building a betterand more civilConnecticut to live, work, and play. Your email address will not be published. The best long-run thing for the state pension system is to have inflation just at or above 2%. That's an incentive to keep people working after that retirement date.". Retired state employees now get annual cost-of-living adjustments: a minimum of 2 percent and a maximum of 7 percent, depending on inflation. The bonuses, the GOP argued, are hardly the key to retaining workers, as the governor and other Democrats claim. Weve already seen the changing workforce, Luciano said. Though the list of reforms may be exhausting to review, it is far from exhaustive! "The state has to live within its means just like the families and businesses we serve and represent," Lamont said in a statement when the deal was announced. At Yankee Institute, we know Connecticut is a state with boundless opportunity, and we intend to help make our state more than a place where people are just able to make ends meet! Currently, the only way to advance in most agencies is for someone to retire, leaving a specific job open. Theres no way to take on the legacy of mass incarceration other than to undo it, one step at a time. Connecticut state workers to get $3,500 in bonuses under tentative deal Lamont hopes the extra money will slow a wave of retirements before July 1, when pension benefits drop as part of previous union concessions. In a letter to his co-chair in management, Rinker wrote: I predict that some day some one will want to change state employment and the report you signed off on wil be the basis for that change., Change is coming for Connecticut state employees, 2023 Hearst Media Services Connecticut, LLC, Police: Pedestrian killed in crash on Route 9 in Middletown, Police: Horses starved, kept in unsanitary conditions on CT farm, Middletown to restart Bird e-bike, scooter microtransit program, Middletown residents cheer decision to fully replace Pameacha dam, Cromwell man sentenced for carjacking date at knifepoint in 2020, Police: Suspect in Cromwell hotel robbery threatened to use a gun, Middletown Mayor Ben Florsheim begins campaign for 2nd term, 2 Middletown youths charged in connection with school fight, Middlesex County Historical Society to receive 3 historic objects, East Hampton fire department marks 100 years with Bevin cowbells, Police: Pedestrian struck, killed in Route 9 crash in Middletown, New Britain bar's liquor license suspended after serving alcohol to minors, officials say, Police: Horses starved and kept in unsanitary conditions on Middletown property, Police: Threat made to Middletown schools deemed not credible, CT records first cases of new COVID variant Arcturus, transmission remains low, Police: Mystic woman killed, mother and daughter seriously hurt in Gold Star Highway crash in Groton. But that surge followed a nearly decade-long stretch in which state tax receipts from the same source badly underperformed. Administrations come and go, taking with them their priorities. In an effort to mitigate the potential loss of thousands of state employees, Gov. Photos: Iconic Landmarks To Visit Across CT. Thats because state governments coffers are flush with cash as never before. For the average pensioner, receiving $39,887 per year, the COLA increase would amount to an annual increase of $1,435.92. Both are signs of things to come in state government or more precisely, things to disappear. 0:04. Meanwhile, too much of the states work still is done on paper, and the information that is collected digitally cannot be easily shared among agencies, Geballe said. His predecessor, Robert J. Rinker, co-chaired a labor-management committee that addressed some of the same issues now under review. Beginning after the July 1, 2022 cut off, the State has relinquished their obligation to adjust pension payments at least 2% (current minimum) for inflation. The formula used took 60% of the increase in the Consumer Price Index ( CPI-W) up to 6% and . Why? It is unsustainable and, more plainly, unjust. Get CT Mirror emails in your inbox daily. We enable organizations to maximize Sales target achievement using our Sales Incentive & Performance Management Technology. November 3, 2021 @ Its, Well, thats the way weve always done it. . Thermo Fisher Scientific bought the company the same year. Because the state is facing a massive retirement wave, which, if mishandled, could cripple state government. Critics say the deal is too generous and could lead to future tax hikes. But two union leaders say they see the states expectations of a significant retirement wave as well-founded. 