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his/her designee, shall investigate the merits of the <br />appeal and attempt to resolve the disciplinary issues. <br />25.6 Arbitration <br />In the event the parties are unable to resolve the <br />disciplinary case, either the Union or the City may refer <br />the case to an impartial arbitrator who shall be selected <br />by mutual agreement between the Union and the City <br />Manager or his/her designee. The fees and expenses of <br />the arbitrator and of a Court Recorder shall be shared <br />equally by the Union and the City. Each party, however, <br />shall bear the cost of its own presentation, including <br />preparation and post hearing briefs, if any. <br />The decision of an Arbitrator on matters properly before <br />them shall be final and binding on the parties. <br />Section 26. Grievance Procedure <br />(1) A grievance shall be defined as any dispute which <br />involves the interpretation or application of any <br />provision of this Memorandum of Understanding, or <br />those City personnel rules, or pay plan, which fall <br />within the scope of representation. Specifically <br />excluded from the grievance procedure are performance <br />evaluations and denial of merit step increases plus <br />any other matter which provides for a separate appeal <br />process. <br />(2) (a) Within fifteen (15) working days of the <br />occurrence or discovery of an alleged grievance, <br />any employee who believes that he/she- has a <br />grievance shall discuss such grievance with such <br />management official in the department in which <br />he/she works as the department head may <br />designate. If the issue is not resolved within <br />the department, the procedures hereinafter <br />specified may be invoked. <br />(b) The employee or their representative shall notify <br />the Human Resources Director or designated <br />representative in writing within fifteen (15) <br />days after discussion of the grievance with the <br />management official in the department in which <br />the employee works that a grievance exists, and <br />in such notification state the particulars of the <br />grievance and if possible, the nature of the <br />determination which is desired. The Human <br />Resources Director or designated representative <br />shall thereafter investigate the issues involved, <br />3Q <br />