Hoping to avoid arbitration
Not again.
Butler city officials just finished one union contract arbitration case and now they hope to avoid other arbitration cases next year with any of the three city unions, which represent police, firefighters and nonuniformed workers.
The city last month had a ruling issued by arbitrator Michael Zobrak on its arbitration case with the firefighters union, International Association of Firefighters, Local 114.
The case was in arbitration since February 2013. The ruling came more than 2.5 years after the union’s contract expired Dec. 31, 2011.
“It’s frustrating,” Councilman Richard Schontz said about the time it took for a ruling. “It was frustrating even before we went into it.”
But the city has little time to work out the details of the next set of contracts, all of which end at the conclusion of this year.
Adding to that deadline pressure, the city must decide by Friday whether it might want to request arbitration on the new contracts, according to Councilwoman Kathy Kline.
State law requires that both sides must request arbitration no later than 110 days before the start of the fiscal year, which is Jan. 1 for the city.
“It doesn’t mean we will need to go to arbitration,” Kline said.
It just gives the city that option if it decides to do so.
Contracts update
Mayor Tom Donaldson said he has been speaking with the police department and that he thinks a contract will be done soon for that department.
“We’re close, we just have minor details to work out,” he said.
The city reached its current agreement with the Fraternal Order of Police, Lodge 32, the union representing the city’s 22 police officers, in December 2012. Donaldson has been working with the department on a new contract since he took office in January.
Schontz said he and Councilman Bill May have had preliminary talks with the American Federation of State, County and Municipal Employees union, which represents 18 nonuniformed workers. Schontz hopes a deal will be worked out by the end of the year.
But talks with the firefighters are not as far along due to the length of the previous arbitration.
Kline said part of the request for possible arbitration is for the city to supply a list of issues it would want addressed.
“We need to list our talking points,” Kline said. “If it is not filed by that date, the arbitrator won’t take the issues into consideration.”
Kline said she likely will request arbitration by the end of the week.
“I need to look out for the city’s interest,” she said. “Right now I probably will recommend three talking points.”
The biggest issue regards the number of firefighters the city must have.
The city has been mandated by the contract to keep at least 18 full-time firefighters. Council says that clause goes beyond the purpose of the agreement, which is to set wages, hours and working conditions.
The city does not intend to immediately cut any of its 18 full-time union firefighters, but it could remove positions through attrition, Kline said.
Solicitor Jim Coulter said at last month’s council meeting that the clause interferes with the city’s “managerial prerogative” and limits its ability to budget.
Zobrak did not explicitly mention the clause in his ruling. The ruling had two points, one setting the raises for the department and the second, redefining two of its positions. The third point said all other parts of the previous agreement would remain the same.
The city plans to ask the court for a specific ruling on the department’s minimum roster size.
Kline said the uncertainty on the decision of the number of firefighters means that is an issue the city may have to challenge again next year.
Kline said that issue along with a few others about the makeup of the department likely will be submitted for arbitration by Friday’s deadline.
While she may request arbitration as a formality, Kline hopes it won’t be needed.
“It doesn’t mean we can’t discuss and resolve issues,” Kline said. “We can continue to talk and negotiate.”
Arbitration in the state
Schontz certainly hopes the city can avoid arbitration.
He called the amount of time it takes to receive a ruling “ridiculous.”
“We have a budget to balance,” he said, adding that not knowing the fate of the arbitration prevents the city from knowing how much money it will have available.
“There has to be some type of deadline. Whether it’s three months, six months — there should be something,” he said regarding when an arbitration ruling should be issued.
Zobrak, who issued the ruling on the city’s case, said the arbitration process is often time-consuming.
“It’s long,” Zobrak said. “I’ve had cases in excess of a year.”
Zobrak would not comment on any specifics of the city’s case. But he spoke about the general process of arbitration.
He said arbitrators are chosen by both sides in a dispute.
Each of the parties selects a partial arbitrator of their own for the case. The two partial arbitrators then usually select an unbiased third arbitrator from a list supplied by the American Arbitrators Association.
Zobrak said it can take two to five months from the time an arbitrator is notified he has been selected for a case to when a hearing is held.
“We have to work out a time to fit everyone’s schedules,” Zobrak said.
The length of the hearing can vary greatly.
“Some can be done in an afternoon,” Zobrak said. “I had one for the city of Philadelphia that took 38 days. It depends how complex the issues are.”
The hearing consists of the two partial arbitrators advocating their respective cases. Each side may also bring in experts to make arguments.
“After the hearing is done, the three arbitrators go into an executive session and try to work out the agreement,” Zobrak said.
The impartial arbitrator will issue a ruling on the case that will either be concurred or dissented by each of the other arbitrators.
The ruling is binding
The arbitrators making the rulings are typically lawyers, Zobrak said.
“They are people who have had experience in labor relations,” he said. “The majority are either attorneys or college professors.”
There is no test or specific training needed to be an arbitrator.
“Our body of work is our test,” Zobrak said.
However, an arbitrator must be recognized by one of a few governing bodies in the field. Those include the American Arbitrators Association, the Federal Mediation and Conciliation Service, and the Pennsylvania Bureau of Mediators.
To become recognized on the organizations’ lists, a person must have letters of recommendation from other recognized arbitrators, as well as from representatives from management and union sides.
Persons wanting to become arbitrators also must prove they are unbiased.
“You have to sever your ties,” Zobrak said.
Zobrak estimated there are 50 to 70 labor arbitrators in the state.
People who handle labor relations don’t typically have specialties, although some arbitrators will focus in specific areas such as international arbitration.
Arbitrators handle both public and private sectors.
There is no limit on the number of cases an arbitrator hears per year.
Zobrak said some handle about a dozen per year, while others hear more than 100.
According the U.S. Bureau of Labor Statistics, the average salary for an arbitrator is about $61,000 per year.
