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Jul 17th
Home U.S. Nation States around the country using furloughs and service cuts as common strategy

States around the country using furloughs and service cuts as common strategy

BY PAULINE VU
STATELINE.ORG

With states facing a $121 billion shortfall in the next fiscal year, a growing number of them have turned to squeezing their workforce for savings, and effects are being felt, both great and small.

In Hawaii, some criminal trials will likely have to be rescheduled because public defenders are being furloughed - or forced to take unpaid days off - three Fridays a month. In New Jersey, about 5,000 parolees went unmonitored for a day in May and June as their parole officers were forced to stay home.

In Georgia, state prosecutors have been furloughed at least one day a month since September, with each day off causing a backlog of about 500 criminal cases. Meanwhile, petty, nonviolent criminal charges are in danger of being dismissed.

"We're getting critically close to not being able to look at every case," said Rick Malone, the executive director of the Prosecuting Attorneys Council of Georgia. "There's only so much time in the day ... Certainly we will have to screen (cases) more carefully, more finely."

Although state jobs are usually among the most stable, more than 728,500 state employees in at least 21 states have already or will be furloughed, and several other states are also considering furloughs for their workers.

By comparison, at least 54,000 state workers have been laid off so far, according to tallies by the National Conference of State Legislatures and the Association of Federal, State, County and Municipal Employees union (AFSCME).

"People were saying, ‘well if things are so bad, why aren't people getting laid off?' The answer to that is that in a lot of places, they're choosing furloughs," said AFSCME's Kerri Korpi.

The furloughs translate to pay cuts for workers, ranging from 0.5 percent in North Carolina to 13.8 percent in Hawaii. Employees whose jobs are deemed essential to public health and safety, such as police officers and veterans' homes employees, aren't furloughed.

The move will affect state services at a time when a bad economy means more people are relying on such services. Disability checks are delayed, for example, in Hawaii, the state will take even longer to process unemployment claims.

Even patients at the country's last remaining leper colony will feel the effects. The 15 people suffering from Hansen's disease, better known as leprosy, who rely on Hawaii's Kalaupapa Settlement to take care of them could end up eating pre-delivered boxed meals instead of freshly cooked meals three days a month if food service workers are furloughed. But acting director Tim Richmond hopes his workers, who are employees of the state Department of Health, can be exempted.

"We can't just say, ‘Sorry, Governor (Linda) Lingle says you don't eat today.' So we will make it happen," Richmond said. "If it means a boxed meal, nutritionally, it'll be up to standard and that will be the best we can do."

The most furious fight over targeting state jobs is in Hawaii, where Gov. Lingle (R) has proposed to help balance an additional $729 million budget shortfall on the backs of state workers. The governor plans to save $688 million by furloughing every employee for three days a month for the next two years - the country's most severe furlough measure.

The plan "allows all employees to be a part of our shared sacrifice to close this budget gap," Lingle said June 18. "This is not something I want to do, it's something I have to do." Lingle said if she cannot furlough employees, as many as 10,000 workers could be laid off.

The state's largest public employees' unions have sued to block the furloughs, saying the governor should have negotiated with them first. The court hearing will begin July 2.

In some cases, the furloughs will lead to states' losing money. Commissioner of Social Security Michael Astrue has complained that several states - including California, Connecticut, Hawaii, Maryland, Massachusetts, New Jersey and Oregon - are furloughing state employees who work in Social Security offices, even though their pay and benefits are federally funded. The money that isn't spent on their salaries will be returned to the federal government. Some governors, including Lingle and California Gov. Arnold Schwarzenegger (R), say it's only fair that all workers share the pain.

The furloughs raise other questions about their benefit. Bruce Blanning, executive director of the Professional Engineers in California Government union, said the days off are forcing engineering departments to outsource work. According to Blanning, a state engineer costs California $103,000 a year, while a full-time outsourced position costs $232,000.

"It's a waste of money. The employees get shortchanged ... and it costs the state a lot more," he said.

