Though all indications are that many state employees will receive pink slips soon, several factors make it difficult for Connecticut to downsize its workforce. And those same factors and others make it all-but-impossible to close the major budget deficits projected for the next few years with layoffs alone.
State Budget
Posted inMoney, Politics
Senate Democratic leaders confident deficit-mitigation cuts will pass
Leaders of the Senate’s Democratic majority announced Thursday they believe there is enough support to pass a plan next week to close most or all of the $220 million deficit in the current state budget.
Posted inMoney, Politics
Malloy to employees: Layoffs, yes; early retirement, no
The legislature is poised to vote Tuesday on spending cuts to close a current year deficit, but Gov. Dannel P. Malloy bluntly warned state employees Wednesday that layoffs remain an essential element of his plan to balance next year’s budget.
Posted inEducation, Health, Money, Politics, Transportation
Struggle to balance current budget could help with future deficits
While legislators and Gov. Dannel P. Malloy scramble to close yet another hole in the current state budget, the exercise could help them solve a much larger problem. Depending on how they solve this fiscal year’s $220 million deficit — a task lawmakers have pledged to complete Tuesday — the $900 million hole built into 2016-17 finances could be whittled down by nearly one-quarter.
Posted inMoney, Politics
Estate tax measure may preview 2017 state tax debate
The arguments surrounding a bill to eliminate Connecticut’s estate tax — a bill not expected to advance this year – might offer a preview of the battle some anticipate next year over the fairness of the state’s tax system.
Posted inMoney, Politics
State union negotiator resists Malloy bid to reopen benefits pact
Gov. Dannel P. Malloy has formally asked to reopen a major benefits contract with state employees, but his request has been met with a qualified “no” from labor’s chief negotiator.
Posted inEducation, Health, Money, Politics
Malloy orders more cuts as lawmakers vow to close deficit by April 1
While legislators committed Wednesday to close a $220 million hole in state finances by March 31, Gov. Dannel P. Malloy ordered $79 million in emergency cuts, two-thirds of which hit social service agencies and education.
Posted inEducation, Health, Money
GOP offers cuts, furloughs to close deficit, restore hospital funds
Updated at 5 p.m.
House and Senate Republicans would furlough all state workers for two days, reduce legislators’ pay, eliminate posts in Gov. Dannel P. Malloy’s administration and reduce spending for education, social services and other programs to balance state finances by June 30.
Posted inMoney, Politics
Malloy sends early layoff warning to most of state’s workforce
Gov. Dannel P. Malloy’s administration sent a letter to seven unions representing close to 70 percent of the workforce this week warning they could be affected by new agency organizational plans that “may include reductions in force.”
Posted inMoney, Politics
GOP says Democrats aren’t taking CT spending cap fix seriously
Republican legislative leaders blasted their Democratic colleagues and Gov. Dannel P. Malloy last week for making late appointments to a panel charged with fixing the state spending cap. The panel still hasn’t met, even though its statutory deadline to begin work was Feb. 27.
Posted inMoney, Politics
Malloy says layoffs, facility closings are unavoidable
Gov. Dannel P. Malloy jousted Wednesday night with state employees angry over his plans to shrink the state workforce and citizens frightened of what a smaller government will mean for disabled relatives dependent on state services. The governor offered little solace to either at his fourth town hall forum of the year.
Posted inMoney, Politics
Malloy to businesses: Tell lawmakers to accept budget cuts
Gov. Dannel P. Malloy warned business leaders Wednesday that Connecticut faces five to six more years of “economic adjustment” and urged them to help convince unwilling legislators to support difficult state budget cuts.
Posted inHealth, Money, Politics
Malloy hints at layoffs before summer
Gov. Dannel P. Malloy signaled an intention Tuesday to lay off state employees in the current fiscal year, saying the workforce must shrink substantially, and that the process must begin before the fiscal year ends on June 30. Malloy spoke to reporters after a meeting with legislative leaders, where he pressed them to offer their own cost-cutting ideas.
Posted inHealth, Money
Malloy holds back community health center funds
The move is similar to one the administration made in suspending $140 million in payments for hospitals, and led health center officials to warn that it could cost jobs and set back services for poor patients.
Posted inMoney
Sharkey, Malloy clash over UConn deal, hospital cuts
House Speaker J. Brendan Sharkey, D-Hamden, and the administration of Gov. Dannel P. Malloy engaged in an extraordinary exchange of criticism Friday over two fiscal controversies, ratcheting up intra-party tensions over how to resolve a worsening budget shortfall.