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Published: January 6, 2009
TAMPA - With rising payroll costs creating record budget shortfalls, Mayor Pam Iorio's administration has capped cost-of-living increases for city workers and firefighters.
Next year, the city will be offering no higher than a 2.5 percent cost-of-living increase for municipal employees, regardless of what their unions are seeking.
"Because of budget constraints, we have to reduce cost-of-living increases," Kimberly Crum, the city's human resources director, said.
Crum said the limits will apply to all city employees and would not affect merit increases, health coverage and other benefits that are negotiated under contractual agreements.
Iorio said recently that the city faces a projected $35 million shortfall next year.
The city is in the midst of contract negotiations with the Amalgamated Transit Union, representing about 2,000 blue-collar, technical and clerical workers, and the union that represents firefighters. Both are seeking pay and cost-of-living increases. In November, the ATU declared an impasse and requested a special magistrate to mediate the talks.
Reporter Christian M. Wade can be reached at (813) 259-7679.
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