06 Okt Sebac 2009 Agreement
Since the first SEBAC agreement – arbitration decision of 1989 – SEBAC and the State have negotiated eight agreements that have modified the health and pension benefits of public workers, created new benefits for workers, modified state contributions to the State Employees Retirement System (SERS) and/or achieved savings in the state budget through staff concessions. The biggest reform was the closure of animal 1 to new employees, which took place in 1984. Since then, all new employees have been recruited in stages, well funded and fairly moderate. At that time, collective bargaining offered a fact-finding process that ultimately created Animal 1. The report of events was subsequently approved by the General Assembly. The next change took place in 1997, when the parties signed the 20-year pension contract and created animal 2A, which increased workers` contributions by 2%. Among the principles that the parties agreed on during their discussions, the most important was “maximize gain while minimizing pain.” This principle was neither perfect nor perfectly rewarded. But the final deal was the result of a combination of that principle and the realization by both sides that the cost of no deal could be catastrophic for officials, the administration, and all Connecticut residents. Here are the elements of the agreement: 3. RENEWAL OF THE CONTRACT: there are only 6 years left in “SEBAC 5”, the agreement on pensions and health, which covers all state employees.
As a long-term positive transformation requires stability, the SEBAC 5 agreement is extended for a further five years, until 30 June 2022. Instead, workers in “capped units” – those whose longevity amount has been set since 1977 – will give up paying in October 2011. Uncapped units give up the same amount as if they were capped and ensure equal sacrifices (managers are asked to give up at least as much and, if not, workers will not give up anything). After 1 July 2011, newly recruited workers without a public service are not entitled to longevity payments unless they had previously performed military service. All other longevity payments for current workers are maintained, although workers do not exceed new levels of longevity until the third year of the 2013 contract (first payments for 10, 15, 20 or 25 years of service). . . .