COSTA MESA : 300 City Workers Agree to Pay Freeze

In an effort to save their jobs, 300 city workers agreed to a salary freeze Tuesday that would save the city of Costa Mesa $750,000 this year.

The Costa Mesa Employees Assn., representing secretaries, mechanics, clerks and maintenance workers, voted 78 to 53 for the freeze--one day after the City Council decided to hire a private contractor to run daily operations at two public golf courses. The move is expected to result in layoffs for golf course and maintenance workers.

The city had notified 23 employees last Thursday that they would have six months to move into another city job. The golf course contractor, Mesa Verde Partners of Arcadia, has scheduled job interviews with 35 city employees for Thursday but said workers would face a 20% to 25% pay cut.

The union employees are in the second year of a three-year contract,and the city was obligated to pay them salary increases of up to 11%, City Manager Allan L. Roeder said. The union vote basically extends the contract for another year, keeping salaries at the second-year level this year.

Raises “would have gone ahead as planned,” Roeder said.

Although the council had not asked for the pay freeze, the idea was discussed when the budget was brought up for approval in June.

“Those things are always discussed,” Mayor Mary Hornbuckle said. “We have to discuss the realm of possibilities, and I’m grateful that the employees recognize the dire straits we’re in.”

Meanwhile, firefighters also voted to freeze their pay, which is expected to save the city an additional $65,000 this year. They were due a 1 1/4% raise.

“This layoff is affecting people,” said Bill Folsom, president of the employee union. “(The salary freeze) is not a popular thing even if you believe it’s the right thing to do.”

Many union members believe that a freeze now may save jobs in the future and would show city officials that the employees are willing to compromise.

“We feel by taking this pay freeze it will give the city enough of a benefit so they in turn will include us more fully in decision making on how to save our city money in the future,” Folsom said. “Hopefully things will get better.”

The workers had suggested other alternatives for running the golf courses, which the city has operated since the late 1960s without making a profit. However, the council rejected the union’s ideas and turned to a private contractor.

The freezes come in the midst of one of the tightest budget years. So far, the city has cut $3.5 million from this year’s fiscal budget. With a state budget still to be approved, the city is bracing for additional cuts of $1.5 million.

Management employees agreed to a pay freeze last fall, and the City Council, Planning Commission and Transportation Commission also agreed to take a 25% cut in pay.

The city also has cut costs with a hiring freeze begun one year ago, and Roeder is meeting with each city department to find more places to cut expenses, officials said.