SAN LUIS OBISPO - The city of San Luis Obispo is at an impasse with one of its employee groups.
The City Employees Association represents 147 city workers.
The union and the city are negotiating a new labor agreement as part of an effort to balance the budget and become financially sustainable.
The city wants to reduce personnel costs by $3.1 million.
To reach that goal, the city is asking employees to take a 6.8% reduction and wants them to pay for part of their pension.
The city has reached similar agreements with other groups.
Just recently, city managers agreed to a reduction, and the fire-fighters union has a tentative agreement that is pending city council approval.
The city is in talks now with the Police Officers Association and the Fire Battalion Chiefs Association.
