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coolstoryglenn t1_j9woby4 wrote

Relatively common management strategy in labor negotiations is to use a signing bonus to get a lower % increase in salary.

Employees like it because it goes directly into their pocket. Management favors it because it does not compound over time in the way that a permanent bump in pay does.

What were the percentage increases in the new contracts relative to inflation?

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babith t1_j9wqy1b wrote

Exactly. I’m a state employee and in my contract (which is the same or similar to other union contracts) calls for a 2.5% raise each year from 2020-2023, 10% total. Almost a pay decrease (if you consider inflation) if you’re at the top step of your job grade.

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