Labor Relations Board tells Appropriations panel staffing gaps and low per diems slow hearings

Judith Dillon, executive director of the Vermont Labor Relations Board, told the House Appropriations Committee on Feb. 17 that the board is short-staffed and constrained by an outdated statutory per-diem. "The stipend is a $125 per day per board member," Dillon said, and the board had requested raising that rate to $250 per day to match recent legislative adjustments for other boards.

Dillon summarized the board’s work—adjudicating unfair labor practice complaints, resolving grievances, and overseeing representation petitions—and explained the six-member composition required by statute: two labor representatives, two management representatives and two neutrals. She said two neutral members left in 2024, and although a new neutral, Gwen Peters, was appointed and began in June 2025, the board still has only one neutral available to fill three-member panels for contested cases. "Because we only have one neutral, Miss Peters has hit the ground running," Dillon said, noting scheduling and deliberation delays when three members cannot be assembled.

The executive director described the board’s calendar and workload: the board holds four regular meetings a year, deliberates on cases as needed and historically averaged about 15 hearing days annually; last year the board held only three hearing days, but 2026 already includes three hearing days and additional dates scheduled through September. Dillon told the committee the board’s caseload increased by 29% in the prior year.

Dillon also reviewed staffing and budget choices. The board currently has an executive director and a clerk (the clerk position is currently 32 hours per week); a temporary gap earlier in the year required FSD (Financial Services Division) support for accounts receivable and payable. Dillon said the board had included a request for an exempt staff attorney in its original budget submission to the governor, but that position request was denied. She told members that additional staff or an exempt attorney would help reduce scheduling and adjudication delays.

Committee members pressed Dillon on per-diem math and recruiting. Dillon confirmed the board reduced the per-diem allowance in its proposed FY27 budget by about $19,000 based on lower expected hearing days and plans to rely on carryforward funds for a new case management system if needed. The board also described a $125-per-day stipend for members (chair $175) and the board’s rationale for increasing that amount to attract qualified neutrals. "We were very economical," Dillon said of the FY27 budget draft.

Dillon flagged increased ADS (allocated services) charges on the operating side and said the agency has not yet received a full breakdown from ADS explaining the large percentage increase in allocated billing methodology. She said ADS is assisting the board in defining requirements for a vendor-supplied case management system, but ADS is not building the system itself.

On mediation, Dillon said the board previously relied on the Federal Mediation and Conciliation Service (FMCS) under an executive order but that many mediators were let go and some rehired; with reduced FMCS availability, parties must now hire mediators at cost, which can hinder small municipalities or small bargaining units from resolving impasses.

The committee concluded without a formal vote on the Labor Relations Board request; members asked staff to follow up on ADS billing explanations and said they would consider staffing implications in future budget work.