Source: Kevin Maloney, CCM

For Immediate Release
Kevin Maloney (203) 710-3486

CCM publishes fourth issues bulletin in 2022 election campaign series — key labor relations issues

The Connecticut Conference of Municipalities (CCM) today (Wednesday, October 12) released its fourth issues bulletin in CCM’s 2022 election campaign series — key labor relations issues. 

This election season CCM is focused on bringing municipal issues to the forefront, with a particular focus on educating candidates and the public on specific issues impacting local government.

Throughout October, CCM will continue to release "Issue Bulletins" highlighting key state-local issues. Our goal is to inform the public and candidates about these issues so we can effectively work with policymakers and our partners to address and provide sustainable solutions. 

The bulletin series is examining key Connecticut state-local issues. The bulletin being released today provides an overview on key labor relations issues. The first three bulletins in the series focused on CCM as the voice of municipalities, the property tax burden in Connecticut, and important housing and economic development issues. Following this bulletin on labor relations will be two final reports -- local public education services and finances, and infrastructure and transportation. 

Click on the following link ---https://youtu.be/gQ3t8SAXh2k -- for the complete video message on state-local labor issues from Rudy Marconi, First Selectman of Ridgefield and a member of CCM’s Board of Directors.

Click on this link to review the complete issues report -- https://www.ccm-ct.org/Portals/CCM/PDF/IssueBulletins/IssueBulletin_2022_Labor.pdf?ver=s2wZ-biJW-9lUik6AJlsBg%3d%3d

Some key points from this newest CCM report include: 

• Workers’ compensation is an insurance that provides cash benefits and/or medical care for workers who are injured or become ill as a direct result of their job. Municipalities are required to carry workers compensation insurance and it’s especially critical for municipal jobs that may carry a higher risk of injury such as police and fire. In most cases, Connecticut  is a “no fault” state, but there have been multiple legislative proposals in Connecticut that would shift the neutrality in our workers’ compensation system and place the burden on municipal employers. The consequence of which would be costly for property taxpayers.
• Shifting the burden, or “presuming” that if an employee experiences a particular injury that it be worked-related imposes a significant burden on towns and cities, and would be a dramatic shift in traditional public policy. For example, prior to 1996, there was a presumption under workers’ compensation that if a police officer or firefighter experienced hypertension or heart ailment that it be considered work-related. This resulted in tens millions of dollars being paid out, which forced the legislature to sunset the law because of its costs and abuse.
• In recent years, similar presumptions have been proposed including presuming that if a firefighter contracted cancer that it is work related, mandated Post Traumatic Stress Disorder (PTSD) coverage for first responders, and another would have presumed that any contraction of COVID-19 be contracted at work. Expanding workers compensation benefits can be very costly, which is why CCM has worked with police and fire to develop solutions – that do not include workers’ compensation presumptions - to take care of our employees without negatively impacting a municipal budget.
• Connecticut’s Municipal Employees Retirement System (CMERS) is a public pension plan provided by the State of Connecticut for participating municipalities’ employees. Unlike the State Employees Retirement System, which is negotiated between the Governor’s Office and state employee unions and has multiple tiers, CMERS benefits and structure are set in state statute and there is no opportunity to negotiate benefit levels between municipal employers and municipal employees. Employee contributions have steadily increased and maintaining CMERS adequately is becoming increasingly unsustainable financially. 
• In order to contain costs, some municipal leaders have called on the legislature to establish a new tier within the CMERS, similar to the State, so towns and cities could begin to achieve savings. While the Legislature has recognized the need to make changes in the state employee’s retirement plan, they have never implemented such revisions to the municipal retirement system.
• Prevailing wage mandates require workers on public works construction projects to receive the same wage that is customarily paid for the same work in the project’s town. Appropriate thresholds for remodeling, refinishing, refurbishing, rehabilitation, alteration and new construction, are essential to municipalities in managing their limited resources. Currently, the thresholds for new construction is $1 million, which was enacted in 2017, while the renovations threshold remains at one hundred thousand ($100,000). The renovations threshold has not been updated since 1991. 
• Without the legislature increasing these thresholds, municipalities are paying more because of the cost of living and inflationary increases, which results in municipal budgets becoming even more reliant on the local property tax. Prevailing wage thresholds are just one of the many factors that municipal officials have to balance when budgeting. 
• Often times, enhanced service delivery and efficiency can be achieved through sharing or employees and resources between municipalities. CCM continues to pursue opportunities to encourage the development and expansion of shared and regional services. In an effort to facilitate these efforts, local leaders have to address various obstacles. This includes municipal charters, special acts or home rule ordinances that prohibit or limit a municipality from sharing services with other municipalities. In these cases, sometimes state action is better to resolve this issue.
• In addition, often municipal officials will need to contract with multiple employee bargaining units (ex. firefighters, police officers, janitors, administrative staff, public works, etc.). This inefficient process imposes administrative and costly delays. In these instances, collective bargaining units should work as a coalition bargaining unit to negotiate with municipalities for the provision of public services.  More innovative ways are necessary to address changing service delivery needs.

“These labor issues are on the forefront of every local leader’s mind,” said Joe DeLong, CCM Executive Director and CEO. “As explained in our earlier issue bulle¬tin, Connecticut’s municipalities are over-reliant on the property tax and there is always a balance between benefits and budget as changes to certain labor issues can have a direct effect on how much property tax you will pay. CCM remains committed to ensure there is an adequate balance in meeting the needs of municipal employees and property taxpayers.”

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The purpose of this series of bulletins is to provide candidates for state office — and the public — with perspectives on the challenges facing Connecticut towns and cities, and provide viable solutions on matters of importance to local residents of our great state.