4.28.23 We are LIVE with our 11 am/CT. They also cover the next two fiscal years and potentially 2024-25 as well. Thirty percent intend to leave the state upon retirement. Ned Lamont's administration and already ratified by the 35 . will call the "2022 Changes") go into effect as of July 1, 2022(the "Effective Date"). Whoops! Bonuses are prorated for part-time employees. "I think we're in great shape. There are nine classifications for custodians, 12 for assistant attorneys general, and a whopping 221 for program directors. Democratic governors in New York, Pennsylvania and Virginia are temporarily suspending raises for state employees or freezing pay until they can better understand the fiscal impact of the pandemic, but, thus far, Connecticut state employees are still scheduled to receive a second pay increase, projected to cost taxpayers $353 million. DAS says the process was cheaper, nearly paperless, and attracted a diverse pool of applicants with a third more women and minorities and a 105-percent increase in veterans. That marked a 9 percent increase from the previous year, which was the largest yearover-year change since at least 2014-2015, according to a CT Insider analysis of data from the . Private-sector employees can only dream of having that, said Sen. Henri Martin, R-Bristol. Efficiency is easier in concept than in actual practice. 2 Upcoming Changes for CT State Employees Pensions in 2022 State pension spending soared in 2022 - PressReader But Gov. And that was before surging state income and business tax receipts pushed this fiscal years surplus from $2.7 billion to $4 billion. The Senate gave final approval Friday to a four-year package of raises for state employees that includes $3,500 in bonuses to help stem a surge in worker retirements. Theres no way to take on the legacy of mass incarceration other than to undo it, one step at a time. Ellettsville considering $10,000 raise for every full-time employee community-supported public media service, Connecticut Public has relied on donor support for more than 50 years. 2:19 pm. State unions ratify contracts granting raises and $3,500 bonuses Good question Hope I cant find the answer either. CT Mirror is a nonprofit newsroom. Watch Live at 7:00 PM: The U.S. and the Holocaust, a film by Ken Burns | Screening & Panel Discussion . The deal works out to about $40,000 in raises per state employee over four years, Fazio said, which works out to about $1,300 per Connecticut household. When you do good work, you get a bonus, said Lamont. The board has voted to approve the following cost of living increase for January 2023. All Rights Reserved. We were trying to get people not to retire well, thats not what this agreement does, said Sen. Craig Miner of Litchfield, ranking GOP senator on the Appropriations Committee. Geballe said the administration has a vision of where to go with technology, primarily by offering consumers and businesses a digital portal to state government. Access all Premium Content and the E-Edition for 1 day. State and union officials are expected to meet again in the fourth year to negotiate wages. If you have employees affected by the . Some of the features on CT.gov will not function properly with out javascript enabled. Its also imperative that we do so. Example: Tier I Benefit Estimator: The following benefit Estimator provides estimates of the Plan B Reduction: (Tier I benefit Estimator) Cost of Living Adjustment. The state and unions have the option of continuing the same level of raises for the fiscal year beginning July 1, 2024, or they can negotiate different compensation levels. The state of Connecticut is in the best financial condition that I can recall, being up here 10 years, said Rep. Michael DAgostino, D-Hamden, who led the debate in favor of the raises. If inflation were 1% Then the absolute COLA would be low, but the burden on the state budget and taxpayers would be growing, because inflation under 2% leads to a real pension burden increase. functions now spread across agencies, just as Raymond recently struck a five-year deal with Microsoft that replaces a dozen separate agency agreements. But we have a bonus that starts after July 1. Were still largely in a world by the way, very similar to most every other state where there are numerous processes which are still paper based, which are still highly manual, which rely on very old custom software, Geballe said. This news story is funded in large part by Connecticut Publics Members During that time Connecticuts average pension payment increased 15 percent from $34.589 in 2015 to $39,887 in 2020. About 1,700 management-level state employees will receive pay raises, an effort by Gov. This deal was billed as a retention effort, said Rep. Laura Devlin, R- Fairfield, who is campaigning for lieutenant governor as the running mate of GOP gubernatorial contender Bob Stefanowski of Madison. Each of the 3.6 million residents in Connecticut rely on the critical public services state workers provide whether you are standing in line at the DMV, attending a technical school, community college or state university, getting treatment at UConn Health, driving on our roads and bridges, enjoying a state park or beach, or any of the other ubiquitous public services you will be uplifted by these fair and honorable contracts, the State Employees Bargaining Agent Coalition wrote