June 18, 2009
Governor Linda Lingle announces details of the Administration's plan to furlough state employees in the executive branch to help close a projected $2.7 billion revenue shortfall over the next two years.
On June 1, Governor Lingle announced a plan to furlough state employees for three days a month, effective July 1, 2009 through June 30, 2011, to close the additional $730 million revenue shortfall projected by the Council on Revenues on May 28. The furlough plan, which will save the state $688 million, is in addition to the $2 billion the Administration has already saved through various budgetary actions including statewide spending restrictions of 8 percent; debt restructuring; a freeze on hiring, travel and most equipment purchases; the use of certain special funds and maximizing federal stimulus funds. None of these previous savings involved any labor cost reductions.
Watch the news conference.