April 23, 2009 - Governor's Weekly Radio Address - Labor Savings: An Obvious Solution

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Aloha!
 
As we work to balance the state budget and close an unprecedented $2 billion revenue shortfall, I am strongly opposed to any attempt to withhold the counties' share of the Transient Accommodations Tax, commonly known as TAT or hotel room tax. 

As a former mayor, I understand how important the TAT is to the counties. As I have consistently stated, we can balance the state budget through a common sense approach to labor savings.

Annual labor costs of $3.6 billion, which make up nearly 70 percent of our state's general fund, must be reduced. I believe that furloughs – not layoffs – of public employees is a responsible and reasonable sacrifice we all must make in these challenging economic times.

Through shared, across-the-board labor savings for state and county employees, we can avoid mass layoffs and general tax increases – both of which would have a devastating effect on our economy and hinder our state's recovery.

Mahalo.  This is Governor Linda Lingle.