By Steve Gunn
EAG Communications
EAG Communications
EDWARDSVILLE, Ill. – ‘Tis the season for teachers union contract negotiations in school districts across America, and the process will remain extremely difficult this year.
That’s because thousands of public school districts remain in financial jeopardy, with budget deficits running in the six and seven figures. Rising costs, declining enrollment, cuts in state aid and the loss of federal stimulus money have contributed to the shortfalls. To make up for those deficits, most school boards have two choices. Assuming they lack the legal or practical power to raise local property taxes, they can either lay off younger teachers and cancel student programs, or turn to their unions for modest concessions to help save their districts money.
The latter option makes a great deal of sense, since a typical school district spends about three-quarters of its total budget on labor costs, mostly for salary and benefits for union employees.
Many school boards across the nation have already determined that union concessions are necessary for the financial health of their districts. And in some instances the unions have been surprisingly cooperative.
One example is the Marysville, Michigan district, where the teachers union recently agreed to a new collective bargaining agreement that freezes their wages for 2012-13 and imposes higher costs on teachers for health insurance and pension contributions. The concessions are expected to save the district roughly $950,000 per year, according to published reports.
“This speaks volumes about our teachers’ dedication to our community and students,” Marysville Superintendent James Cain told the media.
In other districts, there’s no guarantee of union cooperation, but bold administrators and school boards are willing to push for concessions. That’s certainly the case in the Edwardsville, Illinois school district, where longtime Superintendent Ed Hightower says he’s ready for some tough negotiations.
Hightower has watched his school board cut roughly $7 million from the budget over the past three years without any layoffs. He recalls approaching the teachers union for concessions two years ago, only to be turned away.
He’s also watched tax bills get more expensive for property owners struggling in the current economy. Now he says he’s ready to demand concessions from the teachers union when negotiations begin on a new collective bargaining agreement this spring.
“Seventy-six percent of our revenue comes from taxes, and I’ve watched as so many taxpayers have struggled with unemployment and trying to avoid foreclosures,” Hightower told EAG. “When do you get to the point where you’re overtaxed?
“I’ve had communications with the community and with employees, and I’ve told them there are going to be concessions.”
But in some unfortunate school districts, school board members appear hesitant to ask their unions to give up anything, despite the fact that the unions control a huge portion of the budget.
And when board members dare to mention union concessions, they are frequently met with hostility from union leaders who would rather lose young members, and forfeit student programs, then allow more senior members to give up a penny’s worth of salary or benefits.
Unions held harmless in some districts
The Mesa County Valley school district in Grand Junction, Colorado is seriously considering cutting down to a four-day school week next fall to help erase an $8.1 million deficit. A detailed newspaper story about the district’s financial problems made no mention of any type of concessions from the teachers union or any other type of union.
The Duluth, Minnesota school board recently voted to cut $4 million from its budget next year. The plan includes cutting the middle school schedule from seven classes to six, reducing the special education staff, increasing class sizes, cancelling several music programs, cancelling special early morning classes for freshmen, reductions in the school bus fleet, eliminating a special preschool program, and laying off numerous teachers and other staff members, according to a published report.
The district superintendent told a reporter that “We’re really to the point where anything that we cut is cutting into the very core of what we do.”
The teachers union was not asked to accept any concessions, and certainly did not offer. At least one school board member mentioned the possibility of targeting employee health benefits, but the district chose to wait to address that issue next year, when a new contract is negotiated, according to the newspaper report.
The president of the teachers union recently suggested that taxes should be increased to cover the deficit, despite the economic hardships facing many residents. And he didn’t sound eager about negotiating for concessions next year, either.
“All things are on the table, but remember, time and time again we hear how important it is to both attract and keep quality teachers,” union president Frank Wanner was quoted as saying. “We’re doing more and not making more. Is it then fair to ask the teachers to actually make less?”
In Quincy, Illinois, the school board recently announced plans to eliminate 34 jobs, cancel several student programs and increase class sizes to erase a $1.5 million budget deficit. It was the fifth straight year the district has cut costs without serious concessions from unions.
The school board recently signed a new contract with the teachers union, and it didn’t include any serious cuts in labor costs, according to Assistant Superintendent Christie Dickens. Teachers did agree to accept a smaller raise than usual, she said.
Several school board members wanted to reopen contract negotiations with several support staff unions in an effort to save money, but the idea went nowhere, according to Dickens.
“There was some discussion, no action,” Dickens said.
“There was some discussion, no action,” Dickens said.
In the Washoe, Nevada school district, officials plan to use what’s left of their reserve funds to deal with a $40 million deficit in the 2012-13 school year, according to a published report. But they have no idea how to manage a projected $80 million deficit the following year.
The need for union concessions has apparently occurred to school board members. Board President Ken Grein told a reporter that “ninety percent of our budget is people,” and a newspaper story pointed out that the teachers union recently “fought off” an attempt to cut teacher salaries. All nonunion employees have already accepted a 2.5 percent pay cut.
There was no mention of any plan to try again for union concessions.
