Long-Term Union Contracts Paying Off For Montclair, Officials Say

MONTCLAIR, NJ — Montclair has been steadily inking long-term deals with eight labor unions who represent the town’s employees over the past year, and it’s paying off big time, officials say.

While some municipalities are entrenched in a cycle of one or two-year contracts with their employees, Montclair has been taking a more unusual approach, gunning for as high as eight-year commitments.

The tactic has gained the enthusiastic support of Councilor-at-Large Bob Russo, who said it’s resulted in the most positive labor relations he’s seen in his 20 years on the council.

“These longer, multi-year contracts are unique in New Jersey,” said Russo, a past member of the Communications Workers of America (CWA) and American Federation of Teachers New Jersey (AFTNJ).

According to Patrick Ciancitto, chief steward at Office and Professional Employees International Union (OPEIU) Local 32, their previous contract with Montclair expired at the end of 2018. But after “proactive” negotiations that lasted most of 2019 and included concessions on both sides, workers were able to reach a “satisfying” agreement that runs through December 2025.

“In the past, our contracts were usually for four years,” Ciancitto said. “This time around, the township wanted a six or seven-year deal.”

Other recently settled contracts include:

• Montclair PBA Local 53: Jan. 1, 2019 – Dec. 31, 2024
• Superior Officers Association, Local #53A: Jan. 1, 2020 – Dec. 31, 2027
• Firefighters Mutual Benevolent Association Local 20: Jan. 1, 2021 – Dec. 31, 2027
• Fire Superior Officers Association Local 20A: Jan. 1, 2021 – Dec. 31, 2027
• American Federation of State, County and Municipal Employees Local 2296: Jan. 1, 2020 – Dec. 31, 2026
• CWA Local 1040 (Supervisory): Jan. 1, 2020 – Dec. 31, 2026
• CWA Local 1040 (Non-Supervisory): Jan. 1, 2020 – Dec. 31, 2026

The above deals each include “fair wages and benefits packages” while maintaining health insurance premium contributions, Montclair town officials stated in a news release.

In addition, most salary guides were extended, freezing some entry-level and intermediate salary guide steps, officials said.

Longer contracts aren’t just a way to create good will with workers, they’re also a way to combat unknown salary costs, officials said.

“Labor costs are the single largest expenditure for our municipality – and that is generally the case for most local governments,” Mayor Robert Jackson said. “As such, the township’s ability to maintain services and take on additional initiatives depends to a large degree on the terms of union contracts.”

“Long-term contracts provide a greater degree of certainty for service levels and afford us much greater confidence in financial projections,” Jackson said.

Town officials said the wave of successful contract negotiations has been a team effort:

“Acting Township Manager Timothy Stafford led the township’s negotiating team, with the township’s financial advisor, Bob Benecke, structuring the agreements’ financial aspects, and labor counsel, Joe Hannon, handling technical legal aspects. At each critical stage of negotiations, the township’s finance committee, including Mayor Jackson, Councilor William Hurlock, Councilor Rich McMahon and CFO and Registered Municipal Accountant Padmaja Rao, provided guidance and feedback.”

Benecke said the township’s current triple-A (AAA) financial rating will be bolstered by the long-term agreements, which will help avoid renegotiating costs and potential labor instability.

“Further, the respect that was exhibited by all sides and participants was truly unique and a pleasure to be a part of,” Benecke said.

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