Buyout for county employees raises questions

Area News

July 1, 2009

By Heather Mullinix / hmullinix@crossville-chronicle.com The Crossville Chronicle Wed Jul 01, 2009, 11:22 AM CDT

A buyout program for six full-time employees of the Cumberland County Convenience Centers has raised questions for the employees and left a few commissioners feeling a promise had been broken.

Carmin Lynch, 9th District commissioner and chairman of the budget committee, said, "When we set up the salary and wage scale three years ago, we tried to establish the job levels and positions for each function that had to be provided. When we came to convenience center operators, we said that would not be a full-time position on the scale. It's not you were singled out, it's that you were grandfathered in at the time with the expectation the full-time positions would be phased out over time."

But budget constraints this year have accelerated phasing out the full-time positions, Lynch said. The county is down about $200,000 in the past year from sale of recyclable materials.

The proposal to buy out the six full-time employees and to replace those positions with part-time positions is expected to save the county $107,000 annually, though the savings will be about half that the first year as it will cost the county about $53,000 to pay the buyouts. A rate of $320 per year worked has been proposed.

County Mayor Brock Hill said, "You asked us to reduce the budget five percent and we did that cutting back operation of the centers one hour a day. But then you went back and did this on your own. We didn't recommend this and, quite frankly, I don't support it. These folks have done a great job for you. Eventually they will all retire and you'll have all part-time employees. I don't know why you want to single them out."

Mike Harvel, 7th District commissioner, said it wasn't fair to have the six full-time employees, who received health and other benefits, while the other 26 employees did not qualify for those benefits.

"They knew that when they took the job," Hill said.

Lynch said the employees would be welcome to come back as part-time employees.

Employees asked if working part time for the county would affect retirement benefits.

Nathan Brock, county finance director, said retirees were capped at working 120 eight-hour days during a year or a maximum of 960 hours. There is no cap on the amount of earnings a person can make, he said, as long as the time limits are not exceeded.

Questions were also raised on pay cuts the six employees could face if they returned as part-time employees. Lynn Tollett, 3rd District commissioner, suggested looking at hourly wages for the full-time employees who return as part-time employees to consider the years of service to the county.

"These are probably the highest paid people in the convenience centers," Tollett said. "If this passes, we need to look at paying them an hourly rate same as the others that have been there the same amount of time, instead of sending them back to minimum wage."

Nancy Hyder, 2nd District commissioner, asked if the six had other options for health insurance benefits. The employees said they would be eligible for Medicare, but would have to bear the cost of a supplemental health policy and Part D prescription medication coverage.

"What you're going to do to these people is cut their pay and then make them spend what they do make on health benefits. Most of us plan our budgets based on what we're making. It's a tremendous drop off after the first year," Hill said. "It's harsh from my perspective."

Lynch said, "We're not getting any pleasure out of this. We could choose to lay off other people.

Tollett said, "And they would be released with nothing. There's still some money coming in in this situation for anybody that wants to come back and work."

Jim Inman, 1st District commissioner, said, "It happened this year because we're trying every way in the world not to have to lay anyone off totally. And even with this, I don't know if we're going to be able to do that."

"I know you have a tough job and you've got your work cut out for you. But, consider us. If there is any way you can save our insurance, for God's sake, save it," said one of the six workers present for the meeting.

The buyout program will have to be approved by the full commission. The next meeting of the commission is scheduled for July 20.

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