City Employees Take Work Cut to Avoid Layoffs

The City of Watsonville has reached a tentative agreement with the union representing the city's public works employees, which will sustain lowered work hours while avoiding layoffs.

Watsonville has a $3.1 million deficit, $2.1 million of which is in the general fund. 

The agreement between the City and the union is meant to soften that deficit.

According to a press release from Deputy City Manager Mario E. Maldonado, the public works employees will continue a 10 percent workweek reduction down at four nine-hour days for at least the next two years. 

In addition, the employees agreed to pay 4 percent of retirement costs in exchange for a one-time salary adjustment of 3.5 percent.

“I am thankful to our...employees and negotiators for their efforts in reaching this tentative agreement which saves jobs and does not disrupt public works services to Watsonville residents," said City Manager Carlos J. Palacios. "...In the long-term it allows the City to make inroads in addressing future pension costs by only paying for the employer share of the cost.”

The agreement has to be ratified by the union and then officially approved by the Watsonville City Council on June 11.