The University of California has put forward a new contract offer to AFSCME-represented employees that includes a pay raise of more than 32% over five years. Lea este comunicado de prensa en español.
The offer follows recent bargaining sessions with the American Federation of State, County and Municipal Employees; bargaining began in January 2024 for a successor contract with UC. AFSCME represents 38,832 UC employees who provide patient care and essential services across the system.
Through a combination of across-the-board wage and step increases, eligible employees would receive:
- 7% in 2026
- 6% in 2027
- 5.5% in 2028
- 5% in 2029
Combined with the 5% increase employees received in 2025, the total compounded increase would reach 32.3%.
“This offer directly responds to what we are hearing from our employees every day. The cost of living continues to put pressure on our workforce and it’s essential to ensure our lowest-paid team members see real, lasting wage growth,” said Missy Matella, Associate Vice President for Systemwide Employee and Labor Relations. “Reaching this point required thoughtful problem-solving and a strong partnership with AFSCME, and I am proud of the collaborative effort that allowed us to deliver meaningful progress for our employees.”
The offer would also raise the minimum hourly wage to $25 by eliminating all lower pay steps. Every employee would earn at least $25 per hour and remain eligible for future raises. It also includes retirement-eligible lump-sum payments and $1,000 longevity payments for employees with 20 years of service.
To help control health care costs, the University will lock in premium reductions for lower-paid employees enrolled in Kaiser or UC Blue & Gold medical insurance plans. Annual premium increases for Blue & Gold would be capped at 5% starting in 2027. More information about UC’s offers and bargaining history with AFSCME is available here. En Español.
The parties have reached tentative agreements on several contract provisions and will continue bargaining in the coming weeks. UC remains committed to reaching a fair agreement that supports employees and ensures stability for patients and campuses.
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