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Employee Wages & Benefits are Cut

SONORA, CA: Tuesday, March 27, 2012: Tuolumne Utilities District (TUD) announced its employees have agreed to changes in employee wages and benefits in an effort to help balance the District’s budget.

District employees understand the budget shortfall facing the District and have come forward to making the following adjustments to benefits and pay:

  • Waive the previously negotiated cost-of-living increases through 2014.
  • Reduce time-off benefits by one day of holiday pay.
  • Implement a reduced retirement benefit tier. The current formula of 2.7% at age 55 will be reduced to 2% at age 55 for future hires.
  • Reduce the District’s contribution for retiree medical insurance for future hires to a minimum amount as is required by government code.

The adjustment to benefits and pay would be effective July 1, 2012. The District has 73 full time employees and has put a temporary freeze on filling 9 vacant positions.

“With a secure agreement that would safely take them through June of 2014, these employees stepped forward to work with the District in tough economic times for the benefit of those we serve. I am extremely proud to represent this group of employees, who despite their own personal hardships voted for these adjustments,” stated Dave Gorgas, Business Manager, LiUNA!, Construction, Production and Maintenance Laborer’s Local Union #1130. The Local Union #1130 represents about 40% of the TUD workforce.

“The management staff and Board have a renewed partnership with the employees at the District and are appreciative of the willingness of the employees to work on helping the District close a budget shortfall that is facing the District,” states Pete Kampa, General Manager. This will be a significant contribution to balancing the budget now and addresses future long-term financial obligations,” continues Kampa.

The Tuolumne Utilities District currently serves over 44,000 Tuolumne County residents. The District currently owns and operates 14 water treatment plants, 81 treated water storage tanks, two wastewater treatment plants, approximately 57 miles of open ditches, 130 miles of sewer collection pipe and 330 miles of treated water pipeline.

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