One of the first items brought to Interim City Manager Brooks Chandler’s attention when he landed in Nome were demands from the City of Nome Employees Association. Nearly three months later, the city and union have come to an agreement.
The union’s new Collective Bargaining Agreement (CBA) includes substantial wage increases, a jump in shift differentials, and an adjustment to how bonuses are awarded.
The new CBA provides for annual wage increases over the next three calendar years, a departure from the previous CBA that fixed wages over the life of the deal. Union members are set to receive a 8.2% increase in salaries at the beginning of 2025, followed by increases of 3% and 4% in the years that follow.
Shift differentials, extra payments owed to employees for time worked outside regular hours, are set to increase 10% from current levels. The new CBA also provides for an additional day of bereavement leave, going from two to three days a year. Field Training Officers are also set to receive an additional $1 an hour while serving in that role.
The union is also trading a one-time signing bonus of $1,000 for a $500 annual bonus, awarded on the employee’s anniversary. In prepared remarks to the Nome Common Council, Chandler said he hopes the switch will improve a long-standing challenge for the city.
“It is hoped that this will increase workforce stability through reduced employee turnover,” Chandler wrote.
The CBA also raises the cap for employer-paid healthcare from $2,300 to $3,000 per month, with the hopes of reducing overall expenses for employees covering their families.
According to the city’s Finance Director, Nickie Crowe, the changes outlined by the CBA will cost the city an additional $2.1 million over the next three years. Chandler acknowledged the difficult position this will put the city in, particularly in light of a $2 million deficit for FY25.
“The City Council will face very difficult decisions regarding raising tax revenues and decreasing expenses from current levels in order to pay for these negotiated wage increases,” Chandler wrote. “That being said administration believes the negotiated CBA is an accurate reflection of the cost of providing public services to Nome citizens during the next 3 years.”
Four present members of the Nome Common Council voted in favor of approving the resolution.
