Detroit Reaches Tentative Deal with Police Union

by San Antonio Attorney

The City of Detroit and Detroit Police Officers Association have made a tentative deal on salary, retention payments, health care and pensions. After nine months of negotiations, the agreement was announced by a mediation team. The details of the agreement were not revealed.

According to a person familiar with the talks, the police union got a substantial raise for members who accepted considerable wage cutbacks in recent years. The salary increase was the most difficult issue throughout the extensive talks between the union and the city. It is uncertain when they will arrive at a final deal since there are minor issues that need to be resolved first.

Police union president Mark Diaz said that he is hoping that a final deal will be made on July 25. The agreement includes a higher pay though it is lower than what officers received two years ago.

The mediators said they were glad to assist the parties to find mutual understanding in arriving at a resolution that is not only fair, but also helps expedite the city’s bankruptcy exit.

The city is also in talks with the firefighters union and a source said that they are close to reaching an agreement.

Creditors on the city’s debt restructuring plan have two days remaining to vote for the plan. The police union will encourage members to accept the deal by voting for the plan.

The settlement deal eliminates a hindrance to the city’s restructuring plan just one month before the bankruptcy court determines whether Detroit ‘s debt-cutting plan is feasible.

The restructuring plan includes a base pension cut of 4.5 percent and the removal of annual cost-of-living increases on past and present employees of the city, while firefighter and police pensioners would see their annual cost-of-living-adjustment decreased to around 1 percent only instead of the 2.25 percent.

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