Title
Adoption of a Memorandum of Understandings between the Village and AFSCME Local 368 to Maintain Operational Continuity and Address Agreed Upon Language Updates and Compensation Adjustments
History
The Village and the American Federation of State, County and Municipal Employees, AFL-CIO Council 31, Local 368 are parties to a collective bargaining agreement (CBA), which expired on April 30, 2026.
Negotiations have commenced for a successor agreement, but it is mutually decided between both parties that negotiations cannot be completed until the ongoing compensation study and organizational assessment are complete.
In consideration of mutual promises and benefits exchanged so far during the negotiation process and to further this important relationship, the parties have discussed and agreed to address limited, interim updates to the current collective bargaining agreement (CBA), which remains in effect. Specifically, these items include suspension of negotiations; incorporation of tentatively agreed upon contract language; one-time base wage adjustments; merit-based increases and status quo until negotiations resume. A memorandum of understanding (MOU) for each topic has been prepared for Board consideration.
Suspension of Negotiations
This MOU seeks to formally hold successor contract negotiations in abeyance until the completion of the Baker Tilly salary study and Raftelis organizational assessment. All other provisions of the current contract will remain in effect during this period.
Incorporate Changes to Contract Language
This MOU updates the existing AFSCME contract language in sections that AFSCME and the Village have already tentatively agreed upon. These items reflect mutually accepted language updates and operational clarifications. Tentatively agreed upon language provides updates to:
- Union Recognition (Section 1.1)
- Time Clocks (Section 5.2)
- Meal Periods (Section 5.3)
- Floating Holidays language clarification (Section 6.2)
- Holiday Eligibility (Section 6.5)
- TCO Seniority Bidding and Scheduling (Section 7.8)
- Sick Time Article (Sections 8.1- 8.10)
- Vacation Scheduling (Section 10.3)
- TCO Trainer/LEADS Coordinator Pay (Section 11.6)
- Uniforms and Protective Clothing (Section 17.1)
- Motor Vehicle Reporting requirements (Article XXIV)
One-Time Wage Adjustments
This MOU seeks to provide a one-time adjustment to six AFSCME employees to address entry-level disparities. Due to the established contract year salary ranges, some AFSCME employees began their employment at a higher rate of pay than existing employees throughout the past year. The affected employees will receive a one-time adjustment from their current hourly pay rate to $28.00 per hour to fairly account for the disparities.
-Matthew Asbrand
- Jonathan Hall
- Jason Villagomez
- Michael Hansen
- Joseph Wallace
- Cameron Kessler-Chipman (effective after probation)
Merit Increases
This MOU replaces the current position hourly/salary ranges (minimum and maximum) from 3.0% to 3.25%. In addition, each bargaining-unit member will receive their merit-based performance increase, retroactive to the official effective date of the new contract year, May 1, 2026. The maximum increase eligible to receive is 3.25%.
Status Quo Until Negotiations Resume
This MOU confirms that except for the adjustments and language changes described above, all remaining contract provisions remain unchanged until full negotiations resume following completion of the Baker Tilly compensation study and Raftelis organizational assessment is complete.
Financial Impact
While the new MOU includes a 3.25% increase for 2026, the adopted 2026 Budget already accounts for a 3.0% increase. Funding availability for the remaining 0.25% will be evaluated and, if necessary, addressed through a future budget amendment.
Recommended Action/Motion
I move to approve a Memorandum of Understanding as presented between the Village of Orland Park and AFSCME Local 368 as fully presented.
(Full motion - not necessary to be read)
I move to approve a Memorandum of Understanding between the Village of Orland Park and AFSCME Local 368 regarding suspension of negotiations; incorporation of tentatively agreed upon contract language; one-time wage adjustments; merit-based increases and status quo until negotiations resume and authorize the Village Manager to sign the agreement subject to Village Attorney review.