September 3, 2009 - Governor's Weekly Radio Address - Necessary Labor Savings

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Aloha,

The Council on Revenues' most recent projections reduced anticipated state revenues by an additional $98 million. 

We are still involved in public union collective bargaining negotiations and preparing for arbitration hearings to reduce labor costs. 

Because of these events, which impact our financial situation, the state will have to take the difficult step of identifying additional spending cuts in order to balance the budget.  

I am working daily with my Cabinet to identify further significant spending reductions that focus on restructuring state departments and state government, which could include additional layoffs of state employees. These are not steps we want to take, but they are necessary to close the growing budget shortfall.

I remain confident we will emerge from this economic downturn stronger than before. But I am asking our residents to be aware that state government will look and operate differently in the years ahead due to fact that we have significantly less revenue.

Mahalo. This is Governor Linda Lingle.