A Maryland state employees’ union has reached an agreement with Governor Wes Moore’s administration and the state’s university system to restore negotiated pay increases that had been at risk of being withheld.
The governor’s office announced the agreement on Tuesday, saying the University System of Maryland (USM) will use $13.8 million from its fund balance during the current fiscal year to finance the raises for campus employees represented by the American Federation of State, County and Municipal Employees (AFSCME).
The administration also agreed to include the same amount in the university system’s base budget for fiscal year 2028.
“Maryland’s public colleges and universities are only as strong as the workers behind them, and this agreement is a reflection of that principle,” Gov. Wes Moore (D) said in a prepared statement. “Through partnership, we’ll continue building a world-class higher education system in Maryland for the students who depend on it.”
Sabeela Ally, executive director of AFSCME Maryland Council 3, described the agreement as “a win for everyone.”
“When university system leaders attempted to treat our legally binding union contract as an option rather than an obligation, AFSCME members did not back down,” Ally said. “We sent a clear message that leading with integrity and honor as premier higher education institutions starts with treating your workers with the respect that they deserve, and we are pleased that Governor Moore and his team agree.”
The resolution follows weeks of tension between the union, the university system and the state over funding for the negotiated pay increases.
Just over a month earlier, AFSCME members protested outside the USM headquarters in Baltimore and filed a lawsuit against the university system and the state over the dispute.
The agreement affects about 5,700 non-faculty workers across nine USM campuses: Bowie State University, Coppin State University, Frostburg State University, University of Baltimore, University of Maryland, Baltimore, University of Maryland, Baltimore County, University of Maryland, College Park, University of Maryland Global Campus and University of Maryland, Eastern Shore.
The dispute also came amid layoffs affecting nearly 100 AFSCME members at two campuses. Seventy-three workers were laid off at the University of Maryland, College Park, while another 21 lost their jobs at Bowie State University.
Union members had previously attended a USM Board of Regents meeting on June 12 at the University of Maryland, Baltimore, where they protested the layoffs.
A USM spokesperson said in June that all 40,000 employees within the system received a 1.5% cost-of-living increase, but additional funding for merit increases covered by the AFSCME agreement had not been provided.
University system officials welcomed Tuesday’s agreement, saying they had worked with the governor’s office to find a way to fund the raises despite financial pressures.
“We’re grateful that we’ve been able to work collaboratively with the Governor to provide these pay increases for our employees in FY27, and we look forward to continued partnership with the Governor’s Office as we determine how to fund these raises in future years,” USM Chancellor Jay Perman and Board of Regents Chair Linda Gooden said in a joint statement. “With our budget under intense pressure, we’re happy we’ve found a way to this resolution.”
AFSCME said the agreement restores a 2.5% merit increase and a $500 increase to base pay.
While welcoming the restoration of the raises, the union said it would continue pushing for workers who were laid off to be reinstated.
“Work continues with reinstating USM workers who were unjustifiably laid off when the funds are clearly there,” the union said in a social media post Tuesday.
The announcement came shortly after former AFSCME President Patrick Moran was elected president of AFSCME International, the union’s national organisation representing 1.4 million members.
Union leaders across several Maryland colleges and universities also welcomed the agreement.
“When I come to work every day, I agree to do my job to the best of my ability and fulfill my obligations so that the university can maintain its reputation,” said Claudette Booth, an administrative assistant at the University of Baltimore and president of AFSCME Local 3895, which represents nearly 100 workers there. “Withholding our raises creates a culture of fear and uncertainty in our workplace that hurts our students.”
