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Workplace Issues Today: Labor opposes NY Governor’s plans for school and Medicaid budget cuts midyear

In response to New York Governor Paterson’s proposed budget cuts for schools and Medicaid, as well as a possible attempt to renegotiate labor agreements, both hospital advocacy groups and public employee unions have expressed harsh disapproval. Several union leaders have already stated their refusal to reopen contracts, and pointed out the potential negative impact of further cuts to school districts. Some are particularly concerned because the adjustments would occur midyear, effectively destabilizing school systems. Hospital advocacy groups further contend that budget sacrifices should be more widely shared, as opposed to targeted at health care. Still unions and hospitals acknowledge the severity of the city’s financial situation. Some groups anticipate and hope for a federal stimulus package to aid budget woes, while others propose alternatives to funding cuts such as raising taxes, or using a portion of the states reserve cash.

See “Idea of Cuts to Health Care and Education Causes a Stir,” by Jeremy W. Peters, The New York Times, Nov 11 2008 (KBT)

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