On Wednesday the Ann Arbor Public Schools Board of Education notified its teachers union, the Ann Arbor Education Association, that it must reach an agreement by June 23rd, or its contract would be terminated on the 30th. The sticking issue for the union is that the Board of Education is pushing a continuation of a pay cut of 3%. Union officials have calculated that for the 1,109 members that would translate to an average loss of $4,200 per year. The wage cut would save the district about half of the budget reductions necessary to balance its 2014-2015 budget, or about $5.1 million. Although the teachers? contract extends through 2016, a clause allows for early termination and renegotiation if local, state, or federal revenues drop by more than 0.5%.
See "Ann Arbor teachers union: Wage freeze would cost members $4,200 each", Amy Biolchini, MLive.com, June 15, 2014