City Employees Win Four-Year Raise and Job Protection
The Board of Supervisors voted to approve a labor deal covering 22,000 workers through June 2029.
Updated on Oct. 21, 2026 in Unions
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City employees are set to receive a four-year, 12 percent pay increase and long-term job security under a new labor deal. The San Francisco Board of Supervisors unanimously approved the memorandum of understanding, which aims to secure labor peace for the city's public workforce.
Why it matters
The deal resolves recent instability for more than 22,000 city workers, effectively ending a period marked by layoff proposals and strike threats. It settles the question of how the city will manage its personnel costs and labor relations through mid-2029.
The agreement covers 22,000 employees across six labor unions, representing roughly two-thirds of the total city workforce. The deal includes a 12 percent raise over four years, though the long-term impact on department-level spending is not yet known.
The players
San Francisco Board of Supervisors
The 11-member legislative body that voted to ratify the labor agreement.
Mayor Lurie
The city official who negotiated the labor terms with union leaders.
SEIU Local 1021
A labor union representing a portion of the 22,000 city workers covered by the deal.
IFPTE Local 21
A labor union involved in the negotiations to secure pay raises and job protections.
Municipal Executives Association
One of the six unions included in the newly approved labor memorandum.
The details
The Board of Supervisors voted unanimously to ratify the agreement negotiated between the Mayor and major labor groups, including SEIU Local 1021, IFPTE Local 21, and the Municipal Executives Association. For permanent civil service staff, the contract guarantees no layoffs through June 2029. The terms provide a clear path forward following a contentious spring where layoff threats and strike warnings defined city hall labor relations.
Timeline
April 2026: Mayor Lurie proposed layoffs to city employees.
May 2026: Union leaders threatened to strike.
October 20, 2026: The Board of Supervisors voted to approve the agreement.
June 2029: Layoff protections for permanent civil service employees expire.
Across the Bay
This agreement follows the standard cycle of the city's civil service collective bargaining agreements. It extends that pattern by providing an unusually long window of layoff protections for permanent employees.
Permanent civil service workers will see their job security protected through June 2029 under this contract. Residents can expect continued city services without the risk of labor-related disruptions that were threatened earlier this year.
The takeaway
The city has averted a potential labor crisis by trading a multi-year pay increase for a long-term commitment to staffing stability. Watch for upcoming city budget adjustments as departments integrate these new payroll costs.
Further reading
For more background on labor negotiations in the city, visit the Unions section.
Source note: This article includes information reported by Mission Local.
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