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VSP benefits neither employees nor the State

The VSP offered today by Department of Budget and Management benefits neither the employee nor the State. (Sun: "State workers offered $15k in voluntary separation program")  It is instead a reward for political appointees who will be leaving State government.

The Unions, MPEC and AFT Healthcare-MD, offered a true early retirement proposal during negotiations conducted over the last three weeks and rather than continue to explore the possibilities of the proposal, DBM through its Executive Director imposed a voluntary separation proposal that treats an employee with two years service nearly the same as a career employee with 30 years service to the citizens of Maryland.

The Unions intend to keep their retirement proposal on the table with the expectation that once the Legislature sees that by adopting the Union proposal, the State could potentially save $80,000,000 the first year rather than the $9,000,000 that is being proposed by the DBM.

The savings generated by the Union proposal, which is modeled on retirement incentive programs adopted by both Republican and Democrat Governors in other States, would more than offset the 2% COLA and step in grade increases thereby making it unnecessary for Governor Hogan to cut the 2% COLA and step increases that were negotiated last year and agreed to in the collective bargaining agreement with the two Unions.

MPEC and AFT Healthcare-MD are calling on its members to communicate with their Senators and Delegates and let them know they didn't vote for the Governor and Legislators to balance the budget with State employees' salaries and benefits. We agree with Senate Budget and Taxation Committee Chairman Senator Richard S. Madaleno when he said "state workers have absorbed more than $1 billion in sacrifices to help balance the budget."

Michael M McNally
Executive Director
AFT Healthcare-Maryland #5197
Maryland Professional Employees Council #6197
Affiliates of AFT-Maryland | AFT | AFL-CIO
mmcnally@aft-maryland.org
410-645-3062

2/19/2015

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