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HomeMy WebLinkAboutResolutions - 2019.05.08 - 31340MISCELLANEOUS RESOLUTION #19122 BY: Commissioner Angela Powell, District #10 IN RE: BOARD OF COMMISSIONERS — GUARANTEED MINIMUM COMPENSATION RATE FOR FULL-TIME COUNTY EMPLOYEES To the Oakland County Board of Commissioners Chairperson, Ladies and Gentlemen: WHEREAS if you work full-time you should not live in poverty; and WHEREAS a growing number of states and local governments have recognized the need for a livable wage for all working people through the adoption of laws requiring the payment of a $15 minimum wage; and WHEREAS establishing a national $15 minimum wage would contribute significantly to positive outcomes for our society and individuals, such as reducing poverty and income inequality rates, improving health outcomes, and increasing children's access to nutrition and education; and WHEREAS President Franklin Roosevelt and the U,S. Congress created the minimum wage in 1938 with the intent to provide a living wage that would allow all workers sufficient income to stay out of poverty; and WHEREAS since 1968, the federal minimum wage has steadily fallen behind increases in inflation, improvements in productivity and economic growth, and growth in productivity. According to a study by the Center for Economic and Policy Research (CEPR), the federal minimum wage would have been $21.72 per hour in 2012, instead of $7.25, if the minimum wage had kept pace with increases in productivity since 1968; and WHEREAS the National Employment Law Project reported, in a recent cost of living analysis, that single workers will need to earn more than $15 an hour by 2024 just to afford basic housing, food, transportation and other costs; and WHEREAS according to the Economic Policy Institute's family budget calculator, there is not one county in America where an individual without dependents can maintain a secure standard of living working full-time, year-round at $12.98 an hour; and WHEREAS Michigan has adopted a higher minimum wage than the federal minimum as a direct result of citizen led ballot initiatives; however, in 2019 a minimum wage of $9.45 is still woefully inadequate; and WHEREAS the ALICE (Asset Limited Income Constrained Employed) Report for Oakland County calculates 24% of all county households are working and struggling to afford basic needs. Combined with households that are below the federal poverty level raises the total households in Oakland County struggling to meet basic needs to 32%; and WHEREAS the ALICE calculates that in order to meet basic needs in Oakland County a single person must work full-time and earn $11.90 per hour, and a family of four with one infant and one preschooler must earn $38.53 per hour; and WHEREAS an opportunity exists for Oakland County to lead and join state and local governments like New Jersey, Illinois, California, Massachusetts, New York, Maryland, the City of Seattle and the City of Phoenix that have set themselves apart by adopting policies establishing a $15 minimum wage plan; and WHEREAS Oakland County can best demonstrate leadership on this critical issue by leading by example; and WHEREAS within the Oakland County Salary Administration Plan there are classifications with a salary rate below $15 an hour, either at the base or one (1) year step, posing economic challenges for employees and their families; and WHEREAS the employees of Oakland County believe in the value of work and strive for a quality of life, no different than employees across the nation; and WHEREAS Oakland County strives to be a leader and an employer of choice, and this is an opportunity to lead by investing in all its employees and raising the salary rate of classifications of Oakland County employees who are paid less than $15 an hour; and WHEREAS the Board of County Commissioners is empowered, pursuant to Section 45.556 (f) of the Optional Unified Form or County Government, Act 139 of 1973, to "establish salaries of elected officials and heads of boards, commissions, and departments unless otherwise fixed by law. Adopt a classification and pay plan for positions in the county service, which shall provide uniform compensation for like service"; and WHEREAS by increasing the minimum salary rate to $15 an hour, Oakland County is investing in its workforce and assisting in the effort to retain and attract talented employees now and in the future, while ensuring they can better meet their economic needs; and WHEREAS the Oakland County Board of Commissioners acknowledges the path to $15 an hour should be embraced by the public and private sector. NOW THEREFORE BE IT RESOLVED that the Board of Commissioners hereby establishes that the minimum compensation rate for all full-time eligible classifications shall be set at no less than the equivalent of $15 an hour, that the salary schedule and salary administration plan be adjusted to implement this change in policy. BE IT FURTHER RESOLVED that the Board of Commissioners hereby establishes that the minimum compensation rate of classifications with full-time non-eligible employees shall be set at no less than the equivalent of $15 an hour, that the salary schedule and salary administration plan be adjusted to implement this change in policy. BE IT FURTHER RESOLVED incremental increases to be set forth as adopted through the merit rules and/or by policies of Oakland County. BE IT FURTHER RESOLVED that the salary rate of $15 an hour for County employees, as identified, will be effective the first pay period in July 2019. BE IT FURTHER RESOLVED that the Oakland County Board of Commissioners requests the Oakland County Purchasing Department to take the lead and encourage service contractors and sub-contractors to voluntarily provide a $15 an hour minimum wage to employees that perform work in accordance with service contracts with the County. BE IT FURTHER RESOLVED a budget amendment will be required. Chairperson, I move the adoption of the foregoing resolution. Commissioner Angela Powell District *10 Resolution #19122 May 8, 2019 The Chairperson referred the resolution to the Legislative Affairs and Government Operations Committee. There were no objections.