Palo Alto, SEIU contract negotiations stall

October 22, 2009 1:26:24 PM PDT
The city of Palo Alto has declared an impasse in stalled contract negotiations with SEIU, its largest labor union.

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The city wants union members to contribute more to their health insurance and pension to help balance the budget.

The union claims there are other ways for the city to balance its books without cutting benefits and pensions.

The two sides are set to meet on Thursday to determine what happens next. The options include outside mediation or a strike.

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