REP FC 105 07/01/1997 1996-1998 - Laserfiche WebLink

Home

REPORT OF THE COMMITTEE ON FINANCE DATE: July 1, 1997 Re: Comm. No. 340 PLACE: Councilroom ~ TIME: 10:40 A.M. Chair and Members Hawaii County Council Hilo, Hawaii 96720 Your Committee on Finance, to which was referred Resolution No. 103, reports as follows: Resolution No. 103, transmitted by Mayor Stephen K. Yamashiro, via Communication No. 340, dated June 3, 1997, approves the cost adjustments agreed upon by the employers for excluded managerial employees covered by Chapter 77 of the Hawaii Revised Statutes. Pursuant to Section 89C-3 of the Hawaii Revised Statutes, relating to adjustments for officers and employees excluded from collective bargaining, the directors of personnel services of the State and counties serving as representatives of their respective chief executives and the administrative director of the courts serving as representative of the chief justice, shall decide by majority vote on the adjustments to be made for officers and employees covered under Chapter 77, Hawaii Revised Statutes. Pursuant to Section 89C-5 of the Hawaii Revised Statutes, any such adjustment which constitute cost items shall be subject to appropriations by the appropriate legislative bodies. The proposed adjustments for excluded managerial employees cover the two year period from July 1, 1995 to June 30, 1997. The cost items are a combination of a 2.25% across-the-board increase effective July 1, ] 996, and the implementation of a shredding plan. A shredding plan credits employees for their years of service and then places them at their appropriate salary step. The total increase in cost for fiscal year 1997 to the County of Hawaii due to this adjustment will be $204,126. Additional adjustments such as employer's contribution to the Employee Retirement System, vacation, holiday and sick leave reparations will increase the total cost to $268,391. The adjustments will be covered from the Provision for Compensation Adjustments account. Committee members struggled with the County's "ability to pay" public employees salary increases while the private sector faces financial hardships and their responsibility to be in compliance with the Hawaii Revised Statutes, which states that excluded managerial employees must get increases not less than scientific and professional public employees. Recently the Council approved pay increases of more than five percent for professional public employees in Bargaining Unit 13. FC REPORT NO. 105