California cuts pay, lays off state workers My dad's a mechanic for the state, and works right next to the capitol, so he finds out about a lot of what is going on. Did you know that state legislators get travel (and dining) expenses paid, and that they get overtime when they can't pass a budget on time? working anywhere else they would be punished for not meeting such an important deadline, but legislators are rewarded. Oh, and to be clear, state workers are to be paid FEDERAL minimum wage (6.55 per hour) rather than state minimum of $8 per hour until the budget is passed. I also found out that all cal grants are suspended, so if they don't get this budget done in a very timely fashion, I won't be able to go to school this semester without applying for an even larger loan. I really feel for the part-time workers, because while full-timers will be reimbursed once the budget passes, part-timers won't get anything. Good Job Schwarzenegger, and the california legislature!
___________________________________________
SACRAMENTO, CA - The battle over California's overdue budget fully ignited Thursday, pitting a Republican governor's executive order against a state Democrat ready to countermand that order.
Just hours after Gov. Arnold Schwarzenegger eliminated thousands of part-time and temporary state jobs and ordered 200,000 state workers receive the federal minimum wage, state Controller John Chiang said he will defy the order and issue employees their regular paychecks.
Chiang said per California constitutional law his office must "pay no wage or we must pay full wage," not the federal minimum $6.55 an hour wage Gov. Schwarzenegger ordered earlier in the day.
Chiang says his action does not affect the governor's other directives to lay off temporary and intermittent permanent workers, eliminate most overtime and a hiring freeze.
Chiang said his office will be able to pay most of the state's bills through September.
There is no word yet from the governor's office.
Pay Cut Order
Earlier Thursday, the governor signed an executive order that temporarily cut about 200,000 state workers' pay to the federal $6.55 an hour minimum.
The pay cuts were to take effect immediately.
The order means the termination of approximately 10,000 of the state's 22,000-plus part-time/temporary employees; eliminates almost all overtime - public safety and emergency medical care workers excepted - and institutes a hiring freeze.
The governor issued the directives so, he says, the state can pay its bills.
Lawmakers have failed to agree on a spending plan for the fiscal year that began July 1, arguing over whether they should enact tax increases or steep cuts to close a $15.2 billion shortfall. The most optimistic lawmakers say a budget deal is probably still a week or two away, at the earliest.
"This situation leaves me with no choice," said Schwarzenegger during the signing. "The executive order I sign today will help me cover the state's costs. It's not a situation I take lightly."
The governor also requested that state entities not under his direct authority, such as the University of California and California State University systems, the judicial branch and the California Public Utilities Commission adopt similar cost-cutting measures.
"None of this had to happen." Schwarzenegger admonished. He referred to January when he presented his first proposed budget, lawmakers knew some hard choices would have to be made with a slumping economy and less revenues. The governor also blamed systemic state spending for the budget shortfall.
Schwarzenegger said he would continue to work with the Legislature to arrive at a balanced budget.
The pay cuts are expected to save the state about $1 billion a month, according to the governor's office.
Workers React
As to be expected, state workers have been vocal in their opposition to the cutbacks since word first leaked more than a week ago.
Thursday during their lunchtime, Caltrans workers carried pro-*test*-('") signs outside their Stockton office. One worker said that at $6.55 an hour, she would not be able to pay her rent.
"Rental management companies don't care that the governor will pay you later, they want their money now," she said.
(OPINION: What do state workers think of the pay cut proposal? Join the News10 forum here).
State Controller's Response
Chiang, whose office issues paychecks and pays bills, has said all along he would defy the order.
Moments after Schwarzenegger signed the directive, Chiang sent the governor a letter saying, in part,
"To the extent that the Order attempts to govern the constitutional duties for which I was independently elected to perform and, because it is based on faulty legal and factual premises, I will not comply with the Order."
Legislature's Response
State Assembly Speaker Karen Bass, D-Los Angeles, also released a statement even as the governor signed the executive order. She said,
"I'm disappointed with the Governor's decision. It is an unwise and unfortunate move to cause economic strife to public servants and their families who are working hard and playing by the rules."
Bass added, "We are not going to let this decision get in the way of our mission which is to deliver a budget that reflects the values of Californians. We are continuing to make progress and I remain hopeful we will have a budget on his desk in the next few days."
Forumer™ is Voted #1 Free Forum Hosting provider
Build your own community today with the largest message board hosting company.