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Massive layoffs and pay cuts are likely coming to state and local governments as federal aid goes elsewhere
CNBC ^ | 22 April 20 | Ylan Mui, Karen James Sloan

Posted on 04/23/2020 3:01:22 AM PDT by Bruiser 10

State and local governments are warning of a wave of layoffs and pay cuts after getting left out of the federal coronavirus relief package expected to pass Congress this week.

In many places, those painful reductions are already taking shape:

Los Angeles plans to force city workers to spend 26 days on unpaid leave as revenues are forecast to drop as much as $600 million next fiscal year. Detroit has proposed laying off 200 workers and furloughing thousands more. In Ohio’s Hamilton County, Commissioner Denise Driehaus is taking a 10% pay cut alongside county workers.

“We are really struggling,” Driehaus said.

The $2.2 trillion emergency legislation known as the CARES Act, which President Donald Trump signed late last month, included $150 billion in direct help for state and local governments grappling with the impact of the deadly outbreak. Democrats pushed to include another $150 billion in the next tranche of aid, but Republicans sought to keep the bill narrowly focused on support for small business.

By Tuesday night, Democrats yielded on their demand. The Senate passed the legislation by unanimous consent — without additional help for state and local governments. The House is slated to vote Thursday, and Trump is expected to sign it.

(Excerpt) Read more at cnbc.com ...


TOPICS: Government; News/Current Events; Politics/Elections
KEYWORDS: caresact
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1 posted on 04/23/2020 3:01:22 AM PDT by Bruiser 10
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To: Bruiser 10
Layoff, furlough, slash salaries, and fire every single "Diversity, Equality, and Inclusion" employee at every level. State. City. Local. Company. College and University.

These are make work jobs for racists.

2 posted on 04/23/2020 3:05:05 AM PDT by SkyPilot
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To: Bruiser 10

That’ll focus hearts and minds, especially at the state levels. Suddenly we’ll hear that reopening the economy isn’t such a bad idea after all.


3 posted on 04/23/2020 3:06:10 AM PDT by ScottinVA (Prayers up for Rush Limbaugh...)
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To: Bruiser 10

4 posted on 04/23/2020 3:07:36 AM PDT by Veggie Todd (Voltaire: "Religion began when the first scoundrel met the first fool".)
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To: Bruiser 10
This whole fiasco is exposing an idiotic flaw in the approaches many elected officials are employing in their jurisdictions.

Imposing mandatory shutdowns of viable business establishments, while at the same time treating pension payments and other retiree costs as sacrosanct obligations of the state, is about the biggest example of fiscal mismanagement that I’ve ever seen. This is the equivalent of a retail store shutting its doors and going out of business today ... while still keeping the staff employee, paying the rent, and keeping the utilities on indefinitely into the future.

5 posted on 04/23/2020 3:08:39 AM PDT by Alberta's Child (And somewhere in the darkness ... the gambler, he broke even.)
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To: ScottinVA

But you do have to wonder. We know that some skills necessary to run a complex, technological society like ours are “perishable”. It’s just a fact. Why wouldn’t some “negative” skills like corruption also be “perishable”. Getting rid of corrupt, petty bureaucrats sounds like a good thing to me.


6 posted on 04/23/2020 3:09:29 AM PDT by wastoute (Anyone who believes PsyOps are not involved has never met a PsyOps Officer.)
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To: Alberta's Child

It wasn’t a flaw. It’s a gamble. A desperate one on some cases, by state and munivple governments that refuse to live within their taxpayers’ means. They are all still counting on a bailout.


7 posted on 04/23/2020 3:11:35 AM PDT by mewzilla (Break out the mustard seeds.)
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To: mewzilla

Probably at least ten states in dire circumstances, and another twenty which will be adjusting tax rates for 2021 in a serious way.

All this did, was speed up the process of people exiting both Illinois and California. I’ll bet both lose an additional one-million residents by the end of 2021.


8 posted on 04/23/2020 3:15:41 AM PDT by pepsionice
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To: mewzilla
Here’s the problem: In some of these states where the risks of insolvency are highest — I’ll cite Illinois and New Jersey as two examples — there is very little political risk in screwing the retirees. That’s because the cost of living in these states is so high, and the state governments so dysfunctional, that many (even most?) of these retirees have fled to other states.

So these governors are screwing their current workforce for the benefit of retirees who aren’t even constituents and don’t even do business there anymore.

9 posted on 04/23/2020 3:17:48 AM PDT by Alberta's Child (And somewhere in the darkness ... the gambler, he broke even.)
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To: SkyPilot

Amen. Enough of this left wing nonsense.


10 posted on 04/23/2020 3:18:10 AM PDT by upchuck (Dan Bongino: The Democrats are The Virus)
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To: Bruiser 10

Not the most essential workers in that nation! Oh wait, goobermint drones? Never mind.


11 posted on 04/23/2020 3:18:36 AM PDT by Still Thinking (Freedom is NOT a loophole!)
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To: Bruiser 10

bummer not.


12 posted on 04/23/2020 3:19:42 AM PDT by Drango (1776 = 2020)
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To: pepsionice

Now you see why these states are so hell-bent on flooding the place with immigrants. They need to find millions of people who are dumb enough to take on an enormous tax burden to support American retirees.


13 posted on 04/23/2020 3:20:08 AM PDT by Alberta's Child (And somewhere in the darkness ... the gambler, he broke even.)
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To: Bruiser 10

I could care less if all these gold brickers were fired. Welcome to the real world. And by the way you owe the tax payers everything you got.


14 posted on 04/23/2020 3:21:30 AM PDT by HighSierra5
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To: ScottinVA

Yup. This is the prybar that Trump will use to reopen the economy.


15 posted on 04/23/2020 3:25:43 AM PDT by Buckeye McFrog (Patrick Henry would have been an anti-vaxxer)
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To: pepsionice

I live in NYS. We had an opportunity a few years back to vote for a constitutional convention which might have enabled us to amend our state constitution and deal with our oncoming fiscal tsunami.

Public employees scared voters silly with all kinds of BS, hid the real reasons for their opposition (protecting their unsustainable pensions and health bennies), and came out to vote. The proposal went down in flames. Taxpayers, jobs, families, continue to flee the state.

Since states can’t print money, and the people still remaining can’t keep them in the style to which they’ve become accustomed, our so-called public servants are about to get screwed big-time.

These people aren’t stupid, but they are greedy and clearly don’t give a damn who they have to impoverish to get what’s coming to them.

I have zero sympathy for our public servants anymore. None. They made their beds. Now they can lie in them.


16 posted on 04/23/2020 3:25:58 AM PDT by mewzilla (Break out the mustard seeds.)
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To: Bruiser 10

And if the stock market doesn’t rebound, there goes everybody’s pension.


17 posted on 04/23/2020 3:27:54 AM PDT by P.O.E. (Pray for America)
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To: Bruiser 10

“In Ohio’s Hamilton County, Commissioner Denise Driehaus is taking a 10% pay cut alongside county workers.

“We are really struggling,” Driehaus said. “

Lol, no Denise, you’re not struggling.

Not even close.


18 posted on 04/23/2020 3:29:12 AM PDT by JPJones (More Tariffs, less income tax.)
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To: Alberta's Child

Well stated.

It will also be interesting, to say the least, to see the number of lawsuits claiming violation of civil liberties. Unlike the marginal ‘take the sign out of your yard’ cases these suits will involve wholesale, clear, unconstitutional acts by government entities and executives.

Legal defenses cost money even if the defense wins. And if they lose, look out. All the cities, states, governors and mayors who thought they were ‘helping’ by arresting moms in a park or restricting travel may find themselves facing multiple large payouts and ending up in default.


19 posted on 04/23/2020 3:29:19 AM PDT by relictele
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To: Bruiser 10

L8r


20 posted on 04/23/2020 3:31:07 AM PDT by preacher ( Journalism no longer reports news, they use news to shape our society.)
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