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State of Rhode Island to lay off 1000 workers
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Working for the government used to be a safe secure career. No more. Tough times have hit many states and they're taking action to cut budgets. In an AP article recently Governor Don Carcieri stated he will lay off 2000 state of Rhode Island workers. The governor intended 80% of 13,500 state workers to take a furlough on Friday. The union took the state to court and Rhode Island Supreme Court judge Maureen McKenna Goldberg recently blocked the proposed furlough. The day layoff was supposed to be the first of 12 unpaid days of leave.
The governor now says he will have to layoff these workers to make to balance the state budget that currently has a $68 million deficit. The state budget has experienced a shortfall in tax revenue due to the state’s 12.5% unemployment rate.
Layoffs would be done starting with workers most recently hired. Union rules allows laid off employees with hirer seniority to replace more recently hired workers. Starting with the most recently hired would minimize the delay in reducing payrolls.
In 2007, Carcieri cut the jobs of 200 state workers and contract employees and cut retirement benefits to push others into retirement. The governor had agreed to not lay off more workers when the union took a pay freeze and higher worker contributions toward their health insurance.
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