HOUGHTON — Houghton employees will receive one-time $2,000 hazard pay bonuses in lieu of pay increases as part of agreements approved by the Houghton City Council Wednesday.

The council approved memorandums of understanding with Department of Public Works employees, the police supervisory unit and police officers unit.

City Manager Eric Waara said the change was made because of budget uncertainties stemming from the COVID-19 epidemic. Nearly all city employees are considered essential workers and have worked through the pandemic, Waara said.

“That next contract here coming up is a full opener, so we’re gonna have wages, benefits, the whole nine yards coming up, but we did get a tentative agreement from all the bargaining units to do so,” he said.

The hazard pay will also be given to transit and office staff, Waara said.

Bonuses for the 32 non-transit employees will come out of the Employee Benefit Fund, Waara said. Transit employees will be paid out of the transit fund, which receives partial funding from the state.