Figuring out how to implement Nevada's furloughs, which begin July 1, has been a headache for Teresa Thienhaus, the state's personnel director. For example, the furlough law says no workers can get overtime or standby pay in the same week they have a furlough day. But now agencies are asking what to do if maintenance employees who have already taken a furlough need to be on-call that same week for an emergency.

"We're still working on trying to get guidelines out that are going to be applicable to enough people to make a difference. And as soon as we do that, somebody will call and have another question and we're back to the drawing board on some other aspect," Thienhaus said. "We've not seen any light at the end of the tunnel."

Sometimes, state employees simply don't take off their furlough days. In California, where furlough days are "use them or lose them" by June 2010, about 238,000 state workers are supposed to work with supervisors to arrange two days off a month. But many employees are finding they have too much work to take furlough days. During the swine flu scare, for example, state scientists worked 16-hour days to conduct tests and keep the disease in check, said Chris Voight, the staff director of the California Association of Professional Scientists.

"The services were delivered, but that's because we represent a lot of very dedicated state scientists who are willing to do what it takes," Voight said.

STATES TURN TO EMPLOYEE FURLOUGHS

More than 728,500 employees in at least 21 states have taken or will soon be forced to take furloughs, or unpaid days off. Some states have implemented furloughs statewide, while others allow agencies to implement them as needed.

STATES WITH FURLOUGHS

Arizona

Individual departments have responded to budget cuts with furloughs. The state Department of Transportation, for example, has furloughed 4,500 employees while the Department of Economic Security and Revenue has furloughed more than 8,200.

California

238,000 employees, $1.3 billion savings, 34 days over 18 months


California has furloughed 238,000 employees twice a month since February. The furloughs, which will last until July 2010, are expected to save $1.3 billion. The governor has warned that if lawmakers don't agree on a budget that closes a $24 billion budget gap, state workers could be furloughed three days a month.

Colorado

$16 million savings, 4 days over a year

Colorado's plan for four furlough days set for around the holidays will save $16 million.

Connecticut

50,000 employees, $700 million savings, 7 days over two years

The state's 50,000 public employees agreed to take seven furlough days over the next two years in exchange for no layoffs during that time. The days will be scheduled around holidays and are expected to save Connecticut about $700 million.

Georgia

At least 25,000 employees

Georgia's agencies can furlough employees to meet their budgets; so far at least 25,000 employees have been furloughed. The 500 employees of the state's prosecutors offices, for example, have been furloughed once a month since September and twice a month since March, saving those offices about $2.8 million.

Hawaii

15,000 employees, $688 million savings, 72 days over two years

Starting July 1, Gov. Linda Lingle (R) proposes to save $688 million by furloughing 15,000 employees three times a month for the next two years. Unions have filed a lawsuit challenging the governor's right to furlough, but if she's successful, these would be the country's most severe furloughs.

Idaho

More than 5,000 employees, $11.6 million savings, 4 to 10 days over a year

At least two of the state's largest departments are using furloughs. The 3,100 employees of the Health and Welfare Department will be furloughed four days in the next fiscal year. Combining the furloughs with layoffs and not filling vacant positions will save $9.5 million. The Department of Corrections will save $2 million next year by furloughing its 1,650 employees from four days, for prison security workers, to 10 days for everyone else. Both departments used furloughs in the 2009 fiscal year.

Iowa

1,600 employees, 5 days over a year

This year Iowa courts furloughed 1,600 employees for five days. Originally, eight furlough days were planned before the state sent more money to the courts in a supplemental budget. No furloughs are scheduled for the next fiscal year.

Maryland

67,000 employees, $34 million savings, 2 to 5 days over a year

Gov. Martin O'Malley (D) of Maryland issued an order in December requiring 67,000 employees to take two to five days off to help save $34 million and close a gap in the 2009 fiscal year. They were the first furloughs imposed by the executive office since 1992. No furloughs are scheduled for the next fiscal year.

Massachusetts

5,000 employees, $4.5 million savings, 3 to 5 daysover a year

Gov. Deval Patrick (D) imposed furloughs of up to five days on 5,000 executive staff employees in the 2009 fiscal year, saving about $4.5 million.

Maine

7,000 employees, $10 million savings, 20 days over two years

About 7,000 state employees will have 20 unpaid "shutdown days" over the next two years, which will save about $10 million. The plan also freezes merit and longevity pay.

Michigan

37,500 employees, $22 million savings, 6 days over a year

Michigan will save $22 million this fiscal year by furloughing 37,400 employees for six days by Oct. 1.

Nevada

$333 million savings, 12 days over a year

Starting July 1, Nevada's state employees will take off one unpaid day each month. Originally, Gov. Jim Gibbons (R) wanted a 6 percent pay cut for employees, but lawmakers instead instituted the furloughs, which cut salaries by 4.6 percent. Savings of $333 million are expected.

New Jersey

60,000 employees, $420 million savings, 14 days over two years

Gov. Jon Corzine (D) pushed through a plan that will furlough the state's 60,000 state workers for two days in the current fiscal year, and 12 more in the next. The furloughs will save the state about $420 million.

North Carolina

$65 million savings, 10 hours over a year

Gov. Beverly Perdue (D) signed an executive order in April stating that all state employees and teachers will get a .5 percent pay cut in exchange for 10 hours of flexible time to be taken before June 30, which is expected to save $65 million. The 55,000-member State Employees Association of North Carolina fears the furloughs - the first in state history - are only the beginning. Lawmakers have proposed bills to have more furlough days in the next fiscal year.

Ohio

At least 51,000 employees, 20 days over two years

Ohio's two largest state employees' unions, which together represent almost 40,000 workers, agreed to a wage freeze and 10 "cost-savings days" during each of the next two fiscal years, which will save $173.2 million. It was the first time in state history that the governor asked for furloughs. The furloughs will also be imposed on 11,000 nonunion employees who work for the executive office. Some other departments, such as the Attorney General's and Treasurer's offices, will also require employees to take days off.

Oklahoma

470 employees, $1.2 million savings, 12 days over a year

The 470 employees at the Oklahoma Corporation Commission will be furloughed for 12 days in the 2010 fiscal year, saving about $1.2 million.

Oregon

2,000 employees, 6 days over a year

Oregon courts furloughed 2,000 workers for six days to cover a shortfall in the current budget; employees were originally supposed to take 16 days off. The state is considering a budget that would lay off up to 1,700 state workers and require as many as 24 furlough days over the next two years.

South Carolina

24,000 employees, $30 million savings, up to 10 days over a year

South Carolina's agencies are allowed to furlough employees up to 10 days each fiscal year if their budgets require it. So far, more than 24,000 employees have taken furloughs this fiscal year, and agencies have saved more than $30 million.

Utah

3,000 employees, 5 days over a year

Utah State University furloughed almost 3,000 employees over spring break. Public school districts and state agencies are expected to furlough some employees during the next fiscal year.

Wisconsin

69,000 employees, $121 million savings, 16 days over two years

About 69,000 Wisconsin state employees will take eight unpaid days off over each of the next two years. The furloughs should save about $121 million.

POSSIBLE FURLOUGHS

Illinois

Illinois Gov. Pat Quinn (D) has proposed that state employees be furloughed for four days next fiscal year, but that would require negotiations with the state employees' unions.

Minnesota

Gov. Tim Pawlenty (R) dropped a proposal to furlough state workers twice a month and instead, reached a tentative two-year contract with the state's two largest public unions to freeze wages. The governor maintains he has the right to impose furloughs in the future.

New Hampshire

Lawmakers have passed a budget that requires Gov. John Lynch (D) to make $25 million in personnel cuts, either through layoffs or furloughs. Any furloughs would have to come out of negotiations between Lynch and the State Employees' Association, which represents the state's 11,500 workers.

Washington

After revenue projections fell by almost $500 million in June, Gov. Christine Gregoire (D) ordered agencies to cut payrolls another 2 percent. Her letter to agency directors said the cut "may necessitate furloughs, reductions in force, or reductions in overtime."

Sources: National Conference of State Legislatures and Stateline.org reporting

 

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