Board approves two union contracts, but future consequences unknown

At its April 2 meeting, the Riverside County Board of Supervisors
approved new contract extensions with two county unions — Service
Employees International Union (SEIU), Local 721 and Laborers’
International Union of North America (LIUNA), Local 777.

Supervisor Kevin Jeffries (1^(st) District) voted against the new
agreements because of his concern about their effect on future costs and
the possibility that staffing levels may then have to be reduced. While
he favored the pay increases for the lower waged employees, he feared
the long-term broader consequences of these increases on the overall
county budget.

The SEIU contract includes pay and benefit increases. This replaces the
current contract that expired Jan. 29. The new contract will go through
Jan. 29, 2027.

The salary increases total 13% over the contract’s three-year period.
The first raise will be 5% effective March 21. Then 4% increases May 6,
2025 and May 5, 2026 for a compounded total of 13.6%. Other provisions
included the addition of Juneteenth (June 19) as a county holiday and
possible staffing or caseload adjustments in the Child Services
Division.

The current LIUNA contract, which expires in October 2024, includes a
“fairness” provision that grants LIUNA members any pay and benefit
compensation increases granted to SEIU members.

Consequently, LIUNA members will receive the 5% compensation increase
this year and the benefit of the Juneteenth holiday. No other SEIU
provisions or changes will be included in the current LIUNA contract.

“This agreement embodies the willingness of both sides to listen,
compromise and no longer repeat the mistakes of the past,” said Eloy
Alvarz, SEIU chief negotiator.

He also thanked the board for its commitment to reduce the use of
contractors at the Riverside University Health System’s Medical Center
and also for including language regarding caseloads for social service
practitioners.

Although he opposed the final agreements, Jeffries acknowledged that he
respected all the negotiators. Nevertheless, the total cost of the final
agreement weighed heavily on his concerns for the county’s future
financial state.

The estimated combined cost of both contracts is about $342 million,
according to the staff memorandum to the board. Jeffries noted that the
future budgets will include these costs and then likely management pay
increases, CalPERS increases and, already the Sheriffs Association is
asking for early negotiations.

He estimates that over several years, the ultimate costs to increase
compensation and benefits for all the labor groups would approach $600
million, “which is pretty much our entire reservoir fund for this county
…

“While we can’t afford not to do this, from my review of the books, we
also cannot afford to do this,” he concluded.

“I want to be proven wrong, absolutely wrong, then in a year or two from
now, this board will not be dipping into reservoirs, will not be laying
off employees, and will not be eliminating positions by the thousands,”
he lamented.

Although his colleagues are not oblivious to the potential financial
difficulties, they also were concerned about being able to provide
services to county residents.

“I can’t believe that gloom and doom is here yet,” Chair Chuck
Washington (3^(rd) District) said. “We’re well positioned to adapt when
we see economic downturn.”

But Supervisor Yxstian Gutierrez (5^(th) District) expressed his concern
about “… the low salaries and exodus of staff going to other counties.”

Supervisor Karen Spiegel (2^(nd) District) voted for the contracts
despite the potential financial problems. While acknowledging staff
vacancies and losses, she also noted that the county does not have the
financial flexibility that cities and the state have.

“This is definitely stepping outside my comfort zone. But I know that
other counties pay better and I have the fear of losing employees and
taking backward steps,” she stated.

“We’ll be on eggshells the next few years,” Spiegel opined. “This may be
better pay but there may be a time where we’ll have less employees. But
I want to support you.”

The final vote was 4-1 on both contract motions, with Jeffries the lone
opposition.