PSEG Long Island last night said it reached a tentative pact with its unionized workforce calling for raises of at least 2 percent starting next February.
The agreement requires approval by the union's 1,400 members and replaces one set to expire next Feb. 13.
PSEG said it reached the agreement with the International Brotherhood of Electrical Workers Local 1049.
The tentative 21-month agreement calls for workers to receive a $500 payment next Feb. 1. A 2 percent incremental increase in base wages will take effect Feb. 14, 2015, to be followed by a 2.25 percent raise on that date the following year.
Reached Tuesday night, PSEG spokesman Jeff Weir was unable to say what size raises were in the existing contract.
In a statement, David Daly, president of PSEG Long Island, said the pact "provides continued stability and strengthens the partnership between the company, its employees and IBEW Local 1049."
PSEG has vowed to hold the delivery charge portion of bills steady through 2014 and 2015, so any increase tied to the raises will likely be held off until 2016. Nearly all the costs of running the electric system are paid through customer rates.
Nearly all of the unionized workers had previously worked for National Grid, when that London-based company had the contract to manage the Long Island Power Authority's service area. National Grid's contract with LIPA expired in January, when PSEG Long Island took over.
Daly and PSEG have been pledging vastly improved customer service in the LIPA territory, and workforce stability is key to the promise.
"This contract extension is the first step to providing my membership with the security of a fair contract," Don Daley Jr., business manager for Local 1049 of the IBEW, said in a statement released by PSEG.