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WHILE
PRITZKER TALKS STATE WORKER FURLOUGHS, NEW YORK DELAYS RAISES
Illinois Policy Institute/
Mailee Smith
Illinois
Gov. J.B. Pritzker could delay the $313 million in raises state workers
have yet to receive, but instead he’s considering taking $75 million
from their paychecks and leaving taxpayers without their services. |
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 COVID-19 put so much strain on state finances, that many
Democratic governors turned to state workers to rein in expenses, including New
York just extending a pay freeze for around 135,000 workers.
But not in Illinois.
Gov. J.B. Pritzker refused to even discuss delaying $261 million in state worker
raises last year. He is getting ready to pay another $313 million in raises this
year.
Instead of freezing future raises that could help fill as much as a $4.9 billion
budget deficit this year, he is considering making workers take days off without
pay – a move that takes a bite from their paychecks, denies services to state
residents and only makes a $75 million nick in a massive deficit.
The state was facing a $3.9 billion budget deficit for the 2021 fiscal year.
That deficit may be as much as $4.9 billion now that lame duck lawmakers refused
to back Pritzker’s plan to tax small businesses as much as $1 billion by taking
away a state tax credit that Congress deemed important to help businesses
survive the COVID-19 economic downturn.
The projected deficit is $4.8 billion for 2022.
Pritzker announced more than $700 million in potential cuts in December,
including $75 million in personnel cuts for workers represented by AFSCME
Council 31 and other unions.
Pritzker should have considered delaying the $261 million in raises for state
workers in 2020 to help forestall some of these cuts and potential worker
furloughs. But he can change course in 2021.
Rather than stripping workers of pay altogether, Pritzker should negotiate a pay
freeze for workers represented by AFSCME Council 31, who are scheduled to
receive two raises on July 1: a general increase in pay of 3.95%, which will
cost the state $91 million, as well as additional “step” increases for an
additional year of service that will cost the state at least $222 million.
Total: $313 million.
 Illinois’ dire financial outlook – and the possibility of furloughs on the
horizon – should be a catalyst to get AFSCME Council 31 and the governor to the
bargaining table.
Pritzker should have delayed state worker raises in 2020
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top of second column] |
In July 2020, state workers represented by AFSCME
Council 31 received at least $261 million in automatic raises: a
general increase in pay of 2.1%, which cost the state $47 million,
as well as additional “step” increases for an additional year of
service that cost the state at least $214 million.
Delaying these pay increases could have helped free state funds to
be used for relief for vulnerable Illinoisans and those financially
devastated by the crisis – or even to stave off worker furloughs or
layoffs in the long run.
But instead, Pritzker refused to even consider
freezing state worker pay. In an April 23 press conference extending
his stay-at-home order through May 30, Pritzker was asked whether
that $261 million could be adjusted as part of budget changes.
“That’s not something that we’re currently having discussions
about,” he answered. He pointed out that the raises are part of
state contracts negotiated with workers.
Now state workers are facing $75 million in personnel cuts.
Pritzker should consider delaying the $313 million in state worker
raises in 2021
Admittedly, delaying raises outlined in a collective bargaining
agreement is uncharted territory for the state. AFSCME Council 31
would argue the state is contractually bound to provide those raises
under the Illinois Public Labor Relations Act. But similar contracts
didn’t stop governors in other states.
New York Gov. Andrew Cuomo just extended his state workers’ pay
freeze. When he first implemented a freeze in April, he explained
why it was better than the alternatives.
“You could do layoffs or you could buy some time,” Cuomo said.
“Let’s freeze the raises because that’s better than actually losing
your job.”
What’s more, delaying step increases should be seen by AFSCME
Council 31 and the workers it represents as a means to help
forestall more drastic measures.
After all, the state has the authority to lay off state workers
under the AFSCME contract and can “relieve employees from duty
because of lack of work or other legitimate reasons.”
Illinois’ state workers likely would rather keep their jobs and
their current pay than face time off without pay – or even permanent
time off as the crisis deepens.
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