News Summary
The Beverly Hills City Council has unanimously decided to suspend negotiations with the Management and Professional Employees Association (MPEA) which represents city employees. The main sticking point was a pay-for-performance program that evaluated employee performance through various categories. Both parties were unable to reach a compromise, leading to a declaration of impasse and future discussions anticipated to address the contentious performance pay criteria.
Beverly Hills — The Beverly Hills City Council voted unanimously on September 30 to suspend negotiations with the Management and Professional Employees Association (MPEA), which represents approximately 142 city employees across various roles, including senior planner, city arborist, library administrator, human resources manager, and deputy city clerk. The current memorandum of understanding with the union is set to expire on October 2, 2026, but it includes a reopener clause for future renegotiations.
The negotiations at the center of the council’s decision involved a pay-for-performance program that determines bonus pay based on employee evaluations. In August 2024, the city proposed an employee evaluation system consisting of eight performance categories, which necessitates that employees “exceed expectations” in at least five of these categories to qualify for bonus compensation. Conversely, the union argued that the benchmark should be lowered to require exceeding expectations in only two categories.
During the negotiation process, the city’s requirement was adjusted to four categories while the union increased its proposal to three. However, neither party was willing to compromise further, leading to a declaration of impasse on March 17. On September 30, a public hearing was conducted to address this deadlock.
Tania Schwartz, MPEA President, highlighted the need to keep a balanced evaluation system, expressing concerns over the raised threshold that would require employees to exceed expectations in 50% of performance categories. Currently, the evaluation system utilizes a point mechanic across ten categories, where qualifying for pay-for-performance necessitates rating at least 40% (8 points) of the maximum.
Councilman Craig Corman characterized the city’s requirement as a reasonable standard, expressing that exceeding expectations half of the time appropriately reflects employee performance. Mayor Sharona Nazarian acknowledged the importance of reaching common ground in negotiations and emphasized the value of city employees.
With negotiations suspended, the city is expected to initiate discussions for a new memorandum of understanding with the union approximately six months after the public hearing date. This timeline indicates a potential for revisiting the bargaining process and addressing the contentious performance pay criteria once again.
The MPEA represents a wide array of essential roles within Beverly Hills, underscoring the significance of these negotiations for many city employees and the overall functioning of city services. As the city prepares to embark on further negotiations, the evaluation system and the related performance pay initiatives continue to be pivotal issues for both the city council and the union.
The outcome of these discussions may have lasting implications for employee incentives and overall staff morale in the Beverly Hills civil service, as both parties aim to establish policies that reflect fair evaluation and performance-based rewards.
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Additional Resources
- Beverly Press: Beverly Hills Suspends Negotiations with Labor Union
- Google Search: Beverly Hills negotiations with labor union
- Beverly Hills Courier: Teachers Union BHUSD Hope to Reach Agreement Before Summer
- Wikipedia: Collective bargaining
- Beverly Press: Labor Negotiations Continue Amid Turmoil Involving BHPD
- Encyclopedia Britannica: Labor relations
- Beverly Hills Courier: Labor Negotiations on City Council Agenda
- Google News: Beverly Hills labor negotiations
Author: STAFF HERE BEVERLY HILLS WRITER
The Beverly Hills Staff Writer represents the experienced team at HEREBeverlyHills.com, your go-to source for actionable local news and information in Beverly Hills, Los Angeles County, and beyond. Specializing in "news you can use," we cover essential topics like product reviews for personal and business needs, local business directories, politics, real estate trends, neighborhood insights, and state news affecting the area—with deep expertise drawn from years of dedicated reporting and strong community input, including local press releases and business updates. We deliver top reporting on high-value events such as the Rodeo Drive Concours d'Elegance, the Beverly Hills artSHOW, Concerts on Canon, and holiday celebrations throughout the city. Our coverage extends to key organizations like the Beverly Hills Chamber of Commerce and Visit Beverly Hills, plus leading businesses in luxury fashion, hospitality, and entertainment that drive the local economy. As part of the broader HERE network, including HERELosAngeles.com, HERESantaAna.com, HEREHuntingtonBeach.com, and HERECostaMesa.com, we provide comprehensive, credible insights into Southern California's dynamic landscape.
