Minimum Wage

Legislative

Court adds more time to minimum wage clock

A Sacramento Superior Court hearing today wound up pushing back the date for when attorneys will again debate whether Controller John Chiang must issue minimum wage paychecks to state workers. The upshot: No minimum wage for state workers now at least through September, and quite possibly well beyond that.

Instead, "other issues" will be discussed and "the infeasibility argument will take place some time in the future," said Ryan Endean, spokesman for PECG and CAPS, two of the unions that have supported Chiang's position...

LINK - SacBee.com (The State Worker)

Legislative

RULING ON TRO - Endsley v. Chiang

 

DEBBIE L. ENDSLEY, et al., v. JOHN CHIANG, et al., Case No. 2010-80000591:
 
The following shall constitute the Court's ruling on plaintiff’s ex parte application for issuance of a temporary restraining order, which was heard in Department 19 on Friday, July 16, 2010.  
 
Plaintiffs Debbie L. Endsley, the Director of the California Department of Personnel Administration, and the Department, have filed a petition for writ of mandate or prohibition, and a complaint for declaratory relief, against defendants Office of the State Controller and the Controller, John Chiang...

Legislative

Ruling on Intervention - Endsley v. Chiang

DEBBIE L. ENDSLEY, et al., v. JOHN CHIANG, et al., Case No. 2010-80000591:

The following shall constitute the Court's ruling on the ex parte applications for leave to intervene in this action filed by four state employee organizations, which was heard in Department 19 on Friday, July 16, 2010.  

Plaintiffs Debbie L. Endsley, the Director of the California Department of Personnel Administration, and the Department, have filed a petition for writ of mandate or prohibition, and a complaint for declaratory relief, against defendants Office of the State Controller and the Controller, John Chiang...

Legislative

PRESS RELEASE: CCPOA Responds to minimum-wage ruling

WEST SACRAMENTO - Today in Sacramento County Superior Court, Judge Patrick Marlette rejected Gov. Schwarzenegger’s demand for a temporary restraining order seeking to force State Controller John Chiang to immediately pay state employees minimum wage until a state budget is adopted.  As a result, state workers – including the 33,000 members of the California Correctional Peace Officers Association (CCPOA) - will continue to receive their regular pay for their hours worked...

Legislative

BREAKING NEWS: Judge denies Schwarzenegger’s minimum wage order

Sacramento County Superior Court Judge Patrick Marlette today denied Gov. Arnold Schwarzenegger's request to immediately compel State Controller John Chiang to pay state employees minimum wage.

The denial means there will be a full hearing on the issues on July 26, but Marlette's ruling is a boost for about 200,000 state workers, who were facing paychecks for $7.25 an hour for the July pay period. Chiang has said he would issue full pay unless the legal process went against him before July 22, the cutoff to send payroll to the check printer...

LINK - SacBee.com

Legislative

Schwarzenegger fights union involvement in minimum wage case

Attorneys for the Schwarzenegger administration on Tuesday filed a brief in Sacramento Superior Court that argues state employee unions shouldn't be allowed to enter the minimum wage fight between the governor and State Controller John Chiang.

As reported here, California Association of Professional Scientists and Professional Engineers in California Government on Monday filed a motion to be a party in the minimum wage litigation flying back and forth the last week or so. SEIU Local 1000 and CCPOA have done the same. All the unions are siding with Chiang. A hearing is set for Friday at 11 a.m...

LINK - SacBee.com

Legislative

Minimum Wage Case in Court on Friday

This Friday, the Sacramento Superior Court will hear a request by DPA to compel the State Controller to pay minimum wage to state employees. CCPOA has petitioned to intervene, as well have several other groups.  The Controller has filed extensive documentation in defense of his position to NOT pay minimum wage...

