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CITY'S LABOR CONTRACTIONS

TEMPORARY RESOLUTIONS LEAVE WORK TO BE DONE

EVEN MICHAEL NUTTER'S biggest fans worried when he became mayor that the pending contract negotiations for the police, fire and blue- and white-collar unions would be a crucible for his administration. Many worried that not only would this be his biggest test, but that a fractious process and a potential strike would be an early buzz-killer for a city newly infused with hope.

Yet here we are, a few short weeks after the contracts expired, with largest two of the four unions reaching agreement. (Rank and file still must approve.) Arbitration for firefighters is pending and District Council 47's situation is unresolved.

Surely this means that it really is a new day . . . it really is!

While it's true we might all be able to sleep better, it's only going to be the briefest of naps. Over the next year, a health-care committee that ideally will consist of members of all unions will be working on the biggest challenge: how to contain rising costs that take up an extraordinary piece of the city budget. (For more details, including highlights of the contracts, see www.ourmoneyphilly.com)

Which means that the real test - finding the balance between the city's need to avoid bankrupting itself on health-care costs and labor's interest in getting the most for its members - has only been postponed.

We can't help wondering at what cost. For one thing, the signing bonus that DC33 received - $1,100 per member for a total of $6.3 million - is consistent with past contracts, but not for a one-year extension. And while these bonuses will do far more than Bush's economic stimulus checks ever did, we wonder if the city has spent too much for a temporary fix.

We give Nutter much credit for sticking to his word and keeping the negotiations out of the realm of theater and approaching the task with the goal of respectful collaboration. And we have no doubt that he plans this one-year hiatus will be productive. But it's the nature of the beast that the unions and the city have different interests.

For example, DC47's request for an increase in the city's health-care contribution doesn't bode well for a consensus on finding radical new approaches to cutting health-care costs.

Given past contract talks, this one has so far shown that a new day is possible. We hope we can say the same a year from now. *