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On Tuesday evening, hundreds of workers with the Service Employees International Union (SEIU) congregated at the steps of the Capitol to voice their frustrations with how the state legislature is handling the budget.
Yvonne Walker, President of the SEIU, opened the rally with a fiery speech about how state workers “are on the tipping point,” with the continued proposals to cut state workers’ pay and adding a third furlough day.
Walker described the two-day furlough already in place for state workers as “the equivalent of one month’s pay.” She explained an additional day of unpaid leave would increase the financial burden on state workers, causing some to lose their homes.
Workers were well aware of this possibility as they walked circles around the Capitol lawn, some waving signs that read, “The future face of poverty.”
The impacts of pay-cuts have had severe effects on the lives of the workers.
“I have two children and I cannot afford a fifteen percent pay cut as a single mother,” said Kendra White, a tax technician. She added, “I already can’t pay my bills,” though the further proposed cuts have yet to be implemented.
Richard Wilcox Jr. is an employment program representative who processes employment insurance claims forms. He attended the protest in solidarity for his fellow workers.
“Some of them are at a point where they are actually filing for unemployment insurance claims forms,” seeking the exact help they provide as a part of their job, he said.
Some of the rally attendees held up signs that referenced the safety and well-being of their children. “I’m having to make choices about my kids being in daycare, and in a potentially dangerous situation” said Angela Ramirez, a DMV employee.
“I had to actually check with child services to see if it was okay to leave her home for a few hours out of the day until the lunch hour when I could come home,” Ramirez said.
She touched on current situations at her office that reflect the effects of the budget cuts on the community as a whole. “We’re backlogged, and customers are disappointed that the services are taking a lot longer.”
These services include filing paperwork dealing with DUI offenders. “Getting drunk drivers off the road is getting longer. The paperwork is taking longer,” she remarked.
“We’re doing a disservice to the community, not only the workers but the state of California,” Ramirez said.
Members of the SEIU have pin-pointed many ways to re-direct pressure off of state workers. “We’ve identified $34.7 billion in private outsourced contracts,” Walker said, hoping that the amount of money pouring into private contracts is reduced.
“One idea which I have,” said Wilcox, “is basically we start taxing oil companies for the oil that they drill out of ca public land.” The same is currently done in Alaska where they “actually make enough money where every year the Alaska state government sends its citizens checks.”
While he does not think the possibility of drilling an equivalent amount of oil in California is possible to generate that income, “it could at least offset the hurt.”
The SEIU planned to have a candle-light vigil and spend the night on the Capitol lawn, but some of the coordinators called it off because it looked like the legislature was not going to be in session that evening.
The protest at the Capitol Tuesday evening was a precursor to today’s rally. The SEIU expects over 2,000 workers to convene at the Capitol around noon to rally against the projected cuts.
Kathleen: Thanks so much! That means a lot coming from the budget Queen!
The voters back in May voted down tax increase 2 to 1, so cuts need to be made in balancing the State budget.
When things are going well, we all prosper, when things are tough, we all take a hit. From what I understand government workers get to stay home on the days they do not get paid for. Out here in real world competitve business land, we work longer hours for less pay, and try to hold the company together.
How would this work?
Thank you both for your comments!
I propose 15% cuts across the board to balance the budget, that way no one program or agency feels like another is getting special treatment.
Seth, please explain your idea on State bondholders.
It wouldnt take anyove veryu long to do a search of all the companie that have gone out of businesses and all the people at the company have taken a 100% cut.
Only a 15% cut? Thats a fantastic deal considering the condition of the economy!
And yes, an across the board cut is an evening out of the pay cut worries, but how that would pass is another story!
I really appreciate the dialogue that's being driven here, I am definitely absorbing a great deal of knowledge from you.
California could keep going by not paying back money it has borrowed. This move is unlikely and the consequences of default would make the state's financial situation worse. It would greatly hurt the state's ability to borrow in the future. Plus, the people California owes money to could go to court to force the state to pay.
There is no need for CA to default on its bonds. Instead, the state could raise taxes on upper-income bondholders.
I doubt that investors will avoid CA bonds as a result of higher taxes on the well-heeled. In the current crisis of financial fragility, investment safety trumps risk.
In terms of federal bankruptcy law, private companies use it to void labor union agreements on pensions and wages. U.S. air carriers have done just that to their union workers.
Currently, the governor is using the state budget crisis similarly to cut pay via furlough days for (most of the) state work force. His recent proposal to reduce retirement pensions for new state worker extends this aping of private sector trends.
And Seth, you raise some really great issues as well. Thanks for bringing in some clarity with examples.