Arbitrator Martin Sheinman has written a decision saying the city does not have to use extra money to pay arrears owed to UFT retirees. In our new contract, the city agreed to set aside $180 million for back pay for UFT members who retired between November 2009 and June 2014. These retroactive increases are for when these employees were still active. Teachers went six years without a raise.
Under the terms of the new contract, members who retired by June 2014 were going to be given all of their arrears in a one time payment as opposed to receiving the money piecemeal through 2020 as other members will be paid. Amazingly, the city and UFT were caught off guard when many more UFTers retired than they expected. That is the cause of a $60 million shortfall.
Sheinman will decide how to make up for the deficit.
According to his decision, cited at Chalkbeat.org, "Out of a multi-year package costing billions of dollars such modification shall not be difficult and shall be relatively minor." What does that mean?
Meanwhile, retirees have to wait even longer for their promised money.