by Shirley ♡ ☮ M.
Member since:
August 20, 2006

Schwarzenegger threatened to fire as many as 10,000 state employees

February 11, 2009 06:59 AM UTC
views: 0 | comments: 19

SAN FRANCISCO, (AFP) - California Governor Arnold Schwarzenegger threatened to fire as many as 10,000 state employees if legislators do not approve a deal later this week to help close the state's projected 42-billion-dollar budget deficit.

The governor's spokesman said layoff warnings would be sent to about 20,000 state workers this Friday if there is no deal.

About half of those workers would have their jobs eliminated by July 1. Employees with the least seniority in each state department would get the layoff notices. The 10,000 job cuts are projected to translate to annual savings of around 750 million dollars.

Most of the state's 238,000 workers already are being forced to take off two Fridays each month without pay.

"We don't have a budget and there's only a few things that the governor can do to save the state money," press secretary Aaron McLear said at a media briefing. "This is simply out of necessity. The state is running out of money."

The governor's warning came as he and legislative leaders struggled to win approval for a package of billions of dollars of spending cuts and tax increases to make up for the budget deficit projected over the next 18 months.

Saying the state is on the brink of running out of money, state controller, John Chiang already has delayed tax refunds and has warned that he soon will be forced to stop paying some state bills or providing funds for some state services.

 http://news.yahoo.com/s/afp/20090211/ts_alt_afp/uspoliticsbudgetcaliforniajobs

Comments: 19

Tammy N. Feb 11, 2009, 7:16am UTC
Looks like Californians need to make some tough decisions!
Debbie R. Feb 11, 2009, 7:20am UTC
Instead of laying off the workers with less seniority, he should cut the pay of the one's who have been there the longest, or allow them to retire early. I believe Arnold doesn't take a salary--or his salary is miniscule...Even if he cuts 3% off of the salaries, it would be better than putting all those people out of work. They shouldn't complain if he did this....they should be happy to have JOBS!
DIANE D. Feb 11, 2009, 7:22am UTC
This is not good!`
Ariel Storm Feb 11, 2009, 7:27am UTC
California is in serious financial trouble and faces difficult choices. Yet they are not the only state in trouble. Watch as state revenues continue to fall other states having the same problem. Its already been seen in NY where Governor Patterson made some not so popular decisions in an attempt to balance the budget.
Tammy N. Feb 11, 2009, 7:33am UTC
Ariel, you're right... this problem is nationwide... A main reason for the budget shortfalls is the lack of consumer buying. California has the highest sales tax rate ($7.25) so they feel it the hardest when money doesn't flow. Cities, states, etc build their budgets based on expected income from sales tax. When folks aren't buying, the money doesn't come in!

Part of California's problem is the recession. But the truth is, they have been struggling for many, many years. They need an overhaul of their system!
That's how unions and government jobs usually work, last in~~first out.
You're right Ariel, there are many states in trouble these days. NY, we've always known about the other such as Michigan that are in trouble. I know down here in Ga. they're cutting back on some things, but I have to say, our Governor has been very good and fiscally responsible and our cuts are so far in the areas of the K-9 units, state run Farmers' Markets, things that don't glare at you.
We read one good piece of news on the internet yesterday. It seems that the unemployment and unavailability of jobs is sending the illegal immigrants back home. They can't find work either.
Kimberly Ripley Feb 11, 2009, 10:07am UTC
I think the top jobs need to take pay cuts before the "little guys" are let go.
Jenysie Jane Feb 11, 2009, 2:00pm UTC
That is so sad, I will be praying for those that may get laid off...it seems my prayers are filled with people losing their jobs....
Jenysie Jane Feb 11, 2009, 2:02pm UTC
I agree with Kimberly Ripley by the way...it just doesn't seem right that people are losing their jobs while others are still sitting on their high horse making as much as they always have....you would think they would want to help out the smaller guys and keep them working so they would voluntarily take a small pay cut....
Um, they're being let go on a seniority basis! Not your position in management.
Charles T. Feb 12, 2009, 7:19pm UTC
California had people who saw this coming years ago. Very few people cared then and now that they are busting their budget, all they care about is the Spendathon bill bail them out. Even Obama can't print that much money!

Funny that Arnold is finally getting some cajones when its too late to do much. The unions will find a way to gut these kind of spending savings plans anyway...
Dan R. Feb 12, 2009, 7:24pm UTC
This likely needed to have been done a long time ago. As well as increasing security around the boarders to restict the massive amounts of illegals coming in. California needs to wake up to reality, like everyone else is having too.
Renita P. Feb 13, 2009, 3:17pm UTC
Sad state of affairs we are in right now. Thanks for playing my UPS/Thief game!
Elizabeth S. Feb 13, 2009, 5:49pm UTC
It's strange that California with all the millionaire status is the first to address this problem. My flip thought was they need to get some stars together for a fundraiser. Only in California could they raise $750 million in a day from their talented volunteer celebs.
Nancy Biri Feb 13, 2009, 7:17pm UTC
California needs a better Governor....HH
Carol V. Feb 15, 2009, 6:38pm UTC
So putting 10,000 people on the CA unemployment list is going to help the economy how?? I realize that CA is in deep budget crisis, but won't this cost them more in the long term?? More people will be on unemployment rosters and needing assistance with their mortgages, utilities and basic needs.

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