Savings in labor contract up for vote Monday

A switch in health care providers for about 20 Canonsburg Borough employees is expected to save taxpayers about $300,000.

The health care change is part of a new, tentative labor contract between the borough and Teamsters Local 205, which is expected to be approved at a special council meeting Monday night.

A vote on the three-year contract is the only item on the agenda for the 7 p.m. meeting.

About 20 employees are covered by the contract, including those working in the public works department, clerical workers and those employed at the sewer plant.

Teamsters Local 205 voted to approve the contract Wednesday.

Borough Manager Terry Hazlett said he expects the contract will be approved by borough council since it includes the health care savings.

The contract calls for switching the health care provider from Highmark to UPMC.

Also in the contract are raises of 70 cents per hour this year, 75 cents in 2014 and 80 cents in 2015.

There also is a change in hiring steps so that new hires will make 75 percent of the hourly rate, be paid 85 percent in the second year and 90 percent in the third year with the employee making 100 percent of the job classification rate in the fourth year.

There also will be a pension plan contribution with employees contributing of 1.5 percent of their gross wages this year, 1.75 in the second year and 2 percent in the third year of the contract.

Another change in the contract will be to allow employees to reside anywhere within 10 air miles of the borough building.


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