She said she hopes the other public employee unions don’t target the 10 percent pay hikes as the starting point for their own negotiations because she feels the UPW workers covered need special consideration.

The governor said she was briefed on the UPW award and the negotiations with other unions yesterday by state chief negotiator Ted Hong.

Talks with the Hawaii Government Employees Association, representing 23,000 white-collar state and county workers, continued yesterday.

The union reached a deal with the state in April for one-year contract extensions, but allowing the workers to go on strike after Jan. 1, 2004, with 30 days written notice.

The governor declined to comment on whether there is room in the state budget and her proposed supplemental budget now before lawmakers to fund the UPW pay raises and anticipated raises for other state workers.

"Throughout the session, both the legislators and myself will have to make some decisions because there are going to be some arbitration awards and perhaps a settlement with HSTA (teachers union) as well," Lingle said.

"So we’re going to have to make some tough decisions about where that money is going to come from."

The governor said she won’t go along with any proposals to raid the Hurricane Relief Fund, the Rainy Day Fund or to increase taxes to pay for the raises.

The University of Hawaii Professional Assembly, representing UH faculty, is seeking a 6 percent pay hike, retroactive to July 1, 2003, and an 8 percent increase on July 1, 2004, noting that under an earlier agreement it has had the right to strike since Jan. 2.

The union plans a rally at the Capitol on Jan. 22.

"Having public demonstrations doesn’t impact our negotiations at all," Lingle said.

"I think it brings recognition to the general public what their issues are and what they think is important."

"And we’re in agreement with them that the university is critically important, that the pay for professors has to go up. It’s simply a matter of what we can afford and whether or not we can put off other things to meet some of the wage demands of UHPA as well as the other unions," she said.

Lingle repeated her concern that the Legislature last year overrode her veto of a bill that restored binding arbitration instead of strikes to settle deadlocked HGEA contract disputes.

Lingle said her administration will propose to the Legislature that adjustments be made in the employee categories assigned to the various collective bargaining units, especially to single out some workers such as "first responders" and security officers "responsible for the safety of people in the community" for special consideration.

For example, police dispatchers are in the HGEA unit with general clerical workers.