Christie, Legislature Strike Arbitration Deal

TRENTON, N.J. (AP) -- New Jersey Gov. Chris Christie and the Legislature have reached an agreement on reforms to the contract arbitration process.

Christie announced Thursday that the two sides agreed to a 2 percent cap on salary increases arbitrators can award to police and firefighters who dispute their contract. The agreement will end in three years.

They also agreed to fast-track the arbitration process -- so cases are settled in 45 days -- and to cap the amount arbitrators can charge towns at $7,500 per case.

The two sides have been trying to strike a deal that reins in arbitration awards and makes the process fairer to towns and cities that soon will be forced to cap cost increases to 2 percent a year.

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