Kulongoski Declares Impasse

Very alarming news out of Salem today: Governor Kulongoski is declaring impasse with SEIU.

Gov. Ted Kulongoski declared an impasse over negotiations with state unions on Wednesday, starting the clock for 37 days until he can legally dictate state workers' pay.

The Oregon Legislature passed a state budget that requires $130 million in general fund reductions for the 2009-2011 biennium. In a budget note, the Legislature estimated that about half -- $65 million -- would come from reducing state workers' compensation. But the governor aims to save $100 million....

While labor leaders say the two sides have agreed on no cost of living increases and a small decrease in health insurance benefits, they have remained at odds on pay freezes and the number of unpaid furlough days that employees must take.

Frane said that the governor's representatives wanted to tie the number of furlough days to state revenues, raising the number if the economy gets worse. The unions want the number to be fixed, she said.
Whether workers will get wage increases for pay steps over the next two years is also under discussion.

More analysis to come. (I'm tying to post this from a cell phone at the AAUP's Summer Institute in Minnesota.