The House Appropriations Committee voted to approve H.950, the Pay Act, which funds negotiated collective-bargaining salary increases: 5.9% in FY27 (split between July and January adjustments) and 4.9% in FY28. Executive, judicial and legislative branch appropriations and fiscal notes were discussed; the bill is expected to be inserted into the budget.

State employees told the Senate Committee on Government Operations that the administration’s return‑to‑office rollout harmed morale, retention and people with caregiving or disability needs, and urged support for S.228 to require bargaining. Agency leaders said a 2012 telework policy exists and a Vermont Labor Relations Board proceeding is pending.

The Senate Committee on Government Operations reviewed S.228 on Feb. 17, 2026, which would add negotiation over remote, in-person and hybrid work standards to the State Employee Labor Relations Act; lawmakers raised concerns about inconsistent implementation, childcare impacts and workplace morale and asked administration and employee representatives to testify next week.

The Senate Government Operations committee considered S.295, a bill that would move several state positions — including all classified DCF employees and certain fire and training roles — into the enhanced 'group G' retirement tier; witnesses urged narrower drafting, an actuarial study, and correction of a possible deletion of a 25% disability minimum.

VSEA Executive Director Steve Howard urged the Senate Government Operations Committee to scrutinize the administration's return-to-office policy, saying it disproportionately harms out-of-county workers, may force staff departures, and will require roughly $3,000,000 in leased Waterbury office space if enforced.

Senator White highlights remote work's advantages for state employees and family balance.

Montana addresses projected $9M deficit by overhauling state employee health plan funding.

VSEA advocates for time limits on misconduct investigations to reduce employee uncertainty.