Teachers? agreement juggles wages, insurance, layoffs

St. Paul public school teachers will vote Nov. 14 on a two-year contract that balances wages against higher health-care premiums. The contract also tries to minimize layoffs by offering additional incentives for early retirement.

The contract would provide a 2.5 percent general wage increase its first year, but nothing the second year, said Barbara Wencl, president of St. Paul Federation of Teachers Local 28. Instead, the school district will kick in $115 more a month toward medical benefits the second year, after increasing its contribution by $20 a month the first year.

The district pays a flat dollar amount into a cafeteria benefits plan, Wencl said. The increased contributions mean teachers generally still will not have to pay premiums for individual health coverage, she said. However, because employees can choose from a variety of benefits, it?s difficult to say exactly what percentage the district pays for health insurance itself.

The first-year wage increase would be retroactive to June 30. Step and lane increases would remain in effect the second year, even though there is no general wage increase, Wencl said. Most teachers are eligible for those increases, which average about 2.5 percent, she said.

The proposed contract also offers a $2,500 incentive for teachers who retire before next school year. That?s on top of another $2,500 incentive for teachers who give notice by March 1 that they?ll retire before September.

The goal is to minimize layoffs among younger teachers, Wencl said. ?I believe if two senior teachers retire, we would be able to keep three younger teachers.?

The school district anticipates a $16 million deficit for the 2004-?05 school year, which almost certainly means layoffs. The district has eliminated more than 400 positions in the past two years, including more than 200 teaching jobs.

The local?s executive board is recommending ratification. ?We?re trying to get the best possible overall package, knowing we?re in a pretty tough economic environment,? Wencl said.

Adapted from The Union Advocate, the official newspaper of the St. Paul Trades and Labor Assembly. E-mail The Advocate at: advocate@mtn.org

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