Furloughs coming for state workers union as part of budget agreement
Gov. Gavin Newsom has reached an agreement with California’s largest public employee union as he works to get a budget in writing.
That budget has to compensate for a $54 billion deficit caused by the coronavirus pandemic.
“I know that we were all devastated when the governor put in his May Revise budget that he wanted 10 percent from employee compensation. He wanted to forgo the raises that we had just recently negotiated, because we were in this crisis,” said Yvonne Walker, President of SEIU Local 1000. “But he gave us the opportunity to come in and figure out how we can mitigate this for our members.”
SEIU Local 1000 represents 96,000 state workers including custodians, administrators and nurses.
The union says those workers will take two furlough days every month for two years, which equals a 9.23% pay reduction.
Workers can choose the days they take off and the union is decreasing monthly contributions to requirement health plans.
“We were able to maintain our full contract. Yes, we had to delay the timing on when we got some of our raises,” added Walker.
Workers were also set to receive a 2.5% salary increase on July 1. The increase has now been delayed two years.
Local 1000 is the second state union to reach an agreement with the governor’s bargaining team.
The California Correctional Peace Officers Association reached the first tentative agreement last week.
“It’s not surprising at all Gavin Newsom is pursuing these labor agreements with these different labor groups,” said Kevin Riggs, KCRA 3 Political Analyst.
Riggs explained that governors historically have used furloughs to effectively save money for California.
“It’s a relatively quick way to save money, much quicker than to try and pursue layoffs, which can take a long time to achieve.
Former Governor Schwarzenegger ordered furloughs during the 2008 financial crisis.
“Back then, Schwarzenegger forced the furloughs on the state workers,” Riggs said. “They did not agree to it. In fact, SEIU Local 1000 went to court to try and fight it, and they lost.”
Riggs added the political dynamics between 2008 and 2020 are vastly different.
“Schwarzenegger as a Republican governor did not have warm relationships with labor unions, and Gavin does have pretty good relationships. That’s why its been so much easier this time around to pursue this.”
“Were we happy to have our members put in this position less than a year after negotiating an historic contract with the state? Absolutely not. However, our members did not shy away from this challenge,” said Brian Nash, Director of Communications with SEIU Local 1000. “They submitted thousands of ideas on how the State could save money. Our bargaining team reviewed their suggestions, and despite the State’s attempt to cancel our hard-fought contract wins, SEIU Local 1000, through the power and insight of our members and our member-elected, member-led bargaining team, found a better way.”
