[VT – Philadelphia] July 15, 2025 – Mayor Cherelle L. Parker, joined by city officials, announced today that the City of Philadelphia has reached a tentative three-year labor agreement with AFSCME District Council 47. The union represents more than 4,000 city employees across a range of departments, including social workers in the Department of Human Services, librarians, engineers, Parks & Recreation staff, public health professionals, and behavioral health workers.
“Today marks a significant milestone for the City of Philadelphia,” said Mayor Parker. “This agreement reflects our commitment to valuing the hard work and dedication of our public service employees. Through collaboration and mutual respect, we are investing in our workforce and ensuring that our city continues to thrive. I want to thank everyone who played a role in these negotiations for helping move Philadelphia forward.”
Key provisions of the tentative agreement include:
- A 13.5% salary increase over the course of Mayor Parker’s four-year term. This includes a previously implemented 5% raise last year, followed by increases of 2.5%, 3%, and 3% over the next three years.
- A $1,250 bonus in the first year of the agreement.
- An increase in the City’s share of healthcare contributions, raising the portion of DC 47 healthcare claims paid by the City from 91% to 92%.
- Revisions to Longevity Pay, shifting from a flat dollar amount to a percentage-based system, which is expected to deliver more earnings to long-serving employees. In addition, the top step of the longevity pay scale will increase beginning in 2027.
If ratified by union members, the agreement is expected to cost approximately $92 million over the City’s Five-Year Financial Plan.
The agreement comes just weeks after City Council passed, and Mayor Parker signed, the $6.8 billion “One Philly 2.0” budget, which includes a historic $550 million labor reserve. Within the last week, the Parker Administration has now reached tentative agreements with both AFSCME District Councils 33 and 47. Contract negotiations with the city’s Police, Fire, and Prisons bargaining units are still underway and expected to continue in the coming months.
This tentative deal underscores the administration’s commitment to maintaining labor stability while ensuring fair compensation and strong city services for all Philadelphians.
