Most Pennsylvania state workers will see their pay rise by more than 16 percent over the life a new four-year contract that has just been ratified by members of Council 13 of the American Federation of State, County and Municipal Employees.

The contract, set to take effect with the new budget year that began Monday, contains a raise of 3 percent for this year, to be followed by increases of 2 percent effective Oct. 1, 2020; 2.5 percent on Oct. 1, 2021; and 2.5 percent again on Oct. 1, 2022.

Besides those general pay increases, most employees will see additional “step” increases that average about 2.25 percent for their movement up the state’s seniority stepladder in April 2020, April 2021, and January 2023.

The new contract runs through June 30, 2023.

AFSCME has told its members the cumulative increase should be 16.75% for workers who are not already at the top of the union’s 20-step salary scale. That would lift those members’ average pay from approximately $44,593 at present, to $52,062 by the end of the contract.

Those numbers were pulled from the most recent state government workforce report.

In another major facet of the deal, there are no changes in the current 2.5 percent employee payroll deduction for health insurance coverage.

And, as a result of recent court rulings, the contract:

The two-year transition period is intended to give time for for unmarried couples a chance to adapt to the change.

AFSCME is the largest of the unions representing state government workers, and its contract typically sets the major terms for most of the other collective bargaining units. AFSCME in itself represents 33,500 persons, or more than 40 percent of the state’s current workforce.

The administration noted Friday the same contract terms were also ratified by members of the union representing state liquor store clerks. About a dozen other contracts, covering employees ranging from human services case workers to Capitol Police, are still to be finalized.

Secretary of Administration Michael Newsome said the anticipated labor peace will be helpful to state government going forward.

“These contracts will allow us to better compete for talent in the job market and retain high-performing employees already working for us,” he said in a press release announcing the ratifications.

In a separate release after the completion of its ratification vote, AFSCME Council 13 Executive Director David Fillman credited Gov. Tom Wolf for fiscal stewardship that allowed for completion of what he called a fair contract.

“We had a (budget) surplus for the first time in years, which allowed for a state employee contract that properly compensates the people who make our state government run so efficiently,” Fillman said.

One free enterprise group that has looked at the contract’s details, however, raised concerns that it is too lucrative, and reiterated its support for reforms that would bring greater transparency and legislative oversight to the collective bargaining process.

At present, state employee contracts do not require legislative approval.

“The salary increases in this four-year contract are significantly higher than the previous three-year contract," said Nate Benefield of the Commonwealth Foundation. “The new contract is a clear sign that union leaders negotiating in secret with a governor to whom they donated more than $4.6 million (in campaign contributions) is a bad deal for taxpayers.”

Fillman said with the state workforce having declined about 8 percent over the last 20 years, employees are delivering greater value than ever, and he noted the unions are continuing to work with the governor’s office on process and customer service improvements.

There is one last step required as the new contracts become final:

As per a 2016 law, the state’s Independent Fiscal Office is required to complete a cost analysis of the agreements before the administration can sign off. That report is a transparency measure, but it does not effect the administration’s ability to move forward with the contracts.