Here are the documents referred to in the CCPOA memo from State Controller John Chiang's website: 

Alternative Solutions Assessment Report - 7/10/2010
Independent Feasibility Assessment Report - 7/10/2010
Controller's Opposition Brief - 7/13/2010
Other Supporting Documents - 7/13/2010

For all the recent news on minimum wage, the California State Budget and other related information, CLICK HERE.

Please read the FULL memo from Chuck Alexander below...

Fighting For You

CCPOA Case Update Memo to State Board

I have been asked to provide a brief status report regarding the major cases we have pending in various legal venues.  This update covers only those issues being handled by CB&M.  I will prepare an update for in-house cases and PERB's within the next few days.

Furloughs - As you are aware, we prevailed in Superior Court and are presently awaiting a decision from the Appellate Court.  There is no time frame the Court is required to meet relative to issuing a decision...

Fighting For You

Minimum Wage Case Update

CCPOA's Ex Parte Application for Leave to Intervene in Endsley v. Chiang, Sacramento County Superior Court, No. 34-2010-80000591

In plain English, here are the PDF’s of our request to the court to intervene in the case in which DPA is suing the Controller to enforce the latest pay letter:

Legislative

Update: Gov. vs. Chiang Battle Over Minimum Wage

Chiang takes fight with Schwarzenegger to cable news airwaves

State Controller John Chiang and Gov. Arnold Schwarzenegger have spent the week trading legal filings and pointed barbs in the media. At issue is Schwarzenegger's order to reduce state worker salaries to $7.25 per hour until the state has a budget in place. It is a plan that Chiang says he cannot, and will not, implement.

Friday morning, Chiang appeared on Fox Business to talk about the wage rollbacks and his battle with Schwarzenegger...
 

LINK - LATimes.com (click the link to continue reading AND view the video)

Chiang on Fox Business: 'I am not defying the governor'

State Controller John Chiang said in a television interview today that he will do "anything a court asks me to do if I physically can" to comply with Gov. Arnold Schwarzenegger's order to reduce pay for roughly 200.000 state workers to minimum wage because of the budget impasse.

"I am not defying the governor... I'm saying we cannot do it physically," he told Fox Business Network host Stuart Varney. Chiang likened using the state's negative payroll system to issue minimum-wage checks to trying to ride a bicycle designed to pedal forward backwards...

LINK - SacBee.com (click the link to continue reading AND view the video)
 

Legislative

Controller Files Cross-Complaint Charging DPA Pay Letter is Illegal

State Controller John Chiang today filed a cross-complaint in Sacramento Superior Court, alleging the Pay Letter issued by the Department ofPersonnel Administration (DPA) ordering him to reduce state employee pay to the federal minimum wage is unlawful.

In his cross-complaint, the Controller alleges DPA's Pay Letter forces him "to choose between violating the Pay Letter or violating various federal and state laws."

Controller Chiang notes the DPA has not made any serious effort to work with the Controller to reach a resolution ofthe issues or to provide clarification to the Controller regarding his rights, duties and responsibilities" in paying salaries of state employees during a budget impasse...

Legislative

Schwarzenegger sues, demanding Chiang pay minimum wage

The Schwarzenegger administration filed a new legal action today asking the Sacramento Superior Court to force Controller John Chiang to pay state employees minimum wage for this month if no state budget is enacted.

Chiang has said he will not comply with the governor's order to pay minimum wage for the July pay period. Filed by the Department of Personnel Administration and DPA Director Debbie Endsley, the action seeks to force Chiang to comply. It noted that the cut-off date to begin processing the July payroll is July 22.

It says the order is "urgently needed" to stop Chiang from paying full salaries...

LINK - SacBee.com

Legislative

California Banks Pitch `Budget-Impasse Loans’ to State Workers

Banks and credit unions will offer zero-interest loans and other assistance to the 200,000 California government employees who may see their pay reduced to the minimum wage as a result of the state’s budget stalemate.

