california nightmare

so the governator "has prepared an order to cut the pay of about 200,000 state workers to the federal minimum wage of $6.55 an hour until a budget is signed"

"Administration officials said Schwarzenegger was expected to sign the order, a draft of which was obtained Wednesday by The Times, early next week as part of an effort to avert a cash crisis. The deadline for passing a budget was July 1, and without one soon, the officials said, California may be unable to borrow billions of dollars needed to keep the state solvent."

Hmm.
Interesting.

BTW: I have authoritative information that UC will invoke their autonomy from the State should this happen, and instaclassify their employees as not subject to the order.
Don't know if CSU or CCs would be exempt, I'd guess not, since their funding is much more tightly coupled to State funding and they are on the wrong side of the tuition income cycle.

I am somewhat boggled that the governor has any such authority.
It may be somewhat naive, but I had thought pay was subject to contract, not whim.

Of course the one thing the unions should not do is strike.
For occasions such as this the "work to rule" is the tool of choice.
In case you are not familiar with the concept, it is where employees consciously refuse all discretion or initiative, and follow all rules literally - especially safety rules and requirements for prior authorization from higher ups.

It would actually be interesting to see applied on such a large scale.
Interesting to see from outside California.
For suitable values of "interesting".

I call "bluff" though.

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By Jim Thomerson (not verified) on 24 Jul 2008 #permalink

It's all part of the gamesmanship involved in getting the state legislature to pass a budget, with state employees being treated as pawns. It's disgusting.

I don't think it's great theater. These people have families and mortgages and they did nothing to precipitate these budget problems. Cut the salaries of the legislators if you want to make a point - don't endanger 200,000 people's livelihoods.

Also, given the court cases this is going to engender, you're essentially wasting more money for no reason.

Der Gubernator is infected with the executive supremacy viral meme. A quick treatment -- call the sheriff, have him take the guy into a 72-hour psychiatric hold. The humiliation will cool his arrogance for a good long while.

By Bill the Cat (not verified) on 24 Jul 2008 #permalink

I'd be more impressed if the treat was to cut the salaries of the elected bozos--both the legistature and the governor (at least)--since, after all, one of the things they are paid to do is agree a budget. They're not. So why pay them?

The draft executive order REQUESTS that UC, Cal State, the community colleges, and others not under the Gov's direct control, participate. Seems pretty unlikely they will choose to do so. And the Controller says he won't implement it anyway. At this point, this stunt seems as likely to prove the impotence of the Gov as to show his strength.

By astroprof (not verified) on 24 Jul 2008 #permalink

It sure is interesting to watch this bit of theater / hostage-taking / bluff or whatever you want to call it. I heard from a friend working in CA prisoncorrections that their budget is unlikely to be affected! Meanwhile, us CSU employees got the following email from the Chancellor today:

CSU Works to Ensure Employees Receive Paychecks
The CSU will look for ways to help ease impact on state general fund

(July 24, 2008) - In response to Governor Schwarzenegger's request today for state agencies to cut the pay of state workers to the federal minimum wage until a budget is passed, California State University Chancellor Charles B. Reed said that CSU employees will continue to receive their regular paychecks while the university seeks ways to cooperate with the state to minimize the impact on the state general fund. While CSU is not under direct executive authority and subject to the requirement, Governor Schwarzenegger has requested that CSU and a number of other state entities assist in the effort.

"We are working to ensure that CSU employees will receive their regular paychecks and can expect their normal compensation until a new budget is signed," said Reed. "At the same time, we are looking at paying compensation with alternative revenue sources other than the state general fund in an effort to cooperate with the Governor and the legislature in this challenging budget environment."

Gov. Schwarzenegger has announced his intent to issue an order to cut the pay of about 200,000 state workers to the federal minimum wage of $6.55 an hour until a budget is signed in an effort to avert a cash crisis. The budget deadline was July 1, and without a signed budget soon, the state has indicated it may run out of cash and be unable to borrow the billions of dollars needed to meet the state's financial commitments.

The Governor has also called for a hiring freeze of all non-critical functions. For the CSU, this will mean "we are going to be prudent in our hiring, but the CSU needs to be prepared to serve the record number of students that will be enrolling on campuses for the fall semester beginning in August. To be responsive, the CSU will need to hire faculty and staff to help meet the needs of those students," said Reed.

In addition to the CSU, the Governor has requested that other state entities including the University of California, California Community Colleges, the California Public Utilities Commission, constitutional officers, and legislative and judicial branches, assist with similar efforts to help preserve the state's cash supply during the budget impasse.