WHEREAS:

More and more municipalities are experiencing severe financial hardships; and

WHEREAS:

The filing for federal bankruptcy protection by the City of Bridgeport, Connecticut, and the resulting court decision has created new threats to the collective bargaining process and wages and benefits of public employees; and

WHEREAS:

The resulting federal bankruptcy court decision confirmed that the City of Bridgeport, and potentially many other municipalities have the right to file for federal bankruptcy protection; and

WHEREAS:

Existing federal bankruptcy protections do not include the same protections for public workers that are found in other areas of federal bankruptcy law to protect private sector employees.

THEREFORE BE IT RESOLVED:

That AFSCME supports enactment of legislation extending federal bankruptcy protections to public sector workers to preserve existing collective bargaining agreements, to provide public sector employees the same protections as the private sector, and to ensure that federal bankruptcy laws do not permit municipal bankruptcy except where states have specifically granted local governments the power to file for bankruptcy; and

BE IT FURTHER RESOLVED:

That AFSCME urge Congress to enact H.R. 3949, AFSCME backed legislation sponsored by Representative Howard Berman (D-CA) to reform municipal bankruptcy laws.

SUBMITTED BY:

Dominic J. Badolato, President and Delegate
AFSCME Local 1303, Council 4
Connecticut