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Frank D. Russo

The California Progress Report is published by Frank D. Russo, a longtime observer of and participant in California politics.

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What Was Schwarzenegger Thinking About When He Proposed Cutting State Workers’ Pay to the Minimum Wage?

frankrusso-small.jpg By Frank D. Russo

I don’t know about you, but when word leaked out last week that Governor Arnold Schwarzenegger had prepared an executive order reducing the amount the state would pay its workers to the federal minimum wage and paying them the rest they are owed under their employment contracts only after a state budget is passed, I was dumbfounded. It seemed like such an inept move from a political, public policy, and even a legal perspective.

The drumbeats are beating from Democratic President pro Tem Don Perata who said this had never been part of any discussions—which he has had on a daily basis with the Governor and described it as “an act of war”--to the grassroots who are on fire.

Take a look at what it has done for the Courage Campaign, one of California’s leading political organizing groups. They have collected tens of thousands of signatures on a petition that will be turned in today asking the governor to drop his plan--just from posting a notice on their website and sending out an email to its members. "In my experience leading the Courage Campaign, I've never seen such an overwhelming rapid response to an issue," said Rick Jacobs, leader of this group. "Within hours after we posted a story on our Web site and sent an e-mail to our members, we had more than 10,000 signatures -- a record in such a short period of time."

The best defense of it from a policy standpoint, expressed by the Governor’s spokesperson in today’s paper, is that workers will be paid their full salary once the budget has been passed and that this avoids expensive borrowing for the state. Never mind that John Chiang, the State Controller who is responsible for cutting the checks, says the state has enough to cover what these workers have earned. Don’t even look at the legal opinion of the non-partisan Office of Legislative Counsel that says it is Chiang, not the Governor, who has the legal authority here. Just dwell on the public policy values this reflects: borrowing from workers to tide the state over.

The Governor could sign such an order today. But I hesitate to spend too much time on this as I keep expecting to read an indication from the Governor’s office that in the words of former Presidential Press Secretary Ron Nessen that it had become “inoperative.” And in the press, there are questions being asked if it is really real.

Politically, it has unleashed almost universal ridicule and condemnation in the state’s newspapers from all areas and with editorial boards of all persuasions. Even some Republicans are upset.

Sacramento Bee political cartoonist Rex Babin had a field day with it in Sunday’s paper, portraying a muscle bound Schwarzenegger as a bully on a beach kicking sand at state employees after state legislators had kicked sand on him.

Perhaps the most biting comment came from a columnist who is usually the Democrats and the legislature’s biggest nemesis, Dan Walters. Under the title of “Governor's pay-cut plan for state workers is just another gimmick” in the Sacramento Bee, started off with this:

“We may not be getting effective governance from movie star-turned-governor Arnold Schwarzenegger, but we can count on a steady diet of grandiose, and usually hollow, political gestures.

“Who could forget, for instance, the time that Schwarzenegger posed with a gigantic faucet, out of which flowed a red liquid, to dramatize budget deficits? Or the time he denounced the Legislature as "girlie men" for delaying budget action?

“Having promised and utterly failed to end "crazy deficit spending," Schwarzenegger is resorting once again to cheesy stunts, this time a threat to reduce the salaries of tens of thousands of state employees to the federal minimum wage, supposedly to hoard the state's dwindling cache of cash in the absence of a new state budget. His aides insist no final decision has been made – and when this was published Wednesday, it touched off a storm of protest from state workers and their unions, including a noisy demonstration at the Capitol on Thursday.

“What the governor hopes to accomplish from this stunt is beyond obscure; it's opaque.”

The state’s most conservative newspaper, the libertarian Orange County Register editorialized: “Minimum-wage rollback a minimally smart idea: Cutting state workers' pay until budget resolved would wind up costing even more”.

Even the San Diego Union, while of the opinion that some kind of initiative for the voters would be a better way to get a budget, said this of Schwarzenegger’s actions:

“Schwarzenegger is governor of California, not emperor of Austria. If he got his way, springing this plan on hundreds of thousands of workers and their dependents with just a few days advance warning would be seen as an authoritarian, bad-faith stunt.”

And the Union took this last swipe at Schwarzenegger: “The mood nowadays, though, feels far more like 2003 – when voter anger swept Gov. Gray Davis from office.”

The oft conservative Riverside Press-Enterprise ran an editorial calling it a “budget stunt.” The San Francisco Chronicle called Schwarzenegger “A stunt man governor.”

The San Bernardino Sun editorialized, under the headline “Workers unfairly targeted in impasse.”

I can’t find a single editorial that thinks this was a wise move. What were the Governor and his staff thinking?

But perhaps what is most bothersome here is that it is a continuation of an abdication by the Governor of real leadership on the budget. It started with a budget that was DOA in January and that the Governor knew could never pass—one with closures of state parks and the like. We are now at the end of July, and diversions like this from the real hard lifting that is needed to get a budget passed, are just that—diversions. If that is what the Governor intended with this Swiftian “modest idea,” then maybe he has achieved that. We will have a vote on the budget tomorrow in the Senate according to plan. The Democrats will put up their votes. Can the Governor deliver some Republican votes?

Posted on July 28, 2008

Comments

Hi my husband works for the state and I dont know how we are suppose to survive with 6.55 that's under Minimum Wage. How do we suppose to live with a baby like this and pay are car expences gas notes etc... They havent change gas prices so how are we suppose to survive with gas, bill, and food everything is going up so why change the money that's going in to supply that need.

Posted by: Shunnell at July 29, 2008 12:54 PM

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