TRENTON — New Jersey Gov. Chris Christie on Tuesday will sign legislation instituting a 2 percent cap on salary increases for police and fire fighters if their union can't come to an agreement during contract negotiations. The bill was heralded by both the governor and Democratic leadership in the Legislature as one of the biggest pieces of the "tool...
Gov. Chris Christie and Sen. Stephen M. Sweeney (D-Gloucester) shake hands after a press conference earlier this month, where it was announced that they have reached a deal on a key part of Christie's "tool kit" to help towns curtail property taxes on arbitration reform for police and firefighters.TRENTON — New Jersey Gov. Chris Christie on Tuesday will sign legislation instituting a 2 percent cap on salary increases for police and fire fighters if their union can't come to an agreement during contract negotiations.
The bill was heralded by both the governor and Democratic leadership in the Legislature as one of the biggest pieces of the "tool kit" Christie proposed to help municipalities deal with the impending 2 percent cap on property tax collections.
The 2 percent limit will affect contracts that come to an impasse and seek a third-party arbitrator to resolve the differences. If a contract goes into arbitration, the salary increases must average 2 percent a year over the length of the contract.
The new legislation also places limits on the pay arbitrators may receive, capping their income at $1,000 a day and $7,500 for the length of the case.
Arbitrators will also be required to reach a decision within 45 days. In some negotiations, contract arbitration has stretched on for years and municipalities were forced to pay back pay once the contract was decided.
Previous coverage:
• N.J. Assembly approves arbitration reform bill with 2 percent pay cap for police, firefighters
• N.J. lawmakers to vote on Gov. Christie's tool kit bills
• Gov. Christie, N.J. Democrats reach 'tool kit' deal on union arbitration reform
• N.J. Gov. Christie announces arbitration reform deal as part of tool kit