Union deal: State of Maine will review its pay system, give workers $2,000 checks

File photo Full-time state workers will receive one-time checks for $2,000 beginning next month, as Maine begins conducting a third-party review of its pay classification system.

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By William Hall

The state of Maine will take a long, hard look at its pay structure — and meanwhile, give $2,000 checks to employees — under an agreement between Gov. Janet Mills and the largest labor union representing state workers.

The deal between the Mills administration and Maine Service Employees Association SEIU Local 1989, announced Thursday, resolves a complaint filed by the union in February with the Maine Labor Relations Board.

The MSEA, which represents over 9,000 employees within the state government's executive branch, had called for a review of worker pay classifications. A review was last conducted in 2020.

Under the new agreement, however, the state will hire a third-party vendor to perform an in-depth study of the classification system, with findings due by Dec. 31, 2025.

And "in recognition of the time that will be necessary to undertake and complete the study," eligible full-time state workers will receive a one-time lump-sum payment of $2,000, the state said in a news release.

The payments are estimated to cost Maine $23 million. The amounts will be pro-rated for eligible part-time workers, and checks will go out in early October.

Both the state and the union have agreed to bargain based on the study's findings and recommendations, beginning in May 2026. The Department of Administrative and Financial Services must also submit a report to the Maine Legislature by September that year with details about the study, its process and any planned steps to change the classification system, according to the news release.

“I am proud of and happy with the agreement we have reached. It embodies the governor’s longstanding belief that conversation is better than litigation,” said DAFS Commissioner Kirsten Figueroa. “This new study, bolstered by another generous lump sum payment, will advance our support of state employees and allow us to continue to focus on parity within our classification system.

"Our goal, from the beginning of the governor’s time in office, has been for state of Maine government to succeed as an employer of choice, which includes providing competitive wages and benefits that can match the reward provided by serving the people of Maine.”

Following the agreement, however, the union's president sounded a less positive note.

“The reality is that despite the pay increase for state workers over the last few years, many other employers have competed much harder than the state for workers and offered wages that are more competitive than Maine state government," said Mark Brunton, president of MSEA-SEIU Local 1989, in a social media post.

"The state simply hasn’t kept up in terms of competitive wages, and we see it in every state department."