MADISON (WKOW) -- Madison Mayor Dave Cieslewicz met with city labor leaders to outline proposed changes to union contracts.
Union leaders agreed to a 2% raise instead of 3% at the end of the year. They also agreed to a 50% contribution to retirement benefits beginning in January 2012. They made the concessions in exchange for a 15-month contract extension.
Mayor Cieslewicz said he hopes the changes will avoid major service cuts or layoff before Governor Walker's budget takes effect.
"This is an example of how collective bargaining works and should work, Cieslewicz said. "Union and management sitting down together, hashing out an agreement in the best interest of the unions and taxpayers."
The mayor says the new agreement will save $2.8 million dollars in the city's 2012 budget.