Unions, Daley May Or May Not Be Closing In On Deal

There are conflicting reports this morning that the game of chicken between the unions and Mayor Daley may be at an end. The Sun-Times is reporting this morning that the two sides are in the process of finalizing a two-year deal that will cut costs but save 1,504 city workers who had otherwise been selected for layoffs. Of course, as the Sun-Times points out, a two-year deal would conveniently carry through the aldermanic and mayoral elections of 2011. Chicago Federation of Labor President Dennis Gannon wouldn't discuss details, but did say, "There's a deal in the works."

But not so fast: the Tribune is reporting other union leaders as denying there's a deal.

Leaders with the a union representing city laborers and the Teamsters said today they have made no deals with Daley, who in 2007 gave city unions a 10-year contract with generous wage increases and benefits.

"We have not given in to the city's demands. That's all I can tell you," said a spokeswoman for Teamsters Local 726.

"We have not reached a deal," said Laborers Local 1001 head Lou Phillips, whose union represents many city garbage workers.

Those layoffs - all 1,504 of them - are still set for July 15th.

Update: The Sun-Times story has since been updated and confirms the three hold-out unions.