APA 2021 Health Care & Wage Increase
The APA has confirmed that the base wage increase, for the year 2022 of our joint wage and health care agreement will be 2.00%. This increase will be realized for all APA members in October 2022. The raise for October 2021 is 2.75%. These are contract raises and cannot be taken away without your approval.
As a reminder, the APA negotiates our contracts that ensure fully funded health care, a minimum salary by grade level, and annual eligible base wage increases. Health care will continue to be fully MSU-funded with no employee premium for the base plan for single, double, and family coverage through December 31, 2021.
Our benefit package is a combination of the Memorandum of Understanding (MOU) between the University and the Coalition of Labor Organizations at MSU and our Administrative Professional Association (APA) contract. Under the MOU our healthcare benefits and the annual raise percentages are included. Under our APA contract, the APA member benefits are defined specifically for those in APA positions, including the minimum wage for the specific levels. It is noteworthy that the APA contract works as a floor and there is no ceiling for the salary increase amount or maximum annual salary.
For October 2022, under the MOU, the health care cost increase will continue to be measured using the average union member health care cost increase. As with this notice, once we know the health care cost increase for each measuring year and the associated base wage increase amount, we will communicate with the APA membership accordingly.
The MOU is due to expire on December 31, 2021 and we are currently working through the ratification process of a successor agreement. Our APA Collective Bargaining Agreement (CBA) is a 4-year contract and expires September 1, 2023.
A More Detailed Explanation of the October raises
The APA wage increases for the coming years are as follows:
-October 2021: 2.75% subject to 40% of the wage increase provided automatically and 60% of the wage increase provided through application of management’s merit pay guidelines.
-October 2022: 2.00% subject to 40% of the wage increase provided automatically and 60% of the wage increase provided through application of management’s merit pay guidelines.
While 100% of the funds negotiated by the APA for annual wage increases must be distributed in full to APA members each year in October, a department is fully permitted under the APA contract to provide a greater wage increase in October, or extend an out-of-cycle wage increase in any month, provided the department accounts for the funding in their budget and it is processed through HR.
Further Questions?
We hope that the above information helps inform your understanding of the upcoming annual APA wage increases and fully funded health care coverage. You can review a copy of the current joint wage and health care agreement on the APA website at:
http://lay.wyz.mybluehost.me/wp-content/uploads/2018/01/Final-JHCC-MOU-2018-2021.pdf