A merit system is hereby established for personnel in the city service. Appointments and promotions in the service of the city shall be made on the basis of merit and fitness. Removals, demotions, suspensions, and lay-offs shall be made solely for the good of the service. The council, consistent with this charter, by ordinance or personnel rules, may regulate personnel matters and provide for proper personnel administration.
The council may enter into employment agreements with employee organizations. Such employment agreements may establish the terms of employment for all employees within any classification: And may provide for compulsory membership in the employee organization: And may establish a seniority system for the employees covered by the agreement, provided that the seniority system is supplemental to and not in derogation of the merit system established by this section. The council may enter into an agreement with the employee organization where disputes between the city and the employees may be submitted to binding arbitration. Nothing in this section authorizes or permits employees of the city to go on strike or engage in any other concerted cessation of work. The council by ordinance irrespective of any agreement may provide sanctions for employees on strike or engaged in any other concerted cessation of work.
(Amended by Res. 977 § 1, approved at a special election held November 14, 1973)
Commencing January 1, 1990, there shall be a personnel board consisting of five members appointed by the council for five year terms, provided the terms of members appointed after such date shall be such that the term of one member shall expire on January 1 in each of the succeeding five years, resulting in staggered terms for members subsequently appointed. A member may not hold any other office or position in the city government. The council, by a vote of at least five members, after adequate opportunity for a public hearing, may remove a member for the good of the service; and the vote shall be by yeas and nays and shall be entered in the journal. The council shall fill vacancies for unexpired terms.
At the time prescribed for the beginning of the term of a newly appointed member or as soon thereafter as practicable, the board shall elect a chairman, a vice chairman and a secretary; and the secretary need not be a member of the board. The board shall determine the time and place of its regular meetings, and the chairman or two members may call special meetings.
The personnel board shall have power to subpoena officers and employees of the city and other persons to testify and to produce documents and other effects as evidence.
(Amended by Res. 1591 § 2, approved by voters October 3, 1989)
All officers and employees of the city shall be divided into the classified and unclassified service.
(1) 
The following shall constitute the unclassified service:
(a) 
The mayor and councilmen, the municipal judge or judges if any, and one clerk or secretary of the municipal court if any;
(b) 
The city manager and all other personnel appointed, elected, approved or confirmed by the council; one principal assistant to the city manager if any; and one secretary to the city manager if any;
(c) 
Members and secretaries of boards, commissions and other plural authorities;
(d) 
All personnel who serve without compensation;
(e) 
All temporary, part-time or volunteer personnel except such as may be placed in the classified service by ordinance or personnel rules.
(2) 
All other officers and employees shall be in the classified service; provided that, when the city has over 50,000 people as shown by any last preceding federal census, any of the following may be placed in the unclassified service by ordinance or personnel rules: The heads, or directors, of administrative departments; and one secretary for each such head, or director, who has a secretary.
The city manager or any other authority who lays off, suspends without pay, demotes or removes any officer or employee in the classified service after a probationary period of six months, shall, at that time or within two days thereafter, deliver, or have delivered, or mail by registered, certified or similar special mail, to the officer or employee a written statement of the cause or causes for the layoff, suspension, demotion or removal. Such officer or employee may appeal in writing to the personnel board. The appeal must be filed with the secretary of the board, or with the city clerk for transmittal to the board, within ten (10) days after receipt of notice of the layoff, suspension, demotion or removal (which appeal may thus be filed either before or after the time of effectiveness of the layoff, suspension, demotion or removal). As soon as practicable thereafter, the board shall hold a public hearing on the appeal, or give an adequate opportunity therefor, and shall report in writing its findings and recommendations, in cases of subordinates of the city manager, to the city manager, and in other cases to the respective authorities having power of removal; and the city manager or other authority having power of removal shall then make a final decision in writing regarding the appellant's layoff, suspension, demotion or removal, as the case may be; provided that, if the board finds to its satisfaction that the layoff, suspension, demotion or removal was made for a political, racial or religious reason or reasons, or for any other reason or reasons than the good of the service, it shall veto the layoff, suspension, demotion or removal, and the action of the city manager or other authority shall be nullified thereby.
Officers and employees of the city shall have the qualifications prescribed by this charter and such additional qualifications as the council may prescribe; but the council shall not prescribe additional qualifications for the mayor and councilmen.
Except when chosen upon basis of competitive examination, neither the city manager, the council nor any other authority of the city government, may appoint or elect any person related to the mayor or any councilman, to the city manager, or to himself, or, in the case of a plural authority, to one of its members, by affinity or consanguinity within the third degree, to any office or position of profit in the city government; but this shall not prohibit an officer or employee from continuing in the service of the city.
Except as may be otherwise provided by this charter or by ordinance, the same person may hold more than one office or position in the city government. The city manager may hold more than one such office or position, through appointment by himself, by the council or by other city authority having power to fill the particular office or position, subject to any regulations which the council may make by ordinance; but he may not receive compensation for service in such other offices and positions. Also the council by ordinance may provide that the city manager shall hold ex-officio any designated administrative office or offices subordinate to the city manager as well as other designated compatible city offices, notwithstanding any other provision of this charter.
The city manager, the director of finance, the city treasurer if separate from the director of finance, and such other officers and employees as the council may designate, before entering upon their duties, shall be bonded, by individual and/or group bonds, for the faithful performance of their respective duties, payable to the city, in such form and in such amounts as the council may prescribe, with a surety company authorized to operate within the state. The city shall pay the premiums on such bonds.
All officers of the city and such employees as the council may designate before entering upon the duties of their offices, shall take and subscribe to the oath or affirmation of office prescribed by the Alaska Constitution, Article XII, Section 5. The oath or affirmation shall be filed and kept in the city clerk's office.
The appointing or electing authority who may appoint or elect the successor of an officer or employee, may appoint or elect a person to act during the temporary absence, disability or suspension of such officer or employee, or, in case of a vacancy, until a successor is appointed or elected and qualifies, unless the council provides by ordinance that a particular superior or subordinate of such officer or employee shall act.
All records and accounts of every office, department or agency of the city government, except records and documents the disclosure of which would tend to defeat the lawful purpose which they are intended to accomplish, shall be open to public inspection.