in a statement after the Senate vote. Weve seen clerical workers go from a high of almost 9,000 to 4,000.. Critics say the deal is too generous and could lead to future tax hikes. Amazon and others in the private sector have made it very easy to envision what that future could look like, if you think about online shopping or online bank services, Geballe said. 1 Killed, Child Critically Injured In Major Highway Crash: CT News, Meteorologist Leaves TV News To Take Over Family Business: CT News, 3 Soldiers Killed After 2 U.S. Army Helicopters Crash In Alaska. It seems that JavaScript is not working in your browser. Watch Live at 7:00 PM: The U.S. and the Holocaust, a film by Ken Burns | Screening & Panel Discussion . Connecticut holds $3.1 billion in its rainy day fund, equal to 15% of annual operating costs the maximum allowed by law. Ned Lamont is negotiating a new wage contract with the State Employees Bargaining Alliance Coalition. Geballe is commissioner of the Department of Administrative Services, the blandly named agency at the heart of the state bureaucracy. Osten said the raises reflect the valuable work state employees provide daily, and particularly throughout the coronavirus pandemic. The raises would cost the town about a half . Please reload the page and try again. The contracts allow workers to accept the $2,500 extra payment and still retire before July 1. Ned Lamont's administration and a coalition of . Bonuses would be prorated for part-time employees. Michelle Lee. Paper versus electronic records is just one of so many, Glidden said. 2022 Retirement Changes for CT State Employees The only Tier II members who are required to make retirement contributions are: Individuals serving in hazardous duty positions; and Individuals who elected to pay an additional contribution to maintain the current normal retirement age. in its annual Fiscal Accountability Report. Connecticut Property Taxes In Every Town: Who Pays The Most? And that total is expected to grow considerably between now and July 1. Connecticut should be a place where everyone can thrive and with your help, it will be. Best Sales Performance Management Software Company So, more outsourcing would compound the squeeze on the nonprofits, either rendering their condition even more precarious or necessitating a significant increase in their reimbursement rates. Hartford lawyer Daniel Livingston, chief negotiator for the State Employees Bargaining Agent Coalition, or SEBAC, estimated that going with one-time bonuses and a smaller 2.5% annual cost-of-living raise saves the state about $150 million over the next decade. The agreement would cost the state nearly $1.9 billion over four fiscal years, according to nonpartisan fiscal analysts. It includes 2.5% raises for four straight years that would be retroactive to July 1, 2021. The legislature's Appropriations Committee endorsed significant raises and $3,500 in bonuses Monday for about 46,000 unionized state employees. The contracts allow workers to accept the $2,500 extra payment and still retire before July 1. Youll notice when you look around here, there is no paper. Critics also balk at the cost. Automation is a word that makes unions nervous, even as they acknowledge the nature of work is changing. They are our people, who we count on each day to make us safe, she said. Were not attracting innovation and industry. October 25, 2021 @ Government bureaucracies are notoriously resistant to change, layered with the accretion of rules, processes, union contracts, all contributing to a workplace culture. Some Republicans have said the hefty bonuses are only an election-year stunt from Lamont, a Democrat, to shore up his standing with his labor base. In addition, full-time workers would receive a $2,500 bonus in mid-May and another $1,000 bonus in mid-July. Pay Raise Victory! Welcome News, Long Overdue - TSEU-CWA 6186 Lamont, who said that in June 2020 when asked about the pay raise to take effect just days later on July 1. The agreement would cost the state nearly $1.9 billion over four fiscal years, according to nonpartisan fiscal analysts. Its also done with the best financial interests of the state at heart.. The Democratic-controlled Senate voted 22-13 along party lines to approve the contracts, which cover about 46,000 workers the bulk of the state's workforce. Last March, in a report that received relatively little media coverage, Boston Consulting Group documented that 27 percent of the state workforce is eligible to retire before June 30, 2022, and that about three-quarters lean toward retirement. Keith is a graduate of and a former journalism instructor at the University of Connecticut. Tier II is a non-contributory defined benefit retirement plan for most members. This proposed contract is a raw deal for the working people of this state, said Sen. Ryan Fazio, R-Greenwich, who noted state workers, on average, would receive more than $10,000 in total added compensation over four years. SEBAC employees who are