Toledo City Council approved a fact-finder report Friday that granted one of the city’s Teamsters locals a 5 percent raise over three years but slashed payments to employees’ pensions.

Council voted 10-0 for the report during a special meeting. Councilmen Shaun Enright and Lindsay Webb were not present.

The union voted to approve the report Thursday.

The new three-year contract with Teamsters Local 20, which covers 95 employees working in water reclamation and the Hoffman Road landfill, grants a 1 percent raise the first year and 2 percent during each of the following two years. The city has been paying 4 percent of the workers’ share for their pension plan. That will end under the new contract. The workers will also have higher health costs.

The Bell administration and the union failed to reach an agreement during negotiations. Mayor Michael Bell, who recommended council vote in favor of the report, said the new contract is “budget-neutral.”

First Published March 9, 2013, 5:55 a.m.