In this economy, most of us who have jobs are grateful for
them.
”
At least I have a job
”
is a common refrain among folks commiserating about the woeful
state of the economy.
1. New reality
In this economy, most of us who have jobs are grateful for them. “At least I have a job” is a common refrain among folks commiserating about the woeful state of the economy. It goes without saying that most of us who have jobs are not expecting raises or bonuses.
That’s why it’s frustrating to read comments from local union leaders indicating that considering foregoing raises that were negotiated under very different economic circumstances is “premature.”
Everyone – residents, city workers, elected officials – must understand that circumstances have changed drastically. Old expectations about services, job security and compensation must change to reflect the new reality.
2. Creative solutions
One tactic that private employers sometimes use to avoid layoffs is to ask all employees to take pay cuts that produce the same cost savings as eliminating jobs does. It’s an idea that’s been floated in Morgan Hill, where City Hall is considering eliminating 13 jobs.
The idea hasn’t gone over too well – look at the reaction to the less-severe idea of foregoing raises. That attitude on the part of city employees might mean that the only tool the city has is the one that doesn’t require negotiations: layoffs.
In these tough economic times, layoffs are a sad fact of life.
While workers in private industry, especially here in Silicon Valley, are used to the concept, public employees, as a rule, aren’t accustomed to downsizing the number of jobs in a public agency or the paychecks associated with them.
Perhaps that’s why we hear statements like this one from Acting Human Resources Director Brian Stott: “If everyone took significant pay decreases, those who could leave, would. It would be difficult to recruit replacements.”
3. Check your premises
Stott relies on two false premises in his statement. First is the premise that other public agencies in the area are hiring. That’s simply not the case. Every municipality is facing the same economy that Morgan Hill is. So, the number of employees who could leave is tiny or nonexistent.
The second is the premise that finding replacements would be difficult. In this economy, job seekers are plentiful and job openings are scarce. Recruiting replacements would not be difficult.
What’s especially disturbing is that Stott is one of the managers who negotiates on behalf of residents with the unions. If he’s entering negotiations with these premises, taxpayers beware.
The new economic reality affects everyone: Residents have to be willing to reduce services or increase taxes to maintain current services. City workers must be willing to reduce jobs or compensation. Managers who are charged with negotiating on behalf of taxpayers must have a firm understanding of this new reality and all of its implications.
That’s simply the way things are, like it or not.
