Tonight, the City of Philadelphia and AFSCME DC 33, the City’s largest union, representing over 7,000 members, signed a four-year labor contract. In accordance with the agreement, DC 33 will become the first major City union to enter into a progressive tiered pension contribution structure for current members and a stacked hybrid plan for new members. The agreement is available in full HERE.

“I want to thank District Council 33 President Pete Matthews and his entire team for their commitment, hard work and dedication to reaching an agreement that is fair to employees but also fair to the taxpayers of this great City,” said Mayor Kenney. “Making the pension fund sustainable has been a key goal of my administration from the beginning.  Today’s agreement marks a key step in that process. Under this Agreement, employees who earn more will pay more for their pensions.  We believe that this approach will provided needed assistance to our pension fund and also be fair to City employees at every level.”

Additionally, DC 33 employees will receive a stepped wage increase of 3 percent in July of 2016, 2017 and 2019 as well as a 2.5 percent increase in July 2018. The average salary of DC 33 employees is approximately $38,000 This agreement also provides additional funds for the DC 33 health fund to continue to provide quality health benefits to City employees.

“I am happy to recommend this contract to our membership because it is a fair contract reached through an open and honest set of negotiations,” said District Council 33 President Pete Matthews. “Knowing the problems facing public pensions all over the country, we worked with the city to address the funding levels with a fair agreement which will secure all of our current and future pensions.”

###