Pay raises weighed for some

Las Vegas City Council members today will consider a half-percentage point pay increase for a small group of city employees to make up for an increase in the required contribution to the Public Employees Retirement System.

The increase would apply to executive employees, who are department directors and city managers, and appointive employees, a group of about 300 people that includes City Council liaisons, those in the administrative services, government affairs and communications offices, and some higher-ranking Fire Department officials.

These employees are not represented by a union.

The increase would cost the city $161,120 and would make up for the employees' share of a 1 percent increase in the PERS contribution.

Although the city has been seeking ways to cut costs, there is money in the budget for the increase, city documents state.

Executive and appointive employees did not receive merit pay increases in 2008, and executive employees did not get a cost-of-living increase. Appointees received a 2.5 percent cost-of-living raise.

The half-percentage point increase is the only hike on the table this year, city spokesman Jace Radke said.

Earlier this year, city officials and three of the unions that represent city employees agreed to changes in those contracts to reduce costs.

The Las Vegas City Employees Association and the Las Vegas Police Officer Association, which represents city detention center workers, agreed to a 1 percentage point reduction in the annual cost-of-living increase while leaving annual step and merit raises intact.

City marshals agreed to cut their uniform and equipment allowance in half. The city's firefighter union is in contract talks with the city now.

Those contract changes were projected to save the city about $23.4 million compared to leaving the existing contracts in place. It was part of an effort to bridge an expected $150 million shortfall over the next five years caused by a slumping economy and depressed tax collections.

Other steps included eliminating positions or holding them vacant, delaying equipment purchases and capital projects, reducing services and consolidating some city functions.

In May, however, the council was told that an updated projection put the expected budget deficit over the next five years at $270 million. City officials said labor costs would have to be reduced further, either through more contract changes or layoffs.

Contact reporter Alan Choate at achoate@reviewjournal.com or 702-229-6435.