Malloy, Unions 'Close' To $1.6B Concession Deal

HARTFORD, CT — Gov. Dannel Malloy and the state employees union are close to a $1.6 billion concession deal, according to multiple media outlets. In exchange for various givebacks the state benefits contract would be extended to 2027 instead of expiring in 2022.

No deal has been finalized between the negotiating parties, and the deal would still need to be ratified by the union members. However, news that the union and Malloy are near a deal would help alleviate some concerns about the coming budget deficit.

Connecticut is currently projecting a two-year nearly $5 billion budget deficit. Up to 4,200 layoffs are possible without a concession deal. (SIGN UP: Get Patch's Daily Newsletter and Real Time News Alerts. Or, if you have an iPhone, download the free Patch app.)

Some of the highlights of the proposed concession deal include:
A three-year wage freeze and increased health insurance and pension costs are possible for unionized state employees, according to the CT Mirror.

The state benefits contract was first approved in 1997 under Gov. John Rowland and was originally set to expire in 2017, but it was extended through 2022 under Malloy in exchange for prior concessions. Some argue that the agreement provides generous pension and retiree health care benefits that should be allowed to expire.

The deal could also potentially include furlough days and restrictions on future layoffs.

There is still a chance the deal could fall apart, according to the Hartford Courant. The legislative session ends on June 7, and it’s unlikely the union will be able to vote on the matter by then, but it could potentially vote by the end of the fiscal year on June 30.

"If we stay at the table, if we treat one another with respect, and if we recognize that we all want what’s best for our state, then we can – and will – get this done," Malloy said in February regarding negotiations with the state employees union.

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