Gov. Ned Lamont announced a new union contract agreement with the state’s 12,000 personal care assistants (PCA) represented by SIEU 1199, that awards a 26 percent pay increase over the next three years to address a worker shortage, according to a press release.
In addition to wages rising from $18.25 per hour to $23 per hour, the new contract would also award longevity bonuses; establish Labor Day and Juneteenth as two additional holidays; increase time off accruals from 40 to 50 hours per year; expand healthcare premium assistance for PCAs and grant an additional $750,000 into the worker orientation and training fund.
“This historic agreement shows our commitment to address the worker shortages experienced by some of Connecticut’s most vulnerable Medicaid participants through the creation of a package of wage and benefit enhancements that will support recruitment and retention in the home care workforce and ongoing education and training to promote quality service delivery,” Lamont said.
The use of PCAs in Connecticut has expanded over the past decade as an alternative to nursing homes and other facilities, allowing seniors or individuals with disabilities to receive care and assistance in their homes, rather than potentially costly residential settings. The deal is between SEIU 1199 NE and the PCA Workforce Council, created under Gov. Dannel Malloy by executive order in 2011.
SEIU 1199 NE President Rob Baril said the deal is an “important step,” for the 12,000 PCAs, “who are mostly Black, Latina, and White working-class women,” covered under the contract, which was recently ratified by the union.
“They provide love and care at home for our elderly and disabled, but they keep struggling to cover their family’s essential needs,” Baril said in the press release. “We thank Governor Lamont and the state’s PCA Workforce Council for working with our union home care team to achieve this historic agreement on behalf of nearly 12,000 direct caregivers.”
Although the contract has been ratified by the union, it will have to go before the General Assembly for approval and could potentially further raise the costs of Medicaid, something lawmakers have been dealing with as the largest fixed cost in state government.
According to the Office of Fiscal Analysis (OFA), Connecticut will spend $4.7 billion on “entitlements,” including Medicaid, this fiscal year, growing to $5.4 billion by fiscal year 2028.
Although Connecticut is currently enjoying budget surpluses, there is pressure on lawmakers to adjust the state’s fiscal guardrails to enable more spending as numerous groups, particularly higher education officials, clamor for more funding during this budget adjustment session.
According to the governor’s press release, the wage increase will make Connecticut a “national leader in the compensation provided to PCAs serving Medicaid recipients in similar programs,” but the cost of the contract is not yet known. The OFA will assign the contract a fiscal note before it comes up for a vote in the legislature.
The last extension agreement in 2022 raised PCA wages from $16.25 per hour to $18.25 over two years and was estimated to cost $27.5 million.
PCAs are technically paid by the person receiving the services through a fiscal intermediary, the subject of which has been a thorn in the side of SEIU 1199 and PCAs in the past. PCAs filed grievances against the previous contractor, Allied Community Resources, for failing to pay them on time, resulting in the Lamont administration forming a new $126 million contract with another provider that took over payment processing services this year.
Republican leaders in the House and Senate issued a statement warning about the potential costs of the agreement and whether it sets a new floor for future negotiations.
“While we appreciate – and support – the great work performed by PCAs, we urge our colleagues in the legislature to consider whether taxpayers can afford to make Connecticut the ‘national leader’ in union compensation for this bargaining unit at a time when we’re trying to strike a balance between fiscal responsibility and providing appropriate funding for critical government services,” Sen. Stephen Harding, R-Brookfield, and Rep. Vincent Candelora, R-North Branford said. “Aside from just the budgetary concerns related to this package, we fear this deal sets a new floor for future negotiations of state employee contracts that could drive astronomical spending increases over the long-term.”
Cynthia Johnson, a PCA out of New Haven, said the wage increase will make a big difference in her life.
“With this new contract, both me and my consumers can get peace of mind. I will be able to keep the job that I love so much, provide care for my consumers, and grow as a personal care attendant in Connecticut,” Johnson said.
“[The contract] will ensure consumers’ preference to receive care in their own home and community for as long as possible and helps delay or avoid more costly institutional care,” Lamont said. “I personally thank all those who helped negotiate this, and I urge the General Assembly to promptly approve this agreement.
**This article was updated with comments from Sen. Harding and Rep. Candelora**
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