The Golden 1 Credit Union, a lender that caters to state workers, will offer zero-interest loans to customers whose pay falls because of the stalled spending plan, according to a July 2 statement. About 1,100 legislative aides and gubernatorial appointees whose pay was stopped on July 1 already have access to so-called budget-impasse loans, said Donna A. Bland, the company’s chief financial officer.

“We’re trying to show our support for our state-employee members,” Bland said in a telephone interview. Golden 1, based in Sacramento, the state capital, describes itself as the sixth- largest credit union in the nation with about $7 billion in assets...

LINK - Bloomberg.com

Legislative

Controller Issues Statement On Minimum Wage Ruling

The following statement was issued by the Controller in response to the Third District Court of Appeal’s ruling regarding the Governor’s authority to reduce state employee salaries to the minimum wage absent a budget...

Labor Line

Memo from Chuck Alexander re: Minimum Wage

Dear State Board of Directors:

As anticipated, the Administration has "urged" the State Controller to reduce our pay to federal minimum wage. This was done via the attached pay letter to J. Chiang from D. Endsley of the Department of Personnel Administration. Please take the time to read the cover letter, and note that the letter "urges" the Controller to take the steps necessary to implement minimum wage. Also, note that the pay letter "excludes" from the minimum wage those six units that have "tentative" deals with this Administration...

Legislative

Governor and Minimum Wage Issues in the News

UPDATED: 7/2/2010

A defiant Chiang accuses governor of 'political tricks' (7/1/2010)

In a strongly worded rebuke, state Controller John Chiang said Thursday that he would defy Gov. Arnold Schwarzenegger’s order to slash the pay of state workers until "the courts hand down a final resolution."

Chiang, a Democrat, said the pay cuts will "do nothing to solve the budget deficit" because state employees are entitled to their back pay once a budget is in place. “In the absence of the leadership needed to bring the Legislature to an agreement on his budget, the governor again resorts to political tricks," Chiang said in a statement...

LINK - LATimes.com

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First Watch: July 2, 2010

A new CCPOA First Watch video has been posted at CCPOA.TV for July 2, 2010.  Please CLICK HERE to view today's video update and for our archive of past video updates.

Legislative

Controller Issues Statement Regarding DPA Letter

Controller Issues Statement Regarding DPA Letter (7/1/2010)

The following statement was issued by the Controller in response to a notice by the Department of Personnel Administration that they were planning on issuing a pay letter ordering the Controller to reduce state employee salaries to the minimum wage, with the exception of the six bargaining units the administration has reached an agreement with...

Legislative

Pay reductions useless, costly

John Chiang, State ControllerLETTERS TO THE EDITOR: Re "Governor's threat triggers concessions" (Editorial, June 24): Helping the governor leverage labor contracts is not the controller's job. My job is protecting the state's pocketbook. Reducing state salaries to the federal minimum wage will do nothing to solve the budget deficit.  But it will cost California billions of dollars in penalties and damages for violating the federal Fair Labor Standards Act and the California Constitution.

Two examples: First, retirement contributions are constitutionally protected and must be paid in full and on time as if employees were receiving their full wages. Because employer and employee contributions are calculated as a percentage of the employee's gross pay for the month, those contributions will be underpaid...

LINK - Read the FULL letter @ SacBee.com

Legislative

June state payroll won’t be withheld, administration says

State workers don't have to worry that their paychecks for June will be reduced to federal minimum wage, a Department of Finance spokesman said this week, ending speculation that an arcane state budget fix last year gave Gov. Arnold Schwarzenegger the authority to order wages withheld for this month.

July payroll, however, could be reduced if budget talks drag on much past the June 30 end of the fiscal year, said Finance spokesman H.D. Palmer.

State workers have been wondering if their June pay would be withheld to the least allowed by federal law, $7.25 per hour for most employees. Legislation passed last year to plug a $20 billion hole in the 2009-10 general fund budget included pushing this month's payroll expenses to the July 1 start of the 2010-11 fiscal year...

LINK - SacBee.com "The State Worker" Blog