Labor Relations

Â鶹´«Ã½, UNAC mutually agree to seek federal mediation

December 6, 2024

The Latest: President Pitney shared earlier this week that Â鶹´«Ã½ and United Academics (UNAC) have mutually agreed to seek mediation to keep negotiations on a new collective bargaining agreement (CBA) moving forward.

  • Why It Matters: Mediation will allow Â鶹´«Ã½ and UNAC to build on the significant progress that’s already been made and address outstanding issues on which we’ve been unable to reach agreement in a fruitful, productive way. 
  • Agreement has been reached on most of the contract terms, and seeking mediation to help reach tentative agreement (TA) on outstanding articles is not uncommon.
  • In the short term, no major operational impacts or changes are expected. The end of Fall Semester and start of Spring semester will continue as they always have.

Catch Up Quick: Â鶹´«Ã½â€™s current agreement with UNAC - which represents most of the faculty at the Â鶹´«Ã½ System - expires at the end of December. Negotiations began in August, and the negotiating teams have TA’d 17 of the 22 contract articles.

  • Seeking mediation now allows us to build on progress already made toward a new contract, and increases the likelihood that we will be able to agree on a completed one before important state budget deadlines in the spring.

The Details: The most significant areas where Â鶹´«Ã½ and UNAC remain far apart are monetary terms, namely compensation and benefits. 

  • Importantly, those are also items on which agreement must be reached in time for the Governor’s budget office to review before the March 21, 2025, deadline for submission to the Legislature for inclusion in the University’s budget that begins July 1, 2025.
  • Â鶹´«Ã½â€™s latest proposal includes higher salary minimums and across-the-board increases of 2.75%, 3%, and 3% for FY26, FY27, and FY28, respectively.
  • UNAC’s compensation proposal is projected to cost nearly $113 million over the contract period, exceeding Â鶹´«Ã½â€™s proposal by roughly $40 million.

Zoom Out: Negotiations are taking place in an atmosphere of restrained state spending, even as fixed costs - healthcare, utilities, and cybersecurity, among others - continue to rise. 

  • The FY26 budget proposal approved by the Board of Regents in November reflects Â鶹´«Ã½â€™s need to keep our budgetary requests to the state narrow and focused.
  • The Board and university leaders are concerned about the sustainability of proposed compensation increases due to rising healthcare costs. Those increased costs have resulted in challenging circumstances for school districts and municipalities around the state already this year. 
    • By the Numbers: The budget approved by the Board in November already requests over $20 million in state funding to cover increased premium costs for FY26 and cost under-recovery from FY24. 
  • Striking a Balance: The Board and President Pitney understand that compensation is a key issue for recruitment and retention, but must balance it with our and the state’s budget constraints.

What’s Next: Negotiations will continue with a mediator, likely sometime in January. Both Â鶹´«Ã½ and UNAC previously agreed to abide by current contract terms and keep negotiating even if the contract expiration date has passed, which is consistent with our mutually agreed-upon ground rules and Alaska law.

  • Operational Impacts: In the short term, no major operational shifts are expected.  Classes will continue through the end of this semester and begin again in January as usual with no disruptions, consistent with the agreed-upon ground rules and Alaska law.

Notable Dates:

  • December 31, 2024 – Current UNAC CBA expires
  • January 21, 2025 – Legislative session begins
  • March 21, 2025 – Bargaining unit monetary terms due to the Legislature

The Bottom Line: Mutually seeking mediation will help Â鶹´«Ã½ and UNAC build on progress made toward a new contract and address outstanding issues productively. It also keeps us on the path to reaching agreement before the key March 21, 2025 deadline for monetary terms to be submitted to the Legislature.