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The Honolulu Advertiser
Posted on: Saturday, July 18, 2009

Hawaii notifies state workers of layoffs list


By Derrick DePledge
Advertiser Government Writer

The Lingle administration began notifying some state workers yesterday that their names are on a list of potential layoffs.

The Lingle administration would not disclose how many workers are targeted, but Gov. Linda Lingle has said she may have to lay off 2,500 workers under her direct control because of the state's budget deficit. Workers in several departments — including Agriculture, Health, Human Services, Labor and Industrial Relations, and Business, Economic Development and Tourism — reported being notified.

Lingle said the list of employees who may be laid off will be sent to the public-sector labor unions on Monday morning.

"The state believes it was appropriate to first inform the affected employees directly before simply putting their names on a list to the union, rather than having them learn from someone else," Lingle said in a statement last night.

"We strongly believe that letting the affected employees know first was the absolute right thing to do."

The Lingle administration must give unions a 90-day notice of layoffs. Once a list is submitted, the unions can consult with the state before actual layoff notices go out.

Randy Perreira, executive director of the Hawai'i Government Employees Association, said yesterday it was improper for the Lingle administration to tell workers about potential layoffs before giving the list to union officials.

Perreira described Lingle's handling of the situation as "shameless" and "no class." He said one worker was telephoned at home while on vacation, while some in the state Department of Human Services were urged to call a state telephone number that had a recorded message from department director Lillian Koller.

Lingle apologized that those workers were notified by recorded message.

"She's using this as a way to intimidate the employees into submission," Perreira said.

Lingle and union leaders are expected to meet early next week, possibly Tuesday, for contract talks. The unions on Monday offered to take a 5 percent pay cut to help with the state's deficit of $786 million through June 2011. The state has yet to formally respond.

Lingle announced Thursday, however, that she and her Cabinet will take two furlough days a month starting in August and continuing to June 2011.

The furloughs are in addition to a previous 5 percent pay cut, and will bring the total salary reduction to 13 percent this fiscal year and 13.7 percent next year.

Lingle wanted state workers to take three furlough days a month for two years — about a 13.8 percent pay cut — but a Circuit Court judge ruled this month that furloughs are subject to collective bargaining.

Perreira said he would prefer to negotiate new contracts with the state rather than go to binding arbitration. The HGEA and United Public Workers' public safety units can go to binding arbitration, while other bargaining units within UPW, the Hawai'i State Teachers Association, and the University of Hawai'i Professional Assembly have the right to strike.

"It's very unfortunate, because we're prepared to continue the negotiation process, and for the governor to do this now when we're supposed to have a meeting next Tuesday, it's really shameless," he said.

Lingle has said she wanted to avoid layoffs because of the disruption to the state's workforce and the potential increase in state unemployment costs. The governor has clear authority under state labor law to order layoffs, but she has said that civil-service protections make layoffs difficult. Workers with seniority, for example, can in some cases bump more junior workers and retain their higher salaries while working in lower positions.

The state has not ordered mass layoffs of state workers since 1995, when Gov. Ben Cayetano wanted to eliminate 1,300 positions to help close a budget deficit. Cayetano only ended up laying off about 150 workers.

Most of the currently affected workers were told in person by their supervisors yesterday about potential layoffs, but union leaders and some workers were incredulous about the recorded message for workers at the state Department of Human Services.

"I want to give you the courtesy of hearing an important message from me before you hear it from anyone else," Koller said on the recording.

Koller explained that the reduction-in-force consultation list is the first step in the layoff process and not a final notice. The recording was removed last night after Lingle apologized.

David Young, an information specialist at the state Department of Business, Economic Development and Tourism, said he was called into a supervisor's office just after 2 p.m. yesterday and told his position was being eliminated. Young is an HGEA union steward and he said several union stewards appear to have been targeted, which he described as "cherry picking."

Young said the timing of the notification appeared to be an attempt by the Lingle administration to influence state workers ahead of contract talks next week. "It sounds like psych war," he said.