employed before March . A wave of state employee retirements is expected in the coming months, resulting in an "unprecedented" loss of knowledge and skills, some officials say. 2016 CT.gov | Connecticut's Official State Website, regular People know not to bring paper in here, said Josh Geballe, a former IBM executive and tech entrepreneur. Marc was a 2014 Robert Novak Journalism Fellow and his work has appeared in The Federalist, American Thinker, The Skeptical Inquirer, World Net Daily and Real Clear Policy. In the prison system, there are separate classifications for supervisors of correctional industries, auto mechanics, data entry, printing, clothing, and general industries. By the latest estimates of the comptroller's office, 14,764 state employees a quarter of the workforce will be eligible to retire on July 1, 2022, when a concession deal negotiated in . The deal is now final since the state Senate and House approved it. Thats because state governments coffers are flush with cash as never before. The nonpartisan Office of Fiscal Analysis estimates the contract will cost the state $1.87 billion over three years. The comptrollers office cautions that some those eligible to retire will not yet have earned full retirement benefits, giving some an incentive to stay. What will our elected officials be working on to improve policy outcomes for Connecticut residents? Ned Lamont and president of state's network of community colleges square off in showdown over state funding. They would then get the same increase on July 1, 2022 and again on July 1, 2023. Ned Lamont previously touted the agreement as a way to retain state employees amid a wave of potential retirements. Not the fact that Connecticut has had a big contraction in its workforce during the pandemic of about 6 percent and a top 10 unemployment rate, currently exceeding 7 percent, versus a national average nearing 5 percent. EVENT: Mark Pazniokas will sit down with Gov. There are also new bonuses: $2,500 next month and an extra $1,000 in mid-July. The contracts, which Gov. Its a matter of whether we can afford it.. That includes Gov. Get CT Mirror briefings with enterprise reporting, investigations and more in your inbox daily. Thats when more stringent limits on state retirement benefits, negotiated as part of a 2017 concessions deal with unions, take effect. A third of the state workforce is going to retire in the next three years, Geballe said. Gov. But Osten said the agreements are essential to maintain a state workforce that is at its smallest size since the 1950s, an argument Lamont has made as well. I would say that largely we havent seen that partnership happen, but we continue to have the door wide open, Glidden said. Manager salaries have not kept up with union salaries so in a lot of cases you have mangers that are earning less than the employees reporting into them, said Melissa McCaw, the states budget director. My hypothesis coming in was that there are going to be more similarities to how we solve some of the challenges we have than differences, private to public, Geballe said. This proposed contract is a raw deal for the working people of this state, Sen. Ryan Fazio (R-Greenwich) said. It is cloud-based, lessening the states reliance on servers, improving security and taking a step toward the ultimate goal of easing the sharing of data and documents among agencies. The Victory Channel is LIVE with Victory News! 4.28.23 - Facebook The year over year increases drive up the amount paid out by Connecticut's severely underfunded State Employee Retirement System. See stories by Keith M. Phaneuf / CTMirror.org, Love Wins at WCSU benefit concert for saxophonists daughter lost at Sandy Hook, Week in CT News: Se'Cret Pierce killing, what's in our water, Zero interest loans are back for some home buyers in Connecticut, Erica Lafferty has been fighting since Sandy Hook. State Employees Bargaining Agent Coalition. The increases, part of a four-year package negotiated by Gov. And that total is expected to grow considerably between now and July 1. It is tone deaf and appears to even regular folks like me to be pandering to special interests in an election year.". More than 30 state employee bargaining units have ratified contracts that would provide more than 40,000 workers with $3,500 in bonuses by July, along with three years of raises, the State. Sen. Cathy Osten defending the SEBAC deal. 1 Killed, Child Critically Injured In Major Highway Crash: CT News, Meteorologist Leaves TV News To Take Over Family Business: CT News, 3 Soldiers Killed After 2 U.S. Army Helicopters Crash In Alaska. The Senate gave final approval Friday to a four-year package of raises for state employees that includes $3,500 in bonuses to help stem a surge in worker retirements. Several Republican lawmakers decried the deal and said it would exacerbate Connecticuts fiscal woes. 13 Week Package - $38.87 / 13 Weeks. 1 Week Subscription - $2.99 / 7 Days. 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