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California May Cut 20,000 Jobs

Reuters reports that California has notified 20,000 state employees that they may lose their jobs. The job cuts would come in June ahead of California's next fiscal year, which begins in July.
The announcement came a day after California lawmakers narrowly failed to pass a $40 billion budget that would have plugged the state's deficit with a mix of tax hikes and spending cuts.

"In the absence of a budget, the governor has a responsibility to realize state savings any way he can," said Aaron McLear, a spokesman for the Republican governor. "This is unfortunately a necessary decision."

The layoff notices will affect about 20 percent of state workers, McLear said, adding the cuts would extend to every part of state government.

The positions would be eliminated in June in preparation for California's next fiscal year, which starts in July.
CNN says California faces a $42 billion budget deficit. An L.A. Times article puts the layoff figure at 10,000 government workers.

Posted on February 17, 2009





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