Governor Arnold Schwarzenegger has been cleared to furlough CA state workers. The governor has had little help in easing a California spending budget crisis for years. There are consecutive years of spending budget shortfalls for CA. Schwarzenegger had to turn to a furlough of state employees, but was sued to keep him from doing this. The Supreme Court of CA ruled in the governor’s favor. He could be enacting further furloughs.
Judge wants furlough structure to remain
A furlough was put in place by Schwarzenegger for CA State employees. This was done to save money for the state. The workers would work two fewer days per month, without pay. The furloughs went up to three days in 2009. This was after they had already been initiated in 2008. When the state furlough orders were renewed in 2009, Governor Arnold Schwarzenegger was sued by the Professional Engineers in CA Government. They were suing as the days off were supposedly illegal. Cable News Network accounts the government won in that battle using the CA Supreme Judge. Due to the furloughs, the state of CA will conserve a lot of money. About $80 million a month can be saved.
CA has no precious metal left to pay
The budget crisis within the state of CA has been going on for a when. It has been here for years in fact. As real estate values and employment plummeted, the state was left with a drastic budget deficit. It is just expected that California will end the year with a spending budget deficit. It has been that way for a while. Governor Schwarzenegger has been opposed at every turn by legislators and other parties. The deficit isn’t one thing that he likes or approves of. It is his only option to get the deficit to go down. Bloomberg explains that the California budget deficit is, for this year, at $19.1 billion.
Income lower means much less cash could be spent
The state of California has been in perpetual crisis mode for the past two years. At the end of the month the governor and the state legislature will be meeting. They should be able to come to a consensus about the budget. The legislature thought the furloughs were a great idea.
Information from
Bloomberg
bloomberg.com/news/2010-10-04/california-s-schwarzenegger-can-order-worker-furloughs-state-court-rules.html
CNN
cnn.com/2010/US/10/04/california.furloughs/
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