Carcieri warns of layoffs after union delay

(Updated, 2:30 p.m.)

PROVIDENCE – The Carcieri administration is telling its department directors to proceed with plans to lay off up to 1,000 state workers in case contract negotiations with the public employees unions don’t lead to an agreement.

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In a memo issued today, Gary S. Sasse, director of the state’s departments of administration and revenue, asked that directors submit by Wednesday so-called “layoff lists” meant to identify the 1,000 most-recently hired state workers.

The memo came shortly after the leadership of the state’s largest public employees union postponed until tomorrow a meeting to discuss whether to accept a tentative agreement with the administration that would avoid layoffs or a shutdown of state government in exchange for lower pay.

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Council 94, American Federation of State, County & Municipal Employees, said it had moved a meeting of its State Conference Board from noon today to 3 p.m. tomorrow after questions arose about the details of the agreement.

In his memo, Sasse said he wanted to move forward with the layoff process just in case, “due to the serious fiscal challenges facing the state and the time necessary to prepare and implement layoffs.”

“While negotiations with the state’s employee unions have been productive, we have not as yet reached a final agreement,” he wrote. “In addition, any final agreement is contingent upon ratification by the unions.”

Carcieri spokeswoman Amy Kempe told Providence Business News this afternoon that the memo does not signal a breakdown in negotiations. “We’re hopeful,” Kempe said. “Both sides want a resolution and are acting in good faith.”

In a statement issued this morning, J. Michael Downey, president of Council 94, said his union received a proposal from the administration late Friday. “Council 94 officials met with their attorneys over the weekend to review the document and have determined that we must meet with state officials to work on the language and details of the proposal,” he said. “We will contact the administration representatives to arrange a meeting today.”

If the board signs off on the agreement, it will be put to a vote of Council 94’s 4,000 members.

The tentative agreement calls for state employees to take eight unpaid workdays this fiscal year and another four next year. Workers would be compensated for half of those days upon retirement, plus some vacation time, Downey said last week. In addition, a 3 percent raise scheduled for July 1, 2010, would be delayed until the following January, he said.

In return, Downey said the Carcieri administration has agreed not to have layoffs, shutdowns or furloughs through June 2011.

The agreement would help the Carcieri administration close a $68 billion hole in the state budget for the current fiscal year, as directed by the General Assembly in June.

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1 COMMENT

  1. Unions are killing this country. They want guarantees…… Are you kidding me. The rest of the US has been hit hard by the economy. I was talking with a state worker (friend) the other day and he is pissed that he is not getting a raise this year.

    Let me explain how things work. When a company’s revenues are down, ownership and/or management must balance the budget. So if sales are down, they must control all expenses. If that means cutting hours worked to prevent layoffs, they do that to be fair with everyone. The other option is keeping hours the same an laying off workers. I do believe all companies should utilize the a round of cut backs/layoffs to eliminate under performers/dead weight. So should government, no free rides.

    Union members pay attention please. When sales are down in companies across the country, so is tax revenue for the state and federal government. Tax revenue is the states source of income. Common sense tells us that if the state is not bringing in tax revenue, they need to make adjustments. Let me ask you all a personal question, If you make lets say $3000 a month do you spend $3300 in monthly expenses. A smart person would not, they would find a way to control spending. Carcieri is smart and it is his job to balance the budget.

    Stop being so greedy. I believe all workers, union or non-union deserve fair wages and fair benefits. But unions have created benefit packages that are wrong and are based on greed. Carcieri should rid the state government of unions 100%. Start fresh with workers that want to work. Base compensation on performance not seniority. Watch how efficient our state workers will become and watch how fast cost will come in line. Run the state like a business.

    12 days over the course of a year, that sounds more than fair. How about paying a bit more for your healthcare costs as well.