Unions in general are at odds with the 2012 emergency manager law that empowers state-appointed officials to trump and unilaterally amend existing bargaining agreements.
Detroit Emergency Manager Kevyn Orr on Thursday issued a letter to state labor officials saying he has no obligation to collaborative bargaining or arbitration, which some speculate could be a hint that he intends to circumvent traditional bargaining mechanisms and make changes to the pay and benefits of Detroit employees with or without their consent, Reuters reports (full story).
"It's obvious what they're trying to do," Dan McNamara, president of the firefighters' unions, told Reuters. "They don't plan to negotiate with us."
Days after Orr took office, a federal lawsuit was filed challenging the sweeping emergency manager powers.It's Orr's intention to restructure the city's budget and expenses to ensure it doesn't go bankrupt.
Detroit is running a $100 million annual budget deficit and has $14 billion in long-term debt. There are nearly 50 unions that contract with the city.
"Everything is on the table," Orr said when he was appointed March 17. "I hope to be inclusive... I am going to make decisions and move forward."
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