Corona is expected to extend labor contracts with some employee groups this week withholding salary or cost of living increases and extending some concessions.
The memorandums of understanding are expected to be approved Wednesday at a City Council meeting at 6:30 p.m. at Corona City Hall, council chambers, 400 S. Vicentia Ave., Corona.
The total savings to the city is expected to be about $2 million, a city report said.
The agreement would extend labor contracts for supervisors to June 2014 and for general employees until June 2015, the report said.
Corona Finance officials said the last time employees received a negotiated base pay increase was in July of 2007 at 3 percent for general employees, 4 percent for Corona supervisors and 4 percent for management and confidential employees.
This year, supervisors and general employees agreed to continue forgoing a $1,500 allowance to their flexible spending accounts.
Supervisors are doing without a $1,900 match to tax-deferred retirement plans while general employees are not receiving a $500 match to their plans, a city report said.
Overall, employee groups have taken wage and benefit concessions that will save the city $9 million through 2013-14.
The city has eliminated about 200 positions since the fall of 2008, City Manager Brad Robbins has said. Norco currently has 700 to 720 employees.
The city also has cut more than $20 million from the budget since 2008.
Finance Director Debra Foster has said she plans to present a balanced budget for 2011-12 but faces an $8,484,917 shortfall for 2012-13.
She also expects the city to see increases in revenues from sales and property taxes in the next couple of fiscal years.
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