Detroit City Council agrees to one year pension freeze - KMSP-TV

Detroit City Council agrees to one year pension freeze

Posted: Updated:

By Alexis Wiley
Fox 2 News

On Wednesday, Detroit City Council voted to freeze contributions to the city's pension for civilian employees. Currently, it applies to non-union workers but if it's imposed on the unions the city will save $25 million dollars.  But what means savings for the city means hard times for people like Andrea Hackett  

"I've had a ten percent pay cut for three years and now they're proposing three more," says Hackett

And soon she may be forced to swallow yet another ten-percent pay cut.  In addition to forking over more cash for health care, the mayor asked the council to authorize up to a 20-percent pay cut.  Although,  the mayor said all he really needed was ten.  And that's exactly what some council members say they are prepared to give him.  One furlough day every two weeks which adds up to a ten-percent pay cut.

"We're asking a lot and we would like to mitigate some of this financial pain to people's pay checks.  Having the increase be as much as ten extra percent is enough," says Detroit City Council President Charles Pugh.

But Council President Pro Tem Gary Brown says sadly that may not be enough.

"The mayor asked for 20-percent for a reason.  He needs to use it as leverage when he negotiates with the unions to get a minimum of ten-percent from the unions.  and if he has to start out with 10-percent with the unions and he's negotiating then he probably won't get ten-percent," says Brown.

Council is expected to create an ordinance that will allow workers who are at 24 years or let's say 29 years to still continue to accrue time so they can retire on schedule.

Meanwhile that vote on the pay cuts is suppose to happen January 25th.

  • Local NewsLocal NewsMore>>

  • Family asks for justice after mother of three found dead next to dumpster

    Family asks for justice after mother of three found dead next to dumpster

    Wednesday, July 30 2014 11:09 PM EDT2014-07-31 03:09:47 GMT
    When 32-year-old Katherine Gibson was a little girl, her loved ones thought, the "life" ahead of her would be long. But it wasn't."Me and my girlfriend dropped her off and she had just told us, she loved us," said Marvin Gibson, her cousin.That would be the last "I love you" that he would hear. because after Gibson's cousin dropped her off at Harper and Conner, near Bronco's Market. The day after, she was found dead. Gibson's lifeless body, discovered by a dumpster, beside the building."Layin...
    When 32-year-old Katherine Gibson was a little girl, her loved ones thought, the "life" ahead of her would be long. But it wasn't."Me and my girlfriend dropped her off and she had just told us, she loved us," said Marvin Gibson, her cousin.That would be the last "I love you" that he would hear. because after Gibson's cousin dropped her off at Harper and Conner, near Bronco's Market. The day after, she was found dead. Gibson's lifeless body, discovered by a dumpster, beside the building."Layin...
  • Firefighter injured battling house fire in Detroit

    Firefighter injured battling house fire in Detroit

    Wednesday, July 30 2014 11:06 PM EDT2014-07-31 03:06:52 GMT
    A possible arson kept Detroit firefighters busy for much of the evening.
    A possible arson kept Detroit firefighters busy for much of the evening.
  • Detroit councilwoman dodges questions about Facebook photo

    Detroit councilwoman dodges questions about Facebook photo

    Wednesday, July 30 2014 10:41 PM EDT2014-07-31 02:41:23 GMT
    Rayford Jackson was in the middle of one of the biggest public corruption scandals in Detroit history. He was sentenced to five years in federal prison for bribing city councilwoman Monica Conyers. Now, he's back -- and apparently hanging out with another city councilwoman. When councilwoman Mary Sheffield posted a photo of them together on her Facebook page, Fox 2's M.L. Elrick couldn't help but wonder why she'd want a picture with Jackson and then post it on social media. So, he attempted a...
    Rayford Jackson was in the middle of one of the biggest public corruption scandals in Detroit history. He was sentenced to five years in federal prison for bribing city councilwoman Monica Conyers. Now, he's back -- and apparently hanging out with another city councilwoman. When councilwoman Mary Sheffield posted a photo of them together on her Facebook page, Fox 2's M.L. Elrick couldn't help but wonder why she'd want a picture with Jackson and then post it on social media. So, he attempted a...
Powered by WorldNow

KMSP-TV
11358 Viking Drive
Eden Prairie, MN 55344

Phone: (952) 944-9999
Fax: (952) 942-0455

Didn't find what you were looking for?
All content © Copyright 2000 - 2014 Fox Television Stations, Inc. and Worldnow. All Rights Reserved.
Privacy Policy | Terms of Service | Ad Choices