Fremont City Council Meeting: 04/01/25 07:00 PM
3300 Capitol Avenue Div/Dept: Human Resources
Fremont, CA 94538 Category: Labor Relations
SCHEDULED
Sponsors:
COUNCIL STAFF REPORT (ID # 5386) DOC ID: 5386
Updated: 3/28/2025 8:28 AM by Dina Lewis Page 1
TEAMSTERS, LOCAL 856 MOU – Authorize the City Manager to amend the Memorandum of Understanding with Teamsters, Local 856
Contact Persons:
Name: Tina Gallegos
Title: Human Resources Director
Div/Dept: Human Resources
Phone: 510-494-4652
E-Mail: [email protected]
Executive Summary: This report requests that the City Council authorize the City Manager, or her designee, to enter into a side letter agreement with the Teamsters, Local 856 Union to amend the current Memorandum of Understanding (MOU) between the two parties. The proposed amendments to the MOU include a 2% increase in base wage for Police Communications Dispatchers (Dispatchers) classification and a 4% increase in base wage for Police Communications Dispatch Supervisors (Dispatch Supervisors) classification.
The Police Communications Dispatch Unit has experienced a high turnover in personnel, which has contributed to the Unit having a current vacancy rate of 27%. This significant vacancy rate underscores the urgency of enhancing the City’s ability to fill these positions by ensuring salaries are competitive in a difficult talent market. The proposed wage increases are a key step in addressing this staffing challenge and ensuring that the City can continue to provide essential emergency services.
In addition, the structure of the City of Fremont’s Dispatch Center is unique because it serves both the residents of Fremont and Union City. The arrangement between the two cities for consolidated dispatch services has been in place since 2015 and the current high vacancy rates directly affect both cities. This also means that Dispatch Unit staff must be trained and gain expertise in two distinct dispatch processes. Therefore, in recognition of the distinct job duties of the Fremont Dispatch Unit staff and given the results of a recent compensation study of comparable positions, staff recommends the general wage adjustment described above.
BACKGROUND: The City of Fremont reached agreement in June 2022 with the Teamsters for a three-year Memorandum of Understanding (MOU) covering the period of July 1, 2022, through June 30, 2025. The Teamsters bargaining unit represents 95 current members, which includes 26 Dispatchers and 7 Dispatch Supervisors.
As mentioned, the City of Fremont’s Police Dispatch unit plays a critical role not only for the City of Fremont, but also for the City of Union City. This dual-city model requires a high level of coordination and integration to ensure effective service delivery for both communities.
Union City contributes to this model through a funding agreement and by providing resources that help maintain staffing levels and equipment necessary to run the consolidated dispatch center. This long-standing partnership has created some efficiencies in operations and cost-sharing, which was intended to ensure both cities could deliver a higher level of service than they might individually provide.
Council Staff Report (ID # 5386) Meeting of April 1, 2025 Updated: 3/28/2025 8:28 AM by Dina Lewis Page 2
Given the current vacancy rate of 27% in the Police Communications Dispatch unit, HR staff and Teamsters representatives have engaged in the meet and confer process to discuss and negotiate ways to more effectively recruit and retain employees. As part of this process, HR staff conducted a comprehensive salary survey, which indicates that total compensation (meaning salary plus benefits) for these two classifications is significantly below the labor market median amongst comparable cities. The Dispatchers are 4.08% below the market median and the Dispatch Supervisors are 8.78% below the market median. To address the results of the comprehensive salary survey, HR staff and Teamsters Union Representatives agree that a 2% and 4% salary adjustment would not only make the City’s compensation more attractive to candidates for these positions but would also assist the City in retaining trained and experienced staff.
This proposed 2% base wage increase for Dispatchers and 4% base wage increase for Dispatch Supervisors has been tentatively agreed upon by both parties and staff now seeks City Council approval.
DISCUSSION/ANALYSIS: The proposed side letter agreement with Teamsters includes revisions to the MOU to increase compensation. Specifically, the side letter agrees to amend Article 2, Section 1 of the Teamsters Memorandum of Understanding to include the following language:
Article 2, Section 1: Salaries
• Effective as soon as administratively feasible following Teamsters Union ratification and City Council authorization, Police Communications Dispatchers will receive a base wage increase of 2.0% and Police Communications Dispatch Supervisors will receive a base wage increase of 4.0%.
FISCAL IMPACT: The Fiscal Year 2024/25 financial impact of the proposed compensation increases is estimated to total $44,985. This total is partially offset by the consolidated dispatch services agreement with the City of Union City.
ENVIRONMENTAL REVIEW: The proposed union side letter is exempt from and not subject to review under the California Environmental Quality Act (CEQA) because, without limitation, it is not a “project” as defined in CEQA Guidelines Section 15378(b)(2) and/or 15378(b)(5), and it can be seen with certainty that there is no possibility that the action may have a significant effect on the environment as specified in CEQA Guidelines Section 15061(b)(3), each as a separate and independent basis for CEQA compliance.
ATTACHMENTS: None.
RECOMMENDATION: Authorize the City Manager, or her designee, to enter into a side letter agreement with the Teamsters, Local 856 Union, amending the current Memorandum of Understanding (MOU) between the two parties to adjust base compensation for Police Communications Dispatcher Supervisors by 4% and Police Communications Dispatchers by 2% effective as soon as administratively feasible.