Page One, May 2011, Issue 50

UC reaches agreement with nurses

OAKLAND — University of California officials today (May 30) announced they have reached an agreement with the California Nurses Association regarding a multi-year labor contract for the more than 9,000 nurses who work in UC medical and student health facilities.

"This contract maintains competitive market wages and benefits for our nurses, recognizing both the difficult financial environment we are in and the unique nursing markets in which we operate," said Gayle Saxton, UC director of labor relations.

Highlights of the agreement are as follows:

Wages:

• 3 percent salary range increases at most locations in 2011, plus a 4 percent salary range increase at all locations the next two years;

• lump sum payments to senior nurses at some locations who have reached their maximum pay step.

Medical benefits:

Nurses will enjoy continued access to excellent health insurance with:

• guaranteed limits/bargaining triggers regarding annual health insurance premium increases — nurse costs toward premiums may not increase more than 10 percent of nurses' average salary increase without bargaining;

• UC continuing to pay the vast majority of health insurance premium costs — at least 85 percent;

• UC continuing its progressive salary-based approach to health insurance whereby lower-paid employees pay lower monthly premiums than other employees.

Pension benefits:

Continued excellent pension benefits, with nurses increasing their annual contributions to the UC Retirement Plan at the same rate as other UC employees: 3.5 percent of annual salary on July 1, 2011, and 5 percent on July 1, 2012. UC also will be increasing how much it contributes as well, raising its contributions to 7 percent on July 1, 2011 and to 10 percent on July 1, 2012.

Negotiations began in August 2010, and the two sides reached a tentative agreement on May 18. On May 26, CNA informed UC that union members approved the tentative agreement.

The terms of the new agreement will be in effect through June 30, 2013.