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Link
to Governor's Speech and Budget in Brief
Dear
Local 1034 Members:
The
Governor will give his budget speech tomorrow morning (Tuesday,
February 26) and we anticipate it will make $3 billion in cuts and
attack state worker jobs. Last Friday, February 22, 2008, CWA, AFSCME
and IPTE locals were briefed on the proposed budget by the Governor’s
staff.
The
Governor’s office informed us that they intended to make significant
cuts to the state budget in charity care, property tax rebates,
municipal aid and in an overall reduction of the state worker workforce.
1)
CWA Local 1034 vehemently opposes these cuts.
Scapegoating
public workers and hurting middle class state workers is no solution
to the state’s fiscal problems. Additionally, these job cuts will
be devastating to the critical services that our members provide
to the public which the public values.
2)
Cutting the ‘hidden government’ is where savings should occur.
Currently,
the state has 8,000 employees on the TES (temporary employee services)
list performing our work, costing more than $100 million dollars.
Additionally, thousands of political appointees remain on the books
and private consultants and subcontractors continue to perform bargaining
unit work at much higher costs. These workers are hidden from the
published ‘head count’. Every Governor has boasted of ‘reducing
the state workforce’ by eliminating our jobs and then hiring private
consultants and TES to do the work under the radar.
3)
Early Retirement without backfilling hurts the entire workforce.
Early retirement has historically been a last resort alternative
preferable to layoffs. However, on the heels of a severe two-year
hiring freeze, an early retirement program without backfilling of
jobs will cut services across all departments and will continue
to exacerbate the burden on the remaining workforce. The Governor’s
office has not yet worked with our union to pursue alternatives
to layoffs. Additionally, there are serious questions as
to
the ‘cost’ of an ERI to the liabilities of the pension system.
The
Governor’s Proposed “Workforce Reduction” Cuts
Specifically,
the Governor, in his speech, will propose a ‘workforce reduction’
of 5,000 state employees including 1,890 workers who have left state
government and have not been replaced due to the two-year hiring
freeze; 500-1,000 layoffs; and an anticipated 3,000 workers who
would take a proposed early retirement.
Specifics
Elimination
of certain agencies
Elimination
of the Departments of Agriculture, Commerce and Personnel. The Governor’s
office indicated they intended to move the ‘functions’ and therefore
most of the jobs, of those agencies and said that these agencies
were not targeted for layoffs.
Layoffs of 500-1,000
The
state refused to give us specific agency by agency figures but indicated
that parks may be closed, motor vehicle offices may have shortened
hours, Law and Public Safety (LPS) clerical staff would be targeted
and some positions in DMVA and the Parole Board would be cut
Early
Retirement Proposal
They
intend to offer a targeted and limited ERI to three different employee
populations:
- 50 years old and older w/ 25 years of service
Add 3 years of service
No waiver of the 3% annual penalty for those under 55
- 60 years old and older w/ 20-24 years of service
Treated as having 25 years of service for the purpose of post-retirement
health benefits only (not seniority)
- 60 years old w/ between 10 and 20 years of service
Additional $500 month added to their pension
Backfill
Cap
Any ERI proposal would severely limit the number of positions
and people who are hired to backfill lost positions
Governor’s office anticipates 7,500 to 8,000 state workers would
be eligible for the proposed ERI and that 45% would be likely to
take it
Projected
“Savings”
The Gov’s Office, anticipates that their “workforce reduction” will
save $120 million in this year’s budget and cost $500 million in
enhanced pension costs.
1034
FIGHTS BACK!
As
always, the budget process is fluid and we anticipate that there
will be many changes to the details of that budget. As we get more
information we will share it with our members and our stewards.
However, we need to mobilize our forces now to fight this bad budget
proposal.
Attend
Meetings. The
Local will be holding shop steward and membership mobilization meetings
over the next few weeks to discuss a plan of action.
Check
the website/Give us your contact information. Please
check the Local’s website www.cwa1034.org for updates and provide
us with your email address by completing the "e-news signup"
form to the left or by emailing us at information@cwa1034.org
and telephone numbers so that you can receive email information.
Stay
in touch. Please keep your shop stewards and your staff
appraised of all factual information that you are hearing.
You
can find your legislator here.
(http://www.njleg.state.nj.us/members/legsearch.asp)
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