become effective on July 1, 2011 and run to June 30, 2013.

“Since the beginning of our administration, we have talked about shared sacrifice as the pathway to changing Hawai’i,” Gov. Abercrombie said. “Today, the Hawai’i Government Employees Association stepped forward to do their part by making a sacrifice to help all people of Hawai’i,” he said.

The agreement still requires a ratification vote by HGEA members.

Contracts for the United Public Workers, Hawai’i State Teachers Association, State of Hawai’i Police Officers Union and Hawai’i Fire Fighters Association are still under discussion.

***Supporting information courtesy State of Hawai’i, Office of the Governor.