North Las Vegas warns of layoffs without Teamsters deal

By Jeff Pope

Wednesday, April 15, 2009 | 10:33 p.m.

North Las Vegas officials said Wednesday they would try again to reach a deal with the union representing its employees or layoffs would be eminent.

City Manager Gregory Rose presented the City Council with possible options on offsetting a budget shortfall that has grown to $16.8 million.

Failure to reach a deal with the Teamsters Local 14 could trigger up to 160 layoffs but that number could be reduced if the city outsourced or privatized some of its services, Rose said.

"I'm proposing that we continue discussions, but we cannot simply rely that we will eventually reach an agreement," Rose said. "We think that we have a strategy that if accepted by the union, will result in no person losing their job."

Teamsters Local 14 chief executive officer Gary Mauger said the union would be willing to try and reach an agreement with the city but wasn't sure it could be done.

"I feel very strongly that they will come back to the table. It's in both our best interest," he said. "I'm not guaranteeing anything."

The two sides negotiated a contract five months ago but revenues have dropped more than expected, forcing the city to ask for concessions from its three unions, Rose said.

The city informed the Teamsters on Feb. 23 that it would have to make concessions and set an April 1 deadline.

Union members rejected the city's proposal by a 3-1 margin on April 6.

The union had three meetings with the city and five with its members in 37 days but it wasn't able to reach a deal, Mauger said.

"The union and the employees felt rushed and the deadline of 37 days felt more like railroading," he said.

Mauger said the city asked the union to give up its 4 percent cost-of-living increase rather than defer it until the economy rebounded or make up the lost wages in some other way.

The city also couldn't promise there wouldn't be layoffs -- even if the union accepted the concessions.

"They want to keep (part-time and temporary employees) and lay off our full-timers," Mauger said. "That's not the way to go."

The deal would have deferred employee cost-of-living increases in return for better vacation benefits, Rose said.

The city reached a tentative agreement with its firefighter union, which, if accepted, would save the city about $1.5 million. Rose said he is in discussions with the city's police officers union and will talk with non-union employees Thursday.

The proposed deal with the non-union workers would save about $1 million, he said.

Councilman Will Robinson said the administrative staff hasn't trimmed enough top-level management benefits or cut non-essential city-funded events.

The only way Robinson would support layoffs is if Rose renegotiated "in good faith" with the Teamsters and still failed to produce an agreement.

"If you try to be fair and don't try to play hardball with them that's the only way to come to a conclusion. If you try to play hardball, then we're going to be right back where we are now," he told Rose.

Other options Rose proposed to the council included raising the property tax, reducing the fund balance below 10 percent with no layoffs and reducing the fund balance to 10 percent while laying off 160 employees.