Tentative contract cuts city’s portion of police pension

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This article was published 28/06/2023 (844 days ago), so information in it may no longer be current.

Winnipeg Mayor Scott Gillingham has managed to make headway on the contentious issue of police pension funding — something that was a thorn in the side of his predecessor, Brian Bowman.

The City of Winnipeg and police union reached a tentative contract that includes a reduction in the city’s pension contribution, after months of negotiations.

Currently, the city contributes about 22 per cent toward each police member’s pension, while members themselves contribute eight per cent. Under the new contract, the city would contribute about 20.2 per cent and members would contribute 9.6 per cent of their pay by February 2025.

Mayor Scott Gillingham called it a good first step.

“We really need to see those move toward more an equal contribution rate. Certainly, we’re not there yet, but this gets us moving in the right direction,” he said Wednesday.

“So to see the employees making a greater contribution to their own pensions, I think, is really important. We need to make sure that policing costs, at least the labour costs, and all labour costs of the City of Winnipeg, are sustainable for taxpayers.”

The collective agreement with the Winnipeg Police Association, expired at the end of 2021. A report scheduled to be presented at the July 5 executive policy committee meeting, says the new deal includes an annual wage increase of 3.1 per cent, beginning retroactively in July 2022 until December 2025.

Cory Wiles,president of the Winnipeg Police Association, said he was “proud to have achieved another sustainable and successfully negotiated contract,” but provided few details.

“We look forward to city council’s discussions and the process being completed over the coming weeks,” he wrote in an email.

The city report said the total cost of all increases in the new agreement from 2022-25 will be $57.7 million.

The agreement still needs final approval from both WPA members and city council.

Bowman earned the wrath of the police union when the city tried to overhaul the pension plan unilaterally in late 2019 to save $12 million. The move was shut down by an arbitrator who ruled against the city months later, calling it a violation of collective bargaining. The city had to pay damages to the union and each member of the police service.

Winnipeg Police Board chairman Coun. Markus Chambers noted Wednesday the proposed wage increases for police are currently below the rate of inflation.

“We recognize that, in terms of contract negotiations, you can’t swing for the fence and get everything you want on either side. So any changes are going to be incremental, to allow for savings on behalf the city and creating sustainability,” he said.

“But also recognizing that we need to pay a fair wage for very complex work.”

The deal was reached after the city demanded this month the service cut spending, with its police budget deficit at $12.8 million. Police Chief Danny Smyth blamed much of the shortfall on council’s failed attempt to alter the pension plan in 2019.

“I’m not trying to throw anybody under the bus here, but it was all about pension savings that were never realized. So a good chunk of the millions they’re looking for were as a result of an administration making a decision they weren’t able to actually follow through on,” Smyth said June 1.

Policing costs have been on the rise in Winnipeg, with a 64 per cent increase between 2005 and 2015, adjusting for inflation. Costs jumped five per cent on a per capita basis in 2021, with taxpayers shelling out $320.7 million to fund police operations. Police officer salaries and benefits make up about 85 per cent of WPS expenditures, with constables making more than $100,000 a year.

The report to be considered by executive policy committee next week says the city will spend $200,000 annually for mental health supports for police, to begin in 2024.

A committee of union members and civic staff will be struck to oversee delivery of mental health programs.

“I believe that speaks volumes, in the sense that they’re interested more in their health and well-being and being able to provide this service, as opposed to large wage increases,” Chambers said.

The measure was raised by the union after officers indicated in a 2021 internal survey that there was not enough access to mental health services.

“The trauma that officers see on a daily basis really impacts them and their families. They’re more interested in getting proper mental health supports than they are large wages to compensate them for the trauma that they endure every day,” Chambers said.

— with files from Joyanne Pursaga

malak.abas@freepress.mb.ca