Detroit plan for $100M in cuts approved

July 13, 2012 at 10:57 AM
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DETROIT, July 13 (UPI) -- Detroit Mayor Dave Bing's proposal for $100 million in cuts to the city's unionized workforce has been approved by a city-state financial advisory board.

The proposal would cut pay 10 percent, force workers to pay more out-of-pocket costs for healthcare and place limits on overtime, the Detroit Free Press reported.

The advisory board, which includes appointees of Bing, the City Council, Michigan Gov. Rick Snyder and state Treasurer Andy Dillon, was established to oversee Detroit's financial restructuring under an agreement between state and city officials.

The Free Press said the Bing administration is expected to impose the cuts without negotiations.

Board member Darrell Burks said the cuts need City Council approval. City Council President Pro Tem Gary Brown said the council will meet Monday on the proposal and could vote by Tuesday.

Union leaders criticized the proposal.

"It's an attempt to back-door a right-to-work environment within Detroit municipal government," said Greg Murray, vice president of the Senior Accountants, Analysts and Appraisers Association.

"It's aggressive in nature and takes you back to the '40s and '50s, and contains all the things that helped give rise to the union movement."

The pay cut would apply to police and firefighters.

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