• Act 4 temporarily suspends the City’s duty to bargain with its Unions during the period while the Financial Stability Agreement (“FSA”) is in effect.
  • Most of the City’s collective bargaining agreements expired on June 30, 2012, and the City notified the Unions that the agreements were not extended.
  • Annex D to the FSA contains terms and conditions that the City is required to apply to its employees.
  • The FAB approved of the labor terms and conditions at its meetings over the past 2 weeks – June 28 and July 12.
  • Work rule changes were approved by the FAB on June 28.  Economics were approved on July 12.
  • The labor terms (called the “City Employment Terms” or “CET”) apply to most of the City’s Unions, whose contracts expired on June 30, 2012.
  • In accordance with the FSA, the Mayor submitted the CET satisfying Annex D to the FAB.
  • The FAB reviewed the CET, made comments, and approved.
  • The Mayor then submitted the CET to City Council.
  • The City Council declined to approve of the CET.
  • Therefore, under the FSA, the Administration is authorized to implement the CET.
  • That action was taken late on Tuesday, July 17, 2012.