The City of Detroit has announced that it has reached a tentative deal with thousands of city employees represented by a coalition of 30 bargaining units and unions. The agreement is expected to restore wage increases, at least partially, for employees who have not seen a pay increase since 2010 in some cases or major cuts in 2012 for others. The five-year agreement gives momentum to the bankrupt city to leverage deals with other creditors. The city?s police and firefighter unions continue to negotiate with the city with starting wages and pension cuts being the largest points of contention. The city must have its debt restructuring plans finalized before July 24th when the city will be forced to defend those plans for a final time at its confirmation trail hearings.
See "Detroit?s deal with labor unions puts pressure on holdouts", Chad Livengood & Robert Snell, Detroit News, April 28, 2014