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New York


NYC GIVES RAISES, EXTENDS PARENTAL, FAMILY LEAVE TO RETAIN CITY WORKERS

New York City’s benefits for non-unionized employees have lagged private
employers.



The city plans to announce new ways to retain municipal workers. | Ed
Reed/Mayoral Photography Office

By Jeff Coltin

02/04/2024 01:24 PM EST

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NEW YORK — As Mayor Eric Adams’ administration struggles with employee retention
amid a hiring freeze, City Hall is granting paid family leave and extended
parental leave for non-union employers — and paying out retroactive raises, plus
a $3,000 lump sum bonus.

These employees — mostly people at the management level — will get up to 12
weeks of paid time off to care for a sick family member and compensated leave
for new parents is being doubled from six weeks to 12.



The new benefits and pay will apply to more than 10,000 city workers, according
to details of the Friday announcement on leave shared in advance with POLITICO.



The vast majority of the city’s 300,000-plus-person workforce is unionized and
receives paid family leave and parental leave through collective bargaining.

“Expanding parental leave for city workers and paid leave for those with a sick
family member are not only important changes to retain the talent that keeps our
city moving, but they are the right things to do to ensure our administration
continues to help support the average working-class family in this city,” Adams
said in a statement.

The salary increases went unmentioned in City Hall’s press release. But the deal
was conveyed in a Mayoral Personnel Order, posted online by the New York City
Managerial Employees Association, a professional group for non-union employees.

Non-union workers are getting their salaries increased by 15.25 percent over a
five-year period, plus a $3,000 lump sum payment. The announcement includes 3
percent wage increases each May dating back to 2021, followed by a 3.25 percent
increase next year. Agency heads are also given the discretion to give employees
additional pay increases, up to 1.43 percent of the managerial pay budget.

Those raises match the pattern set through collective bargaining for unionized
employees. The Adams administration has reached labor contracts with 93 percent
of the city workforce since taking office in 2022.

In total, the raises will cost $2.1 billion through fiscal year 2028, according
to City Hall spokesperson Kate Smart, but it will be fully funded by money
already in reserve funds.

The parental leave policy change will cost the city $2.5 million annually and
will take effect immediately, with Adams signing the order, Smart said.

Family leave will be covered by employee payroll reductions of about $13 per
paycheck and will go into effect in roughly 90 days.

Non-unionized workers’ benefits in this area were not just lagging their fellow
city workers; almost all private employees in New York state have been granted
up to 12 weeks of paid family leave by state law since 2018.

But public employers, like the city, had to opt in, and the city hadn’t done so
for managerial employees until now.

Non-unionized workers had also not gotten pattern raises since October 2019,
despite increased inflation and the rising cost of living, Managerial Employees
Association Darrell L. Sims wrote in Labor Press this week.




A non-unionized city worker, granted anonymity to discuss personal matters,
applauded the new leave policy, saying it will make it easier to keep a city job
while planning for a family. They added that the announcement comes at a time of
lowered employee morale, saying: “People are starting to feel that freeze.”

Adams implemented a hiring freeze in October 2023 as a way to save money amid a
budget crunch, though hiring had slowed by then.

At the same time, the city has lost thousands of employees, many of whom were
working higher-paying desk jobs and could find better salaries and more flexible
work-from-home policies elsewhere.

To that end, City Hall is explicitly framing this as an employee retention
policy.

The pay boost comes after Adams presented a preliminary budget last month with a
far more positive financial picture that he’d previously been projecting. That
reversal has put both Adams’ budget cuts, and new spending, under scrutiny.


 * Filed under:
 * New York,
 * Paid Family Leave,
 * Eric Adams


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