Historic agreement between government and public service unions

June 7, 2014 - La Fortaleza, San Juan, Puerto Rico - Governor Alejandro García Padilla’s Administration and the leadership of six public service unions representing over 38,000 employees culminated in a historic negotiation that will allow amendments to their labor agreements in the Executive Branch with adjustments in economic benefits in light of the fiscal situation.

The labor leaders that took part in the month and half long negotiation represent 92% of 41,000 organized workers of the central government. The agencies of the Executive Branch of the Commonwealth of Puerto Rico have 120,000 employees.

The Governor expressed he was pleased with the outcome of the dialogue. "On behalf of the people of Puerto Rico, I deeply appreciate the collaborative will and patriotic commitment shown by the union leadership," said García Padilla.

Chief of Staff Ingrid M. Vila Biaggi led the talks along with the Secretary of Labor, Vance Thomas; the director of the Office of Management and Budget, Carlos Rivas, and the Governor’s Labor Advisor Luis Alberto Alvarez.

"After six intense meetings, since these negotiations began last May 7, today we are pleased to report that we have reached agreements with union leaders of a large group of unionized public servants regarding adjustments in their economic benefits. This allows us to continue our work towards a balanced budget," said Chief of Staff Vila Biaggi.

She highlighted "men and women, union leaders remained on the table in a spirit of dialogue and consultation, represent the genuine spirit of public service that characterizes the employees of the Commonwealth. These leaders have taken a historic step putting the welfare of the people as the North and recognizing the need that right now we all have to contribute in order to move the country forward. I thank the union leadership who participated in this process because they have demonstrated that they have a genuine commitment to Puerto Rico."

This agreement, with all the details pertaining to the respective collective bargaining contracts, must now be endorsed by the membership of the six unions.

"We are confident that, as happened with their leaders, among their membership will prevail the understanding that this administration has put all the resources at its disposal to prevent a greater impact on the workforce," said Vila Biaggi.

"This process has marked a historic moment that has put forward the best interest of Puerto Rico and will help preserve thousands of public workers jobs. For the first time, government and unions have carried out a centralized bargaining serving evenly adjustments to the incremental benefits that take effect in the new fiscal year (June 2014-July 2015). This union leadership responded positively to the call made by the Governor in his State Address last April 29 to join together in dialogue to generate the best solutions," affirmed Vila Biaggi.

After the union leadership welcomed the call of the Governor, the first meeting at La Fortaleza (the Executive Mansion) was held on May 7 with a dialogue in order to negotiate adjustments to economic benefits contained in various collective bargaining agreements. From that meeting on, unions and government constituted a negotiating committee.

The labor leaders that participated in the process were: Roberto Pagán (President) and Karen De Jesus (Vice President) of the Puerto Rican Workers Union/SEIU Local 1996; Luisa Acevedo (Chair) and Andres Lloret (VP) of the Central Workers' Federation/UFCW Local 481; Manuel Manuel Perfecto (President) and Eric Sevilla (Executive Director) of the General Union of Workers/SEIU Local 1199; Federico Torres Montalvo, General Secretary of the United Confederation of State Workers; Annette Gonzalez (President), Edgar De Jesus (Executive Director) and Genoveva Valentin Soto of the United Public Servants, Council 95; Hector Rivera and Edwin L. Ortega, international representatives, and Jose Melara, international representative and international coordinator of the United Auto Workers/Local 2373.