In a First, Bankruptcy Judge Rules Calif. City Can Void Union Contracts (THIS IS HUGE!!!)

Law.com ^ | March 17, 2009 | Pamela A. MacLean

[Dog Gone]

Gross and net are two different things, of course, and $100k per year in California is not the same as in Kansas.

But the real question is whether you are actually delivering the value of your salary, no matter where you live.

You had better be delivering far more than that, or your job is a net drag and should be eliminated.

[dennisw]

The upside of bankruptcy for counties cities and states

CAPLERS blew billions last year by law the cities and counties of California have to make up the difference. They will mercilessly raise taxes to do this.

Tax revolts and bankruptcies with contract and pension re-negotiations are needed. It’s the only way out

[dennisw]

"My understanding is that a lot of cities are watching this and particularly this motion," said Woodruff. "If the city of Vallejo succeeds in using bankruptcy to void union contracts I am sure others will follow," she said.

Bring it on!!!
The private sector citizens are suffering and so should the public sector

[Alberta's Child]

If we cheer the demise of the unions shouldn't be cheer the reneging by the government of the AIG bonuses? Or am I comparing apples and oranges? Don't flame me, I'm just trying to understand.

You raise a good point, but something to keep in mind is this . . .

By rescuing a company like AIG from bankruptcy, the U.S. government actually eliminated the one legitimate measure that could have been used (a bankruptcy filing) to negate those executive bonuses. A contractual agreement that can be negated in a bankruptcy court cannot be negated under a government "rescue" measure unless the changes in the contract are included in the rescue process.

[AreaMan]

You had better be delivering far more than that, or your job is a net drag and should be eliminated.

Ah common sense...unfortunately that has no place in government work, or budget analysis.

If we apply your logic then nearly ALL of our elected officials would be out on their cans within their first term.

What happened in Vallejo is just the tip of the iceberg. Many municipalities are facing similar budget shortfalls and many of them are much larger than Vallejo.

[Balding_Eagle]

Not to be a pessimist, but I can’t see this ruling standing.

WAY too much political pressure. Maybe someday, but not this one.

OK, I guess I’m a pessimist. Hope I’m wrong.

[pepperdog]

Thank you and everyone who replied. I see the light. I was having a slow mental day, not too unusual for me anymore, to much O distraction. I totally overlooked the Bankruptcy aspect, which when brought to my attention made things clear. Note to self: It’s a bankruptcy court ruling dummy!

[sniper63]

"Are there many Mexicans in Detroit????"

What planet have you been living on?

[reformed_dem]

Vallejo is scary.

[fanfan]

If “Government is the Answer” to all problems...why do government employees need a union anyway??

That would be an excellent tagline!

[sniper63]

“Wages that would be insane in GA or PA may be “entry level” in insane places like the PRK or NYC.”

Only because of an over inflated cost of living. Why is a 2000 sq ft house worth 150K say in Wisconsin but that same 150K house is worth 50oK in CA?

[fanfan]

LOL!

[surfer]

Could this be proof that god does exist?

[classified]

Excuse me that was sarcasm! A follow up from a earlier post! I live and breathe the same air you do!

[truth_seeker]

“Why is a 2000 sq ft house worth 150K say in Wisconsin but that same 150K house is worth 50oK in CA?”

Because a buyer will pay that price in CA, same as any other goods, services in America.

And the people in CA are “happier” than the people in Wisconsin!!

http://www.gallup.com/poll/116497/Rankings-Reveal-State-Strengths-Weaknesses.aspx

[sniper63]

Must be better drugs...kool aid

[sniper63]

So you are saying, as long as “happiness reigns” I should be able to over charge for the same product? I will sell you 40 acres in WI for 40K but I will sell you this 40 acres in CA for 4M. Land is Land! Materials for construction are the same materials. Why do I have to subsidize over inflated CA housing costs with my homeowners insurance premiums based on “Happiness”?

[truth_seeker]

“drugs, koolaid....

So you are saying, as long as “happiness reigns” I should be able to over charge for the same product? I will sell you 40 acres in WI for 40K but I will sell you this 40 acres in CA for 4M. Land is Land! Materials for construction are the same materials. Why do I have to subsidize over inflated CA housing costs with my homeowners insurance premiums based on “Happiness”?”

Your responses jump from topic to topic..scatterbrain?

I will start and finish my lesson on real estate economics for you, by stating prices vaary widely INSIDE Wisconsin, and inside California based on what a willing BUYER will pay, to complete a purchase.

Asking prices mean nothing, in the end.

[Eva]

This is actually really, really huge because the Democrats in control in WA State are planning to try to use the union contracts to get a court ordered tax increase.

[an amused spectator]

Municipal bankruptcy is so rare...

Use this phrase while you can, journalist.