Vallejo Approves Deal To Avoid Bankruptcy

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(Sacramento, CA)
Tuesday, March 4, 2008

The deal calls for a 6.5% pay cut for police and fire employees.

But community activist Marc Garman is critical of the plan. He edits a website called Vallejo Independent Bulletin. Garman says the deal is just a band-aid.    

"The union’s giving up 6.5% of their raises -  they’re still getting a 2% raise this year because they got 8.5%. So they’re giving up the greater portion of their raise for four months only and they’re getting a one year contract extension and the city is waiving any rights to pursue grievances we have with the unions." 

If the council votes in favor of a fiscal emergency plan and a tentative labor settlement with police and fire unions, the city will not immediately file for Chapter 9 bankruptcy protection. Without the agreement, Vallejo officials say the city could run out of money to pay its employees by April.