FACTORS CONSIDERED BY PUBLIC-SECTOR INTEREST ARBITRATORS IN ASSESSINGABILITY TO PAY

Interest arbitrators generally consider at least three decision criter ia when formulating their arbitration awards. Among these three criter ia is the employer's ability to pay. Despite the importance of the abi lity-to-pay criterion, there is not a consensus among interest arbitra tors as to how ability to pay should be determined. This article ident ifies factors that public sector interest arbitrators have considered in assessing an employer's ability to pay increased wages and benefits .