Senate Republicans have proposed a two-year salary freeze for virtually all government employees in Minnesota as a way to cut $1 billion from the state deficit.
The plan would affect about 350,000 employees of the state, school districts, the University of Minnesota, the Minnesota State Colleges and Universities system, counties and cities.
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Led by Senate Minority Leader Dick Day, R-Owatonna, caucus members said the proposal is a 'compassionate' approach to solving the state's $4.56 billion budget deficit because it would allow public employees to keep their jobs and would preserve services for citizens. However, Day and other legislators acknowledged there is no guarantee jobs wouldn't be lost in other budget-cutting measures.
Education Minnesota President Judy Schaubach said the proposal is not just a pay freeze; it is a pay cut when skyrocketing health insurance premiums are factored in. Increases are projected to average about 15 percent, and many public employees will face hikes of at least 20 percent to 25 percent.
'At a time when federal and state governments are ratcheting up expectations for schools and teachers, this proposal will make it all the more difficult to recruit the most talented teachers to the field and keep them there,' she said.
She noted that teacher salaries already lag thousands of dollars behind those of other professions, and it will be even harder to catch up if a freeze is implemented.
AFSCME Council 6 Legislative Director Julie Bleyhl said this proposal could be 'devastating to both public employees and the economy.'
'Balancing the state's budget shortfall on the backs of state employees is absolutely the wrong thing to do!' she said. Council 6 is the largest union of state employees.
The Minnesota Association of Professional Employees, which represents more than 10,000 state workers, also called the proposal unfair. MAPE Executive Director Jim Monroe said public employees did not benefit as much from the economic boom of the 1990s as workers in the private sector. A freeze in public pay would mean that 'those who benefited mightily from the good economic times and the most recent tax reductions are not being asked to pick up their fair shares.'
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Proponents of the plan estimate the freeze on school district salaries would save $300 million; on state and MnSCU salaries, another $300 million; the University of Minnesota, $100 million; and city and county salaries, $100 million to $200 million for each group.
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The Legislature has the authority to impose the pay freeze except in the case of the University of Minnesota, which has its own constitutional authority, according to Day. However, lawmakers can reduce the university's appropriation by $100 million and encourage a freeze, he said.
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State budget cuts to affect all Minnesotans
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Senate Republicans have proposed a two-year salary freeze for virtually all government employees in Minnesota as a way to cut $1 billion from the state deficit.
The plan would affect about 350,000 employees of the state, school districts, the University of Minnesota, the Minnesota State Colleges and Universities system, counties and cities.
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Led by Senate Minority Leader Dick Day, R-Owatonna, caucus members said the proposal is a ‘compassionate’ approach to solving the state’s $4.56 billion budget deficit because it would allow public employees to keep their jobs and would preserve services for citizens. However, Day and other legislators acknowledged there is no guarantee jobs wouldn’t be lost in other budget-cutting measures.
Education Minnesota President Judy Schaubach said the proposal is not just a pay freeze; it is a pay cut when skyrocketing health insurance premiums are factored in. Increases are projected to average about 15 percent, and many public employees will face hikes of at least 20 percent to 25 percent.
‘At a time when federal and state governments are ratcheting up expectations for schools and teachers, this proposal will make it all the more difficult to recruit the most talented teachers to the field and keep them there,’ she said.
She noted that teacher salaries already lag thousands of dollars behind those of other professions, and it will be even harder to catch up if a freeze is implemented.
AFSCME Council 6 Legislative Director Julie Bleyhl said this proposal could be ‘devastating to both public employees and the economy.’
‘Balancing the state’s budget shortfall on the backs of state employees is absolutely the wrong thing to do!’ she said. Council 6 is the largest union of state employees.
The Minnesota Association of Professional Employees, which represents more than 10,000 state workers, also called the proposal unfair. MAPE Executive Director Jim Monroe said public employees did not benefit as much from the economic boom of the 1990s as workers in the private sector. A freeze in public pay would mean that ‘those who benefited mightily from the good economic times and the most recent tax reductions are not being asked to pick up their fair shares.‘
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Proponents of the plan estimate the freeze on school district salaries would save $300 million; on state and MnSCU salaries, another $300 million; the University of Minnesota, $100 million; and city and county salaries, $100 million to $200 million for each group.
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The Legislature has the authority to impose the pay freeze except in the case of the University of Minnesota, which has its own constitutional authority, according to Day. However, lawmakers can reduce the university’s appropriation by $100 million and encourage a freeze, he said.
Related articles
State budget cuts to affect all Minnesotans