Waukesha Water Utility Employees Would be Subject to Same Conditions in Budget Repair Bill

Because the Waukesha Water Utility’s revenue comes directly from its customers, the utility isn’t facing the same cuts in state funding that local governmental agencies are experiencing.

However, because their union employees contribute into the Wisconsin Retirement System, the union employees will have to pay the 5.8 percent of their paychecks into the state retirement system if everything moves forward with Gov. Scott Walker’s budget repair bill.

While the non-union employees will have to start contributing toward their pensions when the law goes into affect, it is different with the utility’s union employees. The union employees will have their contracts expire at the end of the year.

“Up until that time, the contract provisions in effect continue,” said Rob Buikema, a labor attorney that is contracted by the Waukesha Water Utility. “They are in full force and affect and the law does affect them. What you have committed to in your contract is what you have committed to in 2011.”

The Waukesha Water Commission had a general discussion about the impacts to the law during its meeting Thursday night but did not make any formal motions, votes or recommendations.

The budget repair bill also requires employees to pay a portion of their health insurance premiums, but because the utility is not using the state insurance system, Buikema said, the mandate does not extend to the utility employees.

But, as collective bargaining for issues like sick days and health insurance ends when the law goes into affect, the water commission would need to make decisions about employee contributions.

The utility’s current plan includes about a 10 percent contribution toward the premium. The family plan also costs the utility about $5,000 less per year than the costs that the city pays for its employees, said Waukesha Water Utility General Manager Dan Duchniak.

Waukesha Water Commission President Dan Warren hinted that the discussion will be prevalent during the next several water commission meetings as more information and ideas become available. The commission will need to establish policies for benefits and working conditions.

“We haven’t figured out yet how we want to handle everything other than wages,” Warren said. “… There is a lot that has to be figured out to get to the finish line and have the commission as the employer make the determinations between now and the end of the year. … We don’t want to leave people sitting in limbo, so I think it would behoove us as soon as possible to begin some conversations about what that looks like and get some decisions made.”