As the unions continue their battle against anti-labor forces across the nation and here in Michigan, Warren Mayor James Fouts has weighed in heavily against the police and firefighters’ unions. In fact, the Democratic mayor sits to the right of Republican Gov. Rick Snyder on this one.
In a letter to Gov. Snyder, Fouts said that Act 312 binding-arbitration rules, which are closely guarded by public safety unions, must be altered. Under a bill under consideration in Lansing, binding arbitration would be eliminated and third-party arbitrators could consider a city’s “affordability” factor when ruling on disputes over wages and benefits.
In response, hundreds of rank-and-file police and firefighters from across the state rallied at the state Capitol on Wednesday and jammed into a committee hearing where the bill was under discussion.
Union leaders from the Fraternal Order of Police and the International Association of Fire Fighters said the legislation would “set the state back 40 years.”
In his letter, Fouts pointed out that public safety costs (police and fire) now account for approximately 70 percent of the city’s budget.
“This is an unsustainable amount that is hindered primarily by Public Act 312,” Fouts wrote. “As we enter our next round of negotiations, Warren believes that it is not able to fully control these costs and is looking to you and your administration for help to give us the tools necessary to deal with this issue, as well as other state public acts and regulations that constrain our ability to change employee entitlements that grew over many years.”
The FOP and IAFF are sure to make it known to Fouts that Act 312, which was adopted in 1969, successfully put an end to strikes by police and fire unions. As the bill faces opposition from state and local officials (and Snyder), very little evidence has come forward that binding arbitration is a significant cost for government.
John Buczek, executive director of the Michigan FOP: “Binding arbitration is used only in rare cases, and when it is, cities prevail on more than 60 percent of the issues that go before an independent third-party arbitrator.”
