TO: HONORABLE MAYOR FROM: Jennifer Schembri
AND CITY COUNCIL
SUBJECT: SEE BELOW DATE: May 30, 2023
Approved Date
6/1/23
SUBJECT: AMENDMENT TO PAY PLAN AND TERMS OF SIDE LETTER
AGREEMENT BETWEEN THE CITY OF SAN JOSE AND THE
ASSOCIATION OF MAINTENANCE SUPERVISORY PERSONNEL,
IFPTE, LOCAL 21 (AMSP)
RECOMMENDATION
Adopt a resolution:
(a) Approving the terms of Side Letter Agreement between the City and the Association of Management Supervisory Personnel, IFPTE, Local 21 (AMSP) to provide a pensionable base pay increase to the following classification consistent with the Side Letter Agreement that has been signed by all parties, effective June 25, 2023:
(1) Provide employees in the Electrical Maintenance Superintendent (3156) classification with an approximate 8.00% pensionable base pay increase consistent with the Side Letter Agreement that has been signed by all parties.
(b) Amending the City of San José Pay Plan to increase the annual pensionable salary ranges for the following classification effective June 25, 2023:
(1) Electrical Maintenance Superintendent (3156) increased to $134,617.60 - $163,966.40.
SUMMARY AND OUTCOME
Adoption of the resolution will approve the terms of the Side Letter Agreement between the City and the Association of Management Supervisory Personnel, IFPTE, Local 21 (AMSP) to allow for a pensionable pay increase for the Electrical Maintenance Superintendent (3156) classification.
COUNCIL AGENDA: 6/06/2023
FILE: 23-885
ITEM: 2.25
HONORABLE MAYOR AND CITY COUNCIL
May 30, 2023
Subject: Amendments to Pay Plan and Terms of Side Letter Agreement Between the City of San José and the Association of Maintenance Supervisory Personnel, IFPTE, Local 21 (AMSP)
The City of San José Pay Plan will be amended to change the salary range for the classification noted above in accordance with the terms of the Side Letter Agreement and recommendation.
BACKGROUND
Per the terms of an agreement between the City and the International Brotherhood of Electrical Workers, Local 332 (IBEW) that was approved by the City Council in open session on June 28, 2022, the City agreed to provide employees in the Electrician, Industrial Electrician, and Instrument Control Technician series with a special on-going 5% pensionable base wage increase effective August 7, 2022. This resulted in an increase to the top and bottom of the salary range for employees in those classifications.
The City later became aware that the Electrical Maintenance Superintendent classification, a single position classification within the City that is represented by AMSP, experienced salary compaction with the IBEW represented classifications referenced above without further adjustment. On May 19, 2023, the City and AMSP agreed to the terms of a Side Letter Agreement (Attachment) that would provide the salary adjustment provided in the table below . The agreed upon increase will maintain an acceptable salary differential between successive classifications and, based on the current organizational structure, will not require adjustments to any additional classifications.
Classification Pensionable Increase
Electrical Maintenance Superintendent 8.00%
Classification Current Pensionable
Salary Range (Annual)
New Pensionable Salary
Range Effective
June 25, 2023 (Annual)
Electrical Maintenance
Superintendent
$124,654.40 - $151,819.20 $134,617.60 - $163,966.40
In addition to the pensionable rates of pay set forth above, per Article 10.1 of the AMSP Memorandum of Agreement, incumbents in the classification listed above currently receive a 5% ongoing non-pensionable compensation increase.
Because salary compaction has existed since August 7, 2022, the parties have agreed to provide the sole incumbent in the classification of Electrical Maintenance Superintendent, who began occupying the position prior to August 7, 2022, with a one-time non-pensionable lump sum payment in the amount of $10,278.40 which represents a retroactive payment to August 7, 2022, when the salary compaction issue was created. This payment shall be made in the first full pay period after approval of this memorandum by the City Council.
HONORABLE MAYOR AND CITY COUNCIL
May 30, 2023
Subject: Amendments to Pay Plan and Terms of Side Letter Agreement Between the City of San José and the Association of Maintenance Supervisory Personnel, IFPTE, Local 21 (AMSP)
ANALYSIS
The following is a summary of the key provisions contained in the Side Letter Agreements:
Electrical
Maintenance
Superintendent
(3156)
Effective June 25, 2023, employees in the Electrical Maintenance Superintendent (3156) will receive a pensionable base pay increase of approximately 8.00%. This will result in both the top and bottom step of the pay range being increased by approximately 8.00%.
One-Time Non-
Pensionable Lump
Sum Payment
Effective the first full pay period after approval by the City Council in open session, the incumbent in the Electrical Maintenance Superintendent (3156) classification will receive a one-time non- pensionable lump sum payment of $10,278.40.
It is recommended that the City Council adopt the Administration’s recommendation outlined in this memorandum which provide the salary increase listed above.
EVALUATION AND FOLLOW-UP
No further follow-up with the City Council related to this action is anticipated at this time.
COST SUMMARY/IMPLICATIONS
The estimated additional ongoing costs associated with the AMSP Side Letter Agreement related to the Electrical Maintenance Superintendent classification is approximately $17,000 in the General Fund. There will also be a one-time cost in 2022-2023 of $10,278.40. It is anticipated that the one-time cost of the lump sum payment in 2022-2023 will be absorbed within the department’s existing budget. In summary, for 2023-2024, the increased costs in all funds total $27,278.00. It is also anticipated that the ongoing costs in 2023-2024 will be absorbed, to the extent possible, within the department’s existing budget, and will be factored into the development of the 2024-2025 Base Budget.
COORDINATION
This memorandum was coordinated with the City Manager’s Budget Office and the City Attorney’s Office.
HONORABLE MAYOR AND CITY COUNCIL
May 30, 2023
Subject: Amendments to Pay Plan and Terms of Side Letter Agreement Between the City of San José and the Association of Maintenance Supervisory Personnel, IFPTE, Local 21 (AMSP)
PUBLIC OUTREACH
This memorandum will be posted on the City’s Council Agenda website for the June 20, 2023 City Council meeting.
COMMISSION RECOMMENDATION AND INPUT
No commission recommendation or input is associated with this action.
CEQA
Not a Project, File No. PP17-010, City Organizational & Administrative Activities resulting in no changes to the physical environment.
PUBLIC SUBSIDY REPORTING
This item does not include a public subsidy as defined in section 53083 or 53083.1 of the California Government Code or the City’s Open Government Resolution.
JENNIFER SCHEMBRI
Director of Employee Relations
Director of Human Resources
The principal author of this memorandum was Carolyn Gibson, Senior Executive Analyst in Employee Relations. For questions, please contact Jennifer Schembri, Director of the Office of Employee Relations and Director of Human Resources, at (408) 535-8150.
ATTACHMENT
Side Letter Agreement with AMSP- Base Pay Increase – Electrical Maintenance Superintendent
05/19/23
5/19/2023
Attachment