January 5, 2013 – Detroit Mayor Dave Bing and the City Council will begin negotiations next week on another round of cuts for city workers, including reductions in health care benefits and pay for employees of the legislative and executive branches and a pension freeze for many city workers. The mayor is calling for a one-year freeze on pension credits beginning Feb. 1 for employees under Detroit’s General Retirement System. He also would implement a 70-30 health care plan and furloughs equivalent to up to a 20% pay cut for staff of the City Council and mayor’s office through the end of 2013. Furloughs have been used in the past as a means to curb costs and were estimated to represent a 10% pay cut.
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