January 22, 2009

ValleyViewpoints

Union contracts too pricey for city

Editor,
In a recent newspaper article it was pointed out that a San Jose policeman was retiring after 30 years on the force. We are grateful as citizens for the work done by both the police and fire departments. The public usually regards public safety, schools and traffic as important considerations when determining where to live.

But there is another side to this story. Thirty years of service allows him to retire with 90 percent of his last year’s pay rate. There is also an annual 3 percent increase in payments. He also gets free medical for his family for life, although the last contract agreed to a $10 copay. The officer is 55 years old. He is going to take another job as police chief at a town in the Central Valley. The union contract would have allowed him to retire at the age of 50 if he had wanted.

These union contracts are far more generous than those experienced in the industrial sector. Before industry changed from retirement plans with defined benefits to 401K plans, retirement usually did not occur before the age of 55 at about one-third of the salary averaged over several years.

The city is facing a budget deficit of close to $60 million dollars for the coming year. There were 1,000 applicants for a recent job opening at the fire department. Clearly the union contracts are out of line. The city cannot afford them. More officers could be hired if the labor costs were not so high. Vallejo recently declared bankruptcy because it could not afford its public safety union contracts.

These are harsh economic times. Companies are laying off people or reducing pay levels and doing four-day weeks. Individuals have seen their financial reserves greatly reduced. The mayor says that we have to tighten our belts. The police union’s response is to delay their scheduled pay increases and ask for better retirement benefits. This is not the hardship that the rest of us are experiencing.

Bob Boydston
Almaden Valley

Let the Almaden Times hear from you. In order to be considered, letters must be signed by the author or come with the full name, address, and a phone number (which will not be printed).

Send letters to newsroom@timesmediainc.com, or via mail to:

The Almaden Times Weekly
1310 Tully Road, Ste. 107,
San Jose